Insurance Tips for Students
Many students don’t bother with contents insurance. With such small budgets, especially now that English and Welsh tuition fees are about to rise, you don’t want to pay for insurance, as it seems like a worthless expense.
Insurance is one of those things where you are damned if you do and if you don’t. If you do take our insurance and never claim you feel you have wasted money. However, if you don’t have insurance and your laptop, phone, mp3 player etc get stolen you will have to pay for replacements yourself, and we already know the average student doesn’t have any spare cash to flash.
As a student you actually have a lot of easy to steal items such as laptops, mp3 players, smartphones, TVs and DVD players that are extremely valuable to thieves. But, according to data from uswitch.com, only one in three students have adequate insurance whilst at university. Most are put off by the cost, but there are ways to cut costs and make insurance worthwhile.
Firstly, you should check what is covered by your parents home contents insurance. Legal and General cover contents temporarily removed from a parents home as part of their contents insurance policies. So as long as you’re in full time education if your parents take our Legal and General’s insurance you items will be covered anywhere in the UK.
However, if you want your own policy, after all you are supposed to be independent now you’re at uni, you still have options. It is tempting to pay monthly for your contents insurance policy as small payments often seems more appealing and easier to deal with than one large payment annually. However, insurers factor in interest to monthly payments, so you could end up paying anything from 3% or 4% right up to 10% extra.
You can also find a lower rate if you buy your insurance online. Seeing as insurers incur lower overheads from online payments, they can pass the savings – or some of them at least – to you, the consumer.
Seeing as insurance is all about risk, if you minimise your risk level you will be offered a lower insurance rate. How do you do this? The easiest way is to install, or have your landlord install, deadlocks on your doors, make sure you have double-glazing and if possible install a burglar alarm. Not only will your landlord get a discount on their buildings insurance, you will get a discount on your contents insurance too.