Do students need insurance?

The short answer is probably yes. A lot of students reasonably deduce that if they don’t own their property they don’t need to insure it, likewise their cars and contents. Life insurance is a bit different but health insurance isn’t. Most people under 25 probably don’t and shouldn’t care about life insurance unless they are already settled with a family. Other insurance, - it’s fair to say you might need any one of these listed, here’s why.

When Accidents Happen

You have a few friends over and they accidentally damage building infrastructure. It’s unlikely that your landlord will be covered for that type of event and it’s even more unlikely that he or she will let you off the hook from paying for the damage. If it’s a minor repair it won’t be a biggie but if not, well, you have to make the call. Same goes for your personal things, you’ll have to weigh up whether they are valuable enough to worry about insuring or whether it’s just not worth it.

The Risks

The thing about all insurance is that it is a gamble at the end of the day. When you’re on a tight budget the risk that you’ll have to make a big payout may not be worth what you’ll have to forego to have insurance. Then again if you live in a ‘ tort state’  for auto insurance definitely get some!  If you don’t, any accident, especially if there is harm, has the potential to set you back for the rest of your life.

Health Insurance

So that leaves health insurance which is has changed recently for anyone under 26. New legislation means that students can remain under their parents’ health insurance now until they turn 26, and that is the case even if the student gets married, or works, or anything else. Well, that’s at least one less thing to worry about.