With each passing year, college students seem to bring more and more with them to campus. The value of these items can add up quickly, especially when you include the cost of computers, smartphones, and other electronics. So, what would you do if your laptop was stolen from your dorm room or if your bike was vandalized?
Dorm room insurance is designed to cover the belongings of college students living in on-campus housing. It can help cover the cost of replacing or repairing clothes, electronics, bikes, and more. While it’s not required, it can give you peace of mind knowing that your belongings are protected.
However, before you run out and buy a policy it’s important to understand what it does and doesn’t cover and how it works.
Read on to learn more about dorm room insurance and whether you need it.
What Is Dorm Room Insurance and How Does It Differ From Renters Insurance?
Dorm room insurance and renters insurance are not the same, although they are often considered to be. So let’s take a closer look to see what each one covers and how they differ. This will help you better understand if you want to purchase dorm room insurance.
What Is Dorm Room Insurance?
Dorm room insurance also referred to as personal property insurance, is a type of insurance that covers your personal belongings while you are away at college. Many college students choose to purchase dorm room insurance in order to safeguard their belongings, as residence hall rooms can often be susceptible to theft and vandalism. Dorm room insurance can also help to cover the cost of repairs or replacements if your belongings are damaged due to a fire, flood, or other natural disasters.
Items that dorm room insurance can help protect include computers, smartphones, books, clothes, bikes, and more.
With dorm room insurance your personal property will even be protected from accidental damage, which is something that homeowners or renters insurance will not do.
This type of insurance is typically very affordable and can give you peace of mind knowing that your belongings are protected. The exact cost of this insurance can vary depending on the amount of coverage and deductible you choose, but there are a lot of coverage options between $5 and $15 per month.
What is renters insurance?
Renters insurance, on the other hand, is insurance that covers your belongings as well as liability risks associated with renting an apartment or home.
Your possessions are protected from unexpected events that are specified in your policy, such as fires or theft. Most renters insurance policies will also protect your belongings from storm damage, but will not typically cover flood damage, which would require a separate policy. It is also
The liability portion of a renters insurance policy can help protect you from paying out of pocket if you are found to be responsible for someone else’s injuries or accidental damage to their property, which would include your landlord’s property.
Renters insurance will also help you cover additional living expenses, like hotel bills, should the place you are renting become damaged and made uninhabitable.
The cost of renters insurance is quite affordable, with the majority of policies ranging in price from $10 to $20 per month. Your exact price will depend on a number of factors, including the amount of coverage you need and the deductible you choose.
Even though having renters insurance is very helpful and can give you great peace of mind, it does not protect your property from accidental damage like dorm room insurance does. That is why many students living in residence halls or off-campus choose to insure their belongings with a dorm room or personal property insurance policy. So let’s take a closer look at dorm insurance.
Do College Students Who Live in the Dorms Really Need Insurance for Their Property?
The amount of crime on college campuses is typically quite low, but the exact amount of crime can vary from school to school. Regardless of the level of crime at your college, burglaries account for approximately half of all on-campus crimes.
If you are one of those unlucky people whose property gets stolen or vandalized while you are away at school, having your belongings covered by an affordable insurance policy will feel like a smart investment.
Can’t College Students Use Their Parents’ Homeowners or Renters Insurance When Living in the Dorm?
Yes. Most college students who are 26 years old or younger and live in on-campus housing are covered by their parents’ homeowners or renters insurance policy.
The amount of coverage for students living in the dorm is usually limited when using their parents insurance. Dependent students are commonly covered for up to 10% of the parent’s policy when living on campus. However, this can vary depending on the parent’s policy.
It is also important to note that students may not be covered under their parents’ policy for losses if they are living off campus.
Before going this route a student’s parents should check with their insurance agent to verify coverage and get information on coverage limits and specifics of their policy.
Why It Might Be Better for College Students to Have Their Own Insurance Policies for Their Property?
There are actually several reasons why it might be better for college students to have their own insurance policy that is separate from their parent’s policy.
- You need more coverage than their parents’ policy allows – While a student may be covered by their parent’s homeowners or renters insurance this coverage is usually limited. For students who are covered by their parent’s policy, coverage is typically limited to 10% of the parent’s policy. So if you add up the value of the items you need to be covered and it comes to more than the amount of coverage your parents’ policy provides you may want to consider getting your own policy.
- Your parent’s policy has a high deductible – Many families opt for having higher deductibles on their insurance policies so they can keep their premiums lower. Policies with higher deductibles can make it hard to get much compensation if you have to make a claim. For example, if your $900 laptop gets stolen and the deductible is $500, which isn’t really that high, you would only get $400. To make it even worse, if that same $900 laptop gets stolen and the deductible is $1,000 you wouldn’t get anything at all.
- Your parents may not want to make a claim for smaller losses – Unless you have a huge loss of several thousand dollars your parents may not want to make a claim. The reason for their reluctance to make a claim is that regardless of the amount making a claim will probably cause their premiums to go up because the insurance company will think that there is an increased risk that there will be another claim in the future. If a claim isn’t large enough it is possible that your parents could end up losing money in the long term due to higher premiums.
- You want protection from accidental damages to their belongings – Accidents happen and as we discussed earlier homeowners and renters insurance doesn’t offer protection from accidental damages. So if you want to protect your things from accidental mishaps
What College Dorm Insurance Policy Should You Consider if You Will Not Be Able to Use Your Parents’ Coverage?
If you are living in the college dorm or residence hall and are just looking for something to protect your belongings the college dorm insurance policy is the way to go.
The first thing you will want to do once you have decided that you want to get a dorm room insurance policy you will want to add up what it will cost to replace your belongings should something happen. Once you know the total value of you the things you plan on bringing with you to college, you will know the total amount of coverage you should be looking for.
Knowing the amount of coverage you need will allow you to start shopping for policies. The first thing you will want to do is create a list of policies that have the total amount of coverage you need.
Insurers will offer different deductible options for each coverage level, with the higher deductible options offering lower premiums. This will greatly expand the number of choices you have on your initial list allowing you to find a premium and deductible that finds your budget.
Once you think you have found a policy that works for you be sure to review the policy details closely to make sure that you understand how it works and that you verify that it offers what you need.
Where to Get Renters Insurance for Your Dorm or College Apartment
Thankfully finding coverage to protect your things while you are away at college isn’t that hard. There are a few places you can look.
Reach Out to Insurance Companies Directly
If you’re looking for dorm room insurance, there are a few popular companies you can check out. Gallagher Student and National Student Services, Inc. (NSSI) are two of the biggest providers of dorm room insurance. Both companies have easy-to-use websites that allow you to quickly get a quote and sign up for coverage.
In case you are wondering, the above links to Gallagher Student and National Student Services, Inc. are not affiliate links. So our website receives no compensation if you decide to go with them. These are just two companies that I am aware of.
Contact Your College’s Housing or Residential Life Office
Sometimes insurers will try to cultivate relationships with universities and offer special deals to that school’s students. So checking with the Housing or Residential Life office on your campus might help save you some money. Just be sure that you find out whether any policies that are being offered are renters or dorm room insurance, and that you understand the terms before signing up for a policy.
Contact Your Current Insurance Company
It is a good idea to check with your or your parents’ insurance company to see if they offer dorm room insurance as many companies offer discounts for bundling different types of insurance. That said most companies will probably only offer renters insurance.
A Few FAQs About Dorm Room Insurance
There are a few things you should be aware of and understand before selecting a policy to protect the things you will bring to the residence hall. So here are a few FAQs about dorm room renters insurance:
Does Dorm Room Insurance Cover Theft?
Yes. This type of personal property insurance protects you from financial loss should your belongings get stolen. Protection from theft is one of the main reasons people students decide to sign up for dorm room insurance.
How Much Does Dorm Room Insurance Cost?
The exact cost of dorm room insurance depends on the company you choose, the level of coverage you need, and the deductible you are willing to pay. The cost can also vary depending on the college you are attending. As mentioned earlier, most policies have premiums with an approximate cost of $5 to $15 per month.
What Is the Deductible?
Deductibles are the amount of money you have to pay out of pocket before your insurance policy kicks in. Dorm room insurance will typically have much lower deductibles than renters or homeowners insurance, depending on who you get the insurance policy from. You can choose the deductible you want for your policy, but generally speaking, deductibles will typically range from $25 to $100 for this type of insurance.
What Is Covered?
Things that are typically covered by dorm room insurance include items such as your computer, laptop, tablet, smartphone, and other electronics. It can also cover items such as your books, clothes, and bicycles. The specific list of items that are covered should be spelled out in your specific policy.
Are Items Protected From Accidental Damage?
Yes, these policies will protect your belongings from accidental damage, but there may be a waiting period after you get the policy before you can make a claim for accidental damages.
How Does the Claims Process Work?
As with any insurance policy, it’s important to understand how the claims process works before you purchase a policy. Dorm room insurance is no different. Be sure to read the policy carefully and understand the process for how to make a claim.
While the claims process can vary slightly from company to company, it is usually pretty straightforward and is spelled out in the policy itself as well as on most company websites.
If You File a Claim Will You Get the Full Repair or Replacement Cost?
If you are considering getting dorm room insurance on your property, you may be wondering if you will get the full repair or replacement cost if you need to file a claim. In general, insurance companies will reimburse you for the actual cost to repair or replace the property for this type of insurance. However, it is a good idea to verify this before getting a policy.
Do You Need to Keep Track of Your Property in Case You Need to File a Claim?
In the event that you need to file an insurance claim, it is important to be aware of the requirements of your particular insurance company. Some companies may require that you keep a detailed inventory of your belongings, while others may only require a general list. In either case, it is important to document your belongings, including pictures and receipts where possible.
Do Dorm Room Insurance Policies Give Students Personal Liability Protection?
No. Dorm room insurance policies do not offer liability protection as renters insurance does. If you are looking for this type of protection, you will need to purchase an additional policy or consider getting renters insurance instead.
Is My Roommate’s Personal Property Covered if I Have Dorm Room Insurance?
If you have dorm room insurance, your roommate’s personal property is not covered. They should have their own policy to protect their belongings.
What Providers Are Best for Students Seeking a Personal Individual Plan Separate From Parents?
Gallagher Student and National Student Services, Inc. (NSSI), which we mentioned earlier, both have an A+ rating from the Better Business Bureau. So while we haven’t done a huge analysis of insurance providers for this type of insurance it is fair to say that both companies are very reputable.
Two companies in this field that are rated A+ by the Better Business Bureau are Arthur J. Gallagher and National Student Services.
National Student Services, Inc. (NSSI)
https://www.nssi.com/
Gallagher Student
https://www.gallagherstudent.com/products/personal-property-insurance/
Final Thoughts
Dorm room insurance is a type of insurance specifically designed for students who live in dormitories. It can help cover your personal belongings in the event that they are damaged or stolen. While you may not think you need this type of insurance, it can be a wise investment, especially if you have valuable items in your dorm room.
If you’re thinking about whether or not you should get dorm room insurance, consider the value of your belongings and whether you would be able to replace them if something happened to them. Then, speak with your parents or guardians about their thoughts on the matter. Ultimately, the decision is up to you, but it’s worth considering all your options.
