If You’re a Parent with Kids Heading to College, Here’s What to Do About Insurance
If you’re a parent with kids heading off to college, you’re probably wondering how to best protect them while they’re away.
One important thing to think about is insurance before dorm drop off day.
College can be an expensive time, and if something happens that results in your child needing medical care, you could be on the hook for a lot of money.
In this blog post, we’ll discuss what kind of insurance coverage you should have for your child while they’re at school, and how to go about getting it set up.
Health Insurance for College Students
There are a few things you need to know about health insurance coverage.
First of all, your child may no longer be covered under your present health insurance plan.
We think it’s a good idea to call your health insurance company and ask if there is a triggering or qualifying event that affects coverage.
Do not assume health coverage is automatically extended.
Ask your health insurance company questions such as:
- Does it matter if your child attends school somewhere other than North Carolina?
- If the student pays out-of-state tuition, are they still considered a “permanent resident” of NC, even if they don’t live in North Carolina year-round?
- If a parent leaves their present job, is COBRA coverage or other form of health coverage available?
- Is there a special enrollment period to extend health insurance coverage to your student?
- Is a full-time student eligible to apply for Obamacare / Affordable Care Act health coverage?
Health Coverage Options for Young Adults
There are a few different options for college students when it comes to health insurance.
The most popular option is to enroll in a student health insurance plan through their school.
These plans are typically very affordable and cover a wide range of services.
Another option is to enroll in a private health insurance plan.
Private plans can be more expensive than student health plans, but they may offer more comprehensive coverage.
Whichever route you choose, make sure you do your research and pick a plan that’s right for your child.
And finally, don’t forget to help your child understand the importance of staying healthy and taking care of their bodies!
There’s no need to worry too much about health insurance for college students. With a little bit of planning, you can ensure that your child is covered and taken care of.
Health insurance is just one way to help your student have a successful college experience – so take advantage of it!
Do you have access to your college student’s “sensitive information?
That may seem odd.
Parents paying tuition may think, “Of course I have access to that information. They’re still my child, and I pay the bills.”
That’s not necessarily the case.
Families should understand their rights and responsibilities when it comes to student privacy before college starts.
The Family Educational Rights and Privacy Act (FERPA) is a federal law that protects the confidentiality of student education records.
Under FERPA, students have the right to control who sees their records – including grades, financial aid information, and health records.
In order to access this sensitive information, parents must have written consent from their child.
Without written consent from their child, parents do not have automatic access to this type of information.
Car Insurance while your child is in college
If you have a student heading off to college, you may be wondering if they still need to be on your car insurance policy.
The answer is maybe.
It depends on a few factors, such as whether or not your child will be bringing a car to campus and if they’ll be living at home or away from home.
If your child is taking a car to college and will be living away from home, then they will most likely need to remain on your car insurance policy.
However, if they’re not taking a car to school or if they’re living at home while attending college, then they can probably be removed from your policy.
Talk to your insurance agent to see what’s best for your situation.
There’s no need to overpay for car insurance – so make sure you’re only paying for the coverage you need.
Homeowners Insurance and College Students
If your child is attending college and living away from home, they may not be covered under your homeowners insurance policy.
This means that if something happens to their belongings while they’re away at school, it’s possible losses will not be covered.
There are a few different options for insuring your college student’s belongings.
One option is to add them as an additional insured on your homeowners policy.
Another option is to purchase a renters insurance policy for your child.
This type of policy is very affordable and often covers their belongings.
There are also some credit cards that offer coverage for college students – so be sure to check with your credit card company to see if this is an option for you.
No matter which route you choose, it’s important to make sure your college student’s belongings are protected in case something happens.
It’s better to be safe than sorry!
Life Insurance for College Students
When most people think about life insurance, they don’t usually associate it with college students.
However, there are actually a few reasons why having life insurance while in college can be a good idea.
For example, if you have student loans, then your parents or guardians may be responsible for paying them off if you die before they’re paid off.
Additionally, if something happens to you while you’re in college and you’re unable to work, then life insurance can help cover your living expenses until you’re able to get back on your feet.
There are a few different types of life insurance policies that are available to college students.
Term life insurance is the most basic and affordable type of policy. It provides coverage for a set period of time, typically between five and 30 years.
Whole life insurance is a more permanent type of policy that covers you for your entire life.
Universal life insurance is similar to whole life insurance, but it has the added benefit of allowing you to invest a portion of your premium in an account that can grow over time.
The best way to decide which type of policy is right for you is to speak with a life insurance agent who can help you understand your options and choose a policy that meets your needs.
If you’re a parent with kids in college, then it’s important to make sure they’re properly protected in case something happens to them.
Life insurance can give you peace of mind knowing that your child will be taken care of financially if something happens to them while they’re in college. Talk to a life insurance agent today to learn more about your options.
Have a plan in case of an emergency
Do you have contact information for your children and their friends during this new chapter of their life?
Have you established a “survival guide” if they contract COVID after beginning school?
- Does the university make accommodations for attending class?
- What services do they offer?
- Who brings your child food or will they be required to find their own way?
- Is health care covered by a University Health Care program or system?
- Does that include prescription drugs?
Are parents responsible for the debts of their children in North Carolina?
As college costs continue to rise, many parents are understandably concerned about how they will pay for their child’s education.
In North Carolina, parents are ordinarily not legally responsible for repaying their child’s student loans.
However, the state does allow creditors to seek repayment from a parent if the child defaults on their loan.
This is known as a “cosigner obligation.”
If you “co-sign” a legal document, that means you are guaranteeing that the person who signed it will fulfill their obligations.
So, if you co-sign your child’s student loan and they default on the loan, the creditor can come after you for the money.
That’s true for both federal and private student loans, as well as things like apartment rent and other expenses paid on a monthly basis.
It’s important to remember that, even if you are not legally responsible for repaying your child’s student loan, when you undertake financial responsibility for someone else the debt will likely still show up on your credit report.
That can make it difficult for you to get a loan yourself, or get a good interest rate on a loan.
So what can you do to protect yourself?
First, sit down with your child and have a candid conversation about money, health care, and plans if something doesn’t go right.
It’s important that they understand how much college will cost and what kind of debt they may incur.
Next, take a close look at your own finances and determine how much you can reasonably contribute to their education.
Then, start looking into student health insurance options, other plans, and benefit options.
There are a few different ways to get coverage, so do your research and figure out what will work best for you and your family.
And finally, don’t forget to update your life insurance policy.
You want to make sure that your family is taken care of financially in the event of your death or life presents other challenges.