PA Insurance Commissioner Recommendations for College Students

As college students return to campus to begin the new academic year, Pennsylvania Insurance Commissioner Mike Consedine reminds families to create a “dorm room inventory” for insurance purposes.
“Many college students head to campus hauling a costly array of personal possessions,” said Consedine.

“You need to itemize what they are taking with them. Also, while homeowners insurance coverage for some valuables does travel with the student, policies may limit coverage for a student’s off-premises belongings. It is important to learn your policy’s specific coverages.”

Having an up-to-date inventory will help determine how much insurance is necessary and may also help in settling the claim if there is a loss. Expensive computer and electronic equipment may also be subject to coverage limits. If the limits seem too low, parents may consider buying a special personal property floater, or an endorsement, for these items.

The student’s possessions would be covered for the same disasters that are found in a standard homeowners policy. This would include, fire, theft, vandalism and natural disasters such as a hurricane. The student would not be covered for typical college mishaps such as accidentally spilling coffee on an expensive electronic device.

Parents may want to look into stand-alone policies for desktop computers, laptops, tablets and iPads, and other electronics. These policies may provide coverage against accidental damage, liquid spills and other events not included under a standard homeowners policy.

Also, students who live in off-campus housing may not be covered by their parents’ homeowners policy and may need to purchase separate renters insurance. Parents should contact their insurance agent or company representative to see if their homeowners or renters policy extends to off-campus living situations.

Consumers with questions should call the Pennsylvania Insurance Department at 1-877-881-6388, visit the Insurance Department online at www.insurance.pa.gov or give DGK a call 800-242-4337.

Crash Test

I watched a new car crash dummy test this morning on the news.  It showed a crash a little off center from original front-end car crash.  The new test established when the engine block is not engaged in a car crash where it can absorb the impact the driver does not survive.  The new test focuses on 24% of the front end versus 40% of the front end in the original tests. 

IIHS responded to the more than 10,000 deaths from frontal car crashes.  When nearly every car performs well in the original frontal crash test, there must be a reason for all the deaths.  Only two of the eleven luxury cars tested received a good rating.  I do not own a luxury car, I own a Honda Civic.  The group, IIHS - Insurance Institute for Highway Safety, will test a Honda Accord next.  Consumer Reports does not expect significant improvements due to the testing in the next five to ten years. 

Having an automakers car earn a spot on the “top safety pick” list, is paramount to increased sales.  I check the Safety list, don’t you?

What do you do if you cannot afford a luxury car that passed the new crash test?  Like me, you continue to practice defensive driving techniques including wearing your seat belt, purchase cars within your price range that do make the safety list and wait for the auto makers to redesign safer and sturdier cage for all cars. 

Good Luck out there.