Auto insurance

Good Student Discount just got easier

Tuesday, September 3, 2013by  Jon Osterberg

student holding folder with A+ paper sticking outStudents who earn good grades pay less for insurance, and now getting a good-student discount is even easier.

Insurers charge good students less because studies show that good grades equate with fewer collisions.

Up to now, once a student sent PEMCO a copy of his or her report card each year when the policy renewed, we applied a discount of up to 20%. If we didn’t receive the grades in time, the student could see a spike in premium – understandably frustrating.

But as of Sept. 1, students need to verify their eligibility only once to receive our Good Student Discount. At renewal, we’ll simply assume students are maintaining good grades.

Trust is key in any relationship, and we trust our customers to do the right thing, just as they trust us to help them when they need it most.

Drivers age 16 through 24 can qualify for the Good Student Discount, which can shave up to 20% off liability, collision, comprehensive, and personal-injury-protection premiums for students who average a “B,” make the dean’s list, or rank in the top 20% of their class.

Older students also qualify for another discount – our Distant Student Discount – if they attend college at least 75 miles from home and don’t have a car. That would apply, for example, to students who live in Seattle and attend Western Washington in Bellingham or Central Washington in Ellensburg, or farther.

Portland students who attend Oregon State in Corvallis would qualify, as would Bend students who attend Oregon in Eugene.

Even students living in Spokane can earn the Distant Student Discount – just barely – if they attend Washington State in Pullman, which is exactly 77 miles away.

This blog entry differs from others I’ve written because it sounds a little sales-ish. But there’s a big consumer-education payoff here, whether I’m writing as a PEMCO advocate or for another insurer. The payoff: Everyone wins when students earn good grades.

Parents who pay their kids’ car-insurance premium win when good grades equal less cost. And how about all the students who pay for their own insurance? They definitely win by saving money.

PEMCO wins because good grades = safer drivers = fewer accidents = lower business costs. And our customers benefit from lower business costs because it helps keep premiums down for our owners. And who are they? Our customers. PEMCO is a mutual insurer, meaning we’re owned by our policyholders, not stockholders on Wall Street.

See how that works? When students earn good grades, it’s not a cliché. Everyone wins.

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Comments on this post

personPEMCO06/28/2018 10:41 AM
Maida -- Congratulations on your achievements. Insurance rates including discounts are highly regulated by the state. To comply with our state filings we must adhere to the rules. You’ll be eligible for the good student discount as soon as you’re grades reflect a 3.0. Additional guidelines to receive the good student discount are you must be between 16 – 24 years old and attending a vocational/technical school 30 or more hours a week, 10 or more semester hours or 12 or more quarter hours for college or university students.
personMaida06/26/2017 01:29 PM
I'm at a 2.95 GPA currently. I made mistakes earlier on and it caused my GPA to be that low. I am now making good grades, straight A's actually. Is there anyway that I can still get the discount? Or do I have to be at a solid 3.0 to receive it?
personAaliyah12/19/2016 10:04 AM
If I'm .4 away from a 3.0, is there any way I can receive the good student discount?
personCraig Kehrberg09/23/2015 02:22 PM
Kathy, if we can't get an official transcript, we can accept the unofficial document but may follow-up with a Good Student Discount application. The form can be signed and dated by the school registrar to confirm that the student meets the requirements for the discount.
personKathy09/23/2015 12:00 PM
Do you require an official college transcript or can it be unofficial?  Even if I send an "official" transcript electronically, once it is opened it is considered unofficial anyway.
personJaime Layng08/12/2015 04:50 PM
Great question! While we cannot accept a grade report older than the most-recently completed quarter or semester, that doesn’t mean your daughter can’t qualify for the discount. Our Good Student Discount application form has a section that can be signed and dated by the school registrar to confirm that she meets the requirements for the discount.
personTheresa Slulsher08/11/2015 03:40 PM
My daughter is a student at The Evergreen State College and they do not give letter grades.  She does have grades from last year when she graduated from South Puget Sound Community College.  Will a copy of those work?
personJaime Layng07/06/2015 01:50 PM
Great question! Student drivers who are less than 75 miles away may still present unique risks with your auto insurance. I recommend contacting our Customer Service Department so we can take a look at your specific situation.
personJohn B07/01/2015 08:07 AM
My son is going to school in Redmond (not more than 75 miles), but he will not have access to a car and will be living in school housing. How do I shut down his insurance while he is away and only reinstate when he is home for the summer?
personJon Osterberg11/19/2014 10:27 AM
Jacqueline, if this is the first time you're applying for the discount, yes, please send us your grades. It's your choice how: online at, or fax to Customer Service at 206-628-2735. Keep up the good work!
personJacqueline Barbeau11/18/2014 06:34 PM
My mother would like me to send in my grades to receive the good student discount, but I am unsure of where to send them. Can I send my grades to PEMCO online? Or do I need to show a hard copy as proof of my grades? Please let me know as soon as possible. Thank you!

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