Lilah Butler, Car Insurance Writer
@lilah_c
Yes, grades affect car insurance, since every major car insurance company offers a good student discount. Most insurers provide a discount of up to 25% for good grades if a named driver on the policy is unmarried, in high school or college, and between 16 and 25 years old, as long as they maintain a B GPA. Many companies also allow students to qualify if they score in the top 20% of a national standardized test or if they receive an honor roll or dean’s list designation. Additionally, some insurers extend eligibility to students at a trade or vocational school.
It’s important to note that grades are not factored into your base premium. Instead, your base rate will depend on factors like your age, driving record, and ZIP code, and the discount will be applied to this base amount.
Insurers offer good student discounts because drivers who are responsible in the classroom are likely to be responsible on the road as well. Similarly, most insurers offer a student-away-at-school discount, which reduces premiums for drivers who attend college away from the insured vehicle.
For more information, check out WalletHub’s guide to car insurance discounts.
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