Cut the cost of being a student

With A-Level results in the bag, many students will be preparing to head off to university and fend for themselves. However, with the cost of student life on the rise, spiralling to more than £34,000 over three years, moneysupermarket.com urges parents and students not to waste money on standalone contents cover and expensive car insurance.

Research from the price comparison site reveals an average standalone contents insurance policy can set you back over £603 a year. However, when living in halls of residence, money-savvy students could avoid this cost by covering themselves for free under their parents' home insurance policy.

Peter Gerrard, head of insurance research at moneysupermarket.com said: "Many students at this time will be looking forward to experiencing everything university life can offer, but they must also be fully aware that getting a degree can be a very expensive affair. With essentials to pay for such as tuition fees, accommodation and pricey consumer goods like laptops, contents insurance could be another costly addition to student living. However, it could cost nothing at all if students take out cover under their parents' home contents policies. It's easy to do and will save much needed cash at a time when budgeting is tight.

"Big name insurers such as Direct Line and Lloyds TSB offer parents and students this option and will cover you for up to £5000 or 15 per cent of the sum insured for contents, whichever is greater."

However, parents must be aware any claim made will directly impact their own claims history. Although the combined offer of parent and student insurance in the one policy would make savings it is worth bearing in mind that a stand alone student policy provides insurance that is far more tailored to the students needs. Many of these policies cover for items such as library books and rented household items3. With students three times more likely to be burgled than other age groups it is important to ensure that their collection of gadgets is adequately covered.

When it comes to getting behind the wheel at university, students need to be aware of the heavy price they could pay; moving from a suburban home with a driveway to a lively university city with on-street parking could mean a £1300 spike in premiums.

Peter Gerrard continued: "Students taking their cars to university must ensure they have the correct insurance and amend their policy where necessary; cost-conscious students may want to think twice about taking their car with them. For those that do want to get behind the wheel whilst at university I advise them to shop around for the most competitive policy possible."