When Cameron Harta took his truck to college with him, he knew it could be a bit of a hassle. Hurta studied at Texas A&M University. When he was enrolled, it was the largest university in the country in terms of students participating on campus and was able to find a parking lot. “Combined with the small urban infrastructure at the university station, student population size also encouraged large traffic congestion on two main roads to the university,” Route said.
Hurta initially brought a car for freedom to head to nearby Houston and Austin. He is not alone. Of the nearly 20 million students who enrolled in university in 2018, about half took their cars to school. But when it comes to weighing your car to college, it’s not just about whether it’s available for weekend trips. Bankrate’s insurance editorial team features 101 courses on what college students with cars should know.
Is it worth taking your car to university?
There is no correct answer for everyone. It depends on your personal situation. Most of these situations will be financial. Consider these costs:
- gas: According to the AAA, the national average cost of gas is $3.17 per gallon. However, in some states, that average is almost $5 per gallon.
- Maintenance Cost:Bankrate’s hidden cost of ownership research shows that on average, drivers spend an average of $6,684 hidden expenses, including car insurance, gasoline, vehicle taxes, and car maintenance/repairs.
- Parking Permit: Most campuses offer parking permits, but can cost up to several hundred dollars per semester.
- insurance: Auto insurance tends to be more expensive for younger drivers, especially for purchasing drivers
If you have off-campus work, it’s convenient to have a car. Alternatively, if you live within driving distance and want the option to spend the weekend at home, it may be convenient to keep your car in hand. Ultimately, you’ll want to make a decision based on total costs and profits.
learn more: My kids go to college. Are they allowed to share their cars with friends?
How can college students save on car insurance?
High prices for car insurance can narrow down the already tight budgets for university students. Auto insurance costs have been steadily rising over the past few years. From 2023 to 2025, the average cost of full compensation increased by 31%, at around $625 a year. Experts predict that rates will not rise as quickly as they have in the past few years, but costs are expected to rise throughout 2025.
Worse, younger adults tend to pay more policies compared to drivers in their 30s and 40s, primarily due to lack of driving experience and higher risk of claims. But just because prices rise doesn’t mean they can’t be lowered. In addition to comparing quotes before purchasing a policy, there are a few other things college students can do to find more affordable coverage.
Maintain a clean driving record
One of the best things you can do to keep your car insurance costs low is driving safely. A single speeding ticket increases the average cost of full coverage by $608 a year, but an outage accident adds an average of $1,199 to your car insurance premiums. Our analysis shows that DUI can almost double the cost of a full compensation policy. A DUI conviction can only increase your car insurance rate by $2,540 a year. The safe habit behind the wheels is more than just common sense. If you are a university student, you can pay to drive carefully. If you’re drinking, don’t be behind the handle. Many university campuses offer shuttles to and from the haunted presence of local students. You can also use ride sharing such as Uber and Lyft and check if there is public transport.
Find a discount for auto insurance for college students
Instead of reducing coverage to find more affordable car insurance, look for discounts. Many of the top insurance companies offer additional savings opportunities for university students. This usually includes:
- Good student discount: Students who maintain a high GPA are usually eligible for this discount. Each car insurance company may have its own threshold, but it is usually at least 3.0 GPA or B-average.
- Safe driving course discount: By completing a qualified, safe driving course and receiving a certificate, you can usually get a cheaper premium. Check with your insurance company to see what’s offered.
- Telematics Discount: If your company offers it to combat some of the high rates faced by younger drivers, it may be helpful to use a telematics program. Participating drivers will earn discounts based on their real-time safe driving habits.
- Affiliation Discount: It’s an amazing experience to be involved in a variety of college clubs and organizations. Some people often offer discounts on car insurance, like fraternities and sororities. Each car insurance company has different affiliations, so we recommend checking with you to see where this type of discount applies.
Can college students stay with their parents’ car insurance?
In most cases, younger drivers can stay with their parents’ car insurance while attending out-of-state colleges. For example, if the car they are bringing is registered in the parent’s name and they return home during the holidays, students can usually stay with their family’s car insurance.
In this case, make sure your car’s garage zip code is updated to your new address for your car insurance. This applies whether the student is attending university, living within the state and living on campus. You’d probably also want to check what the state’s DMV regulations are for bringing out-of-state vehicles to see if there are any special rules or requirements regarding car insurance for students.
learn more: Can I stay with my parents’ car insurance?
Get an old car
If you’re going to take your car to college, you might be better off having something that makes you age a little. Brand new cars with a stylish infotainment system and high-tech specifications may cost you insurance. Based on the analysis, the Honda CR-V and Toyota Tacoma, the Subaru Outbacks, are some of the cheapest models to insure. Older models years – not fresh from many, but still good on the road – are like a sweet spot for insurance pricing. Parts from these vehicles tend to be easily sourced, reducing repair costs. And vehicles with cheaper modifications are usually covered by insurance.
Are you thinking of a car on campus? Don’t ignore other tuition fees
Insurance is not the only consideration when deciding whether to bring your car to university. First, consider other non-negotiable campus costs, such as housing, meal plans, textbooks and of course tuition fees. If they’ve already pushed the limits of your budget, it may not be your best financial interest to take you to university.
If you have a student loan, you may be able to use it to pay for your insurance. Student loans can help you pay for transportation costs. Some of this may include car insurance premiums. However, you should check with your financial lender before assuming that is the case.
How much does car insurance cost to students?
College students may reduce car insurance costs by qualifying for a specific discount and staying with family car insurance if possible. The table below compares the average full coverage rates for college drivers with those who stay with their parents in addition to car insurance.
| Age group | average. Full coverage premium for parent policy every month | average. Monthly full coverage premium with your own policy |
|---|---|---|
| 18 years old | $414 | $615 |
| 19 years old | $364 | $498 |
| 20 years old | $340 | $455 |
| 21 years old | $312 | $378 |
Conclusion
Bringing a car to university is primarily a financial decision, but it also has social and emotional aspects. “Many of what the Aggies called the ‘Aggie Spirit’ appeared in late-night parking conversations, in troubling attempts to hang across the ice in empty parking lots when a snow storm piled up,” Route said. “Given the place that’s not found anywhere on the College Station, the backroad karaoke sessions have become social staples.”
Hurta’s university experience would not have been the same without the track. Not only did he get more of the Texas A&M social scene, it also allowed him to give back. “I spent most of the spring semester hauling tools and volunteers towards local service events. On Tuesday morning, we saw trucks full of veggie bags for our local food bank,” he said. “Without my car, I wouldn’t have put myself heavy on the wider college station community. I think I’d given back those relationships and far outweighed the time I’ve lost in traffic.”
Methodology
Bankrate uses Quadrant Information Services to analyze April 2025 fees for all ZIP codes and carriers in all 50 states. The cited fees are based on 40-year-old male and female drivers with clean driving records, good credits and the following full coverage limits:
- $100,000 per person physical injury liability
- $300,000 for each accident
- Liability for property damages of $50,000 per accident
- Uninsured driver physical injury for $100,000 per person
- Uninsured driver’s physical injury for $300,000 per accident
- $500 collision deduction possible
- Comprehensive $500 deduction
To determine the minimum coverage limit, bank rates used minimum coverage to meet the requirements of each state. Our base profile driver owns a 2023 Toyota Camry, commutes five days a week and drives 12,000 miles a year. Bundles and paperless billing discounts apply.
These are sample rates and should be used for comparison purposes only. Your quote is different.
If specified, the base profile has been modified with the following driver characteristics:
