The summer break is flying by, and soon, school bells will be ringing across Ohio! As parents, you’re likely juggling endless to-do lists to prepare your kids for the new academic year. But beyond the backpacks and textbooks, there’s another crucial item that deserves your attention: your family’s insurance coverage.
At Bucher Insurance, we often see that significant life changes, like a teenager getting their driver’s license or a child heading off to college, can create unexpected gaps in insurance. Let’s make sure your family is fully protected as they embark on their next educational adventure!
Teen Driver Coverage: Hitting the Road Safely (and Affordably)
This is a big one! When your teenager gets their learner’s permit or, even more significantly, their full driver’s license, your auto insurance needs to be updated immediately. Teen drivers, due to their inexperience, are statistically at higher risk for accidents, which can lead to higher premiums.
What you need to know:
- Adding Them to Your Policy: In most cases, it’s more affordable to add your licensed teen driver to your existing family auto insurance policy rather than them getting their own separate policy. This allows them to benefit from your established driving record and potential multi-car discounts.
- Liability Limits: With a new, less experienced driver, it’s a smart idea to review your liability limits. An accident caused by a teen driver could result in significant financial consequences, and higher liability coverage offers greater protection for your assets.
- Discounts for Teens: Many insurance providers offer discounts specifically for young drivers, such as:
- Good Student Discounts: For maintaining a B average or higher.
- Driver’s Education Discounts: For completing approved driving courses.
- Telematics Programs: Some insurers offer programs that monitor driving habits (like speed and braking) and can lead to discounts for safe driving.
- Student Away at School Discount: If your college-bound student won’t be taking a car to campus (especially if the school is a certain distance away), you might qualify for a “student away at school” discount.
Don’t let the excitement of a new driver overshadow the importance of proper coverage. An uninsured or underinsured teen driver could lead to serious financial hardship.
Health Plans for Students: Staying Healthy Away from Home
Whether your child is heading to a local university or moving across the state, their access to healthcare is paramount. It’s crucial to ensure they have adequate health insurance coverage wherever they are.
Your options usually include:
- Staying on Your Plan: Under the Affordable Care Act (ACA), children can typically remain on their parent’s health insurance plan until age 26, regardless of whether they are enrolled in school. This is often the most convenient and cost-effective option.
- Network Check: If your student is going out of your plan’s service area (e.g., to a college town far from home), check if your plan has a network of providers in that area. An HMO might offer very limited coverage out-of-network, while a PPO might cover out-of-network care at a higher cost. Ensure they know how to access care (e.g., urgent care vs. ER) in their new location.
- School-Sponsored Plans: Many colleges and universities offer their own health insurance plans for students. These can be convenient, often covering services on campus and at nearby facilities. Review these plans carefully, as they can sometimes be more expensive or have limitations (e.g., losing eligibility if the student becomes part-time).
- Individual Plans: In some cases, purchasing an individual health plan through the Health Insurance Marketplace in the state where your student attends school might be a suitable option, especially if they qualify for subsidies based on their (or your family’s) income.
Make sure your student has their own health insurance ID card and understands how to use it!
Life Insurance for Parents: Protecting Futures, Not Just Today
While discussions around teen drivers and student health often focus on immediate needs, back-to-school season is also a poignant reminder of the long-term responsibilities parents carry. Life insurance is about protecting your family’s financial future, ensuring that if the unthinkable happens, their dreams can still be pursued.
Why it’s vital for parents with school-aged or college-bound kids:
- Education Costs: Life insurance can provide the funds to cover future college tuition, living expenses, and even help pay off student loans that you may have co-signed or taken out yourself.
- Income Replacement: If your income is essential to your family’s lifestyle, life insurance ensures that your spouse and children can maintain their standard of living, pay bills, and avoid financial hardship.
- Debt Protection: Mortgages, car loans, and other debts don’t disappear if you do. Life insurance can ensure these are paid off, preventing your family from inheriting a financial burden.
- Childcare/Support: For younger children, life insurance can cover the costs of childcare, extracurricular activities, and everyday needs until they reach independence.
Your role as a provider evolves, and your life insurance should evolve with it.
Your Back-to-School Insurance Checkup
As you tick off those back-to-school items, dedicate a little time to your insurance policies. A quick review can prevent major headaches and provide invaluable peace of mind.
Contact Jon or Emily at Bucher Insurance today for a back-to-school insurance checkup! We’re here to help Ohio parents navigate these important transitions, ensuring your family is protected every step of the way, from the classroom to the open road.
