Key Considerations for Parents of College Students

As your child heads off to college, there are several important insurance and liability considerations to keep in mind. Preparing for potential risks and discussing them openly can help protect your family and support your child's independence.

1. Rooming & Rental Exposures

• Shared Spaces: Living with roommates in close quarters introduces risks such as theft and property damage.
• Insurance Coverage: Confirm with your insurance agent whether your homeowner's policy covers your child's rental property and personal belongings.
• City Regulations: Ensure you’re aware of any local regulations regarding multiple roommates in single-family homes.

2. Personal Contents

• Inventory Management: Encourage your child to maintain a detailed inventory of their belongings to track any missing items.
• Renters Insurance: Consider a renter’s policy in your child’s name to protect against losses without affecting your home policy.

3. Personal Liability

• Serious Risks: Hazing, substance use, and other risky behaviors can lead to severe consequences.
• Umbrella Policy: It’s advisable to have a personal umbrella policy that covers your family's total assets.
• Minimum Coverage: If your child is self-sufficient, ensure they have at least $500,000 in personal liability coverage.

4. Shared Liability

• Understanding Definitions: Familiarize yourself with the insurance terms regarding “child,” “named insured,” and “full-time student” to avoid coverage gaps.
• Lease Agreements: Review lease contracts for any unfair clauses and ensure the property is adequately insured by the landlord.

5. Auto Insurance

• Liability Rules: Remind your child that liability insurance follows the vehicle, not the driver. If they drive a friend's car and get into an accident, the friend's insurance is primary.
• Accident Protocol: Stress the importance of transparency with insurance issues and encourage defensive driving options to keep their records clean.

6. General Advice

• Communication is Key: Establishing open lines of communication about risks and responsibilities can significantly impact decision-making.
• Proactive Measures: Taking proactive steps together can empower your child to make informed choices during this exciting yet challenging time.

-We can help.

Jason M. Pond, CAPI, C.P.R.I.A. Shareholder / Personal Risk Manager

972-715-8703 (Direct) / 972-342-8645 (Mobile) / jason.pond@swinglecollins.com