A major car insurance provider has advised all students who will be attending university this year to make sure they are car cover savvy.

The insurer noted that by researching and shopping around, car owners are sure to find the best deals and could save money when considering contents and insurance options.

With a recession and the average student debt creeping up to £23,000, higher educational individuals already have the odds stacked up against them, therefore car insurance doesn’t have to be another problem.

A lesson in saving money

Taking a vehicle to university may seem like an attractive option, but research has shown that there are many complications to this ideal.

For example, moving a car from a ‘safer’ suburban home with a driveway to a ‘lively’ student atmosphere, with on-street parking, could result in an increase of £1,690 a year on a car premium policy.

Steve Sweeney, head of motor insurance at the firm, said: "Such a significant increase in price means it is vital to consider whether a car really is needed while away at university.

"Students who do decide to follow this route must ensure they have contacted their provider to amend the policy details to reflect their change in living situation.

"It is crucial to all motorists but students getting behind the wheel should shop around for the best motor insurance deals available on the market, in order to guarantee their money stretches as far as possible."

Julie Owens, head of insurance at the company reminded why insurance is so important: "There's no doubt the student lifestyle often runs on a tight budget, but as students are three times more likely to be a victim of theft than any other age group5, it is essential for them to have adequate insurance in place to protect their belongings.

"The cost of personal items such as laptops, academic books, and other electrical items can easily come into their thousands, so foregoing contents cover could be a risky option."

Furthermore, for those students tempted to break the law by "fronting" on their parent's motor insurance to save cash, the insurers have offered a word of warning; fronting is illegal and is classified as fraud by insurers.

According to recent research, one in five drivers (19%) have, or are considering, insuring their child's car in their name and then adding the child as a second named driver even if they will be the main driver of that vehicle.

Steve Sweeney noted: "Students considering this route are playing a very risky game. If an insurer finds out you are not the main driver and you happen to have an accident near the student halls of residence, your insurance and any potential payout will be invalid. It could prove to be a false economy."

Loyal or lazy

Research has shown that it is always best to shop around when buying an insurance policy. This is the one bit of advice students need to learn, and could be the difference between passing or failing when it comes to saving money.

However, surprisingly, more than six million motorists do not compare prices when they renew a policy, meaning that £9.4 billion is lost collectively.

One in five drivers do not shop around and 2.6 million motorists stated they cannot be bothered to see if they can save money. This practice definitely won’t get student’s top marks in their economic lectures!

Therefore, Sweeny reminded drivers that it only takes a few moments to research: "Even if you think your quote can't be beaten, it only takes a few minutes to make sure you really do have the best value policy to suit your needs."

With these tips, students can pass with flying colours!