Sending Your Kid to University? Don't Buy Extra Insurance Yet. How to Extend Your Home Policy for Free

⚠️ 2026 Housing Warning: Due to the student housing crunch, many students are cramming 4-5 people into a single rental unit. Be warned: Most standard home insurance extensions automatically void if there are more than 2 unrelated roommates living in the household.

🎓 The Dorm Room Theft

Your daughter just moved into her dorm at UBC or U of T. She has a MacBook Pro ($3,500), an iPad, and expensive noise-canceling headphones.

A week later, someone leaves the dorm door propped open, and her laptop vanishes.

You panic. "We didn't buy her separate insurance! Are we out $3,500?"

Good News: Probably not. If you own a home, your existing policy likely has a built-in feature called "Student Away From Home" coverage. It protects your dependent children while they are at school, often at no extra cost.

Sending Your Kid to University?

Before you spend $300-$500 a year on a separate Tenant Insurance policy, check your own policy first. Here is how the "Extension" works.

The "Extension" Rule

Insurance companies understand that students are temporarily living away but are still "dependent" on their parents. This coverage bridges the gap.

🛡️ What Is Covered?

• Personal Property: Clothes, tech, and musical instruments kept at the dorm/apartment. Note: Limits are usually capped at $5,000 to $10,000.
• Liability (Crucial): If your child accidentally starts a kitchen fire or floods the bathroom, damaging the landlord's property, your home liability coverage protects them (and you) from lawsuits.

The 3 Conditions (The Checklist)

This coverage is not automatic. To qualify, your child typically must meet these three strict criteria:

Condition	Details
1. Full-Time Student	They must be enrolled full-time. Part-time students often do not qualify.
2. Primary Residence	Their "permanent address" on their driver's license/ID must still be your home.
3. Age Limit	Most policies cover them up to age 24 or 25. If they are older, they need their own policy.

When You MUST Buy Separate Insurance

Sometimes, the free extension isn't enough. You should buy a standalone Tenant Policy ($25-$40/month) if:

• The "Roommate Limit": If they live in a shared house with more than 2 unrelated people, standard insurers often refuse the risk due to "party liability."
• High-Value Items: If they have a $5,000 gaming PC and a $4,000 mountain bike, the extension limit (often capped at $5k or $10k) won't be enough.
• Co-Signing the Lease: If you co-sign the lease, you are 100% liable for damages. A separate tenant policy in the child's name helps ring-fence that liability away from your primary home insurance history.

Chief Editor’s Verdict

Don't guess. Call your broker today and ask: "My child is moving to university with 3 roommates. Does my 'Student Away' clause cover this specific living arrangement?"

This 5-minute call can save you from a denied claim or a lawsuit. If coverage applies, you save $400 a year. If not, buying a separate policy is a small price for total peace of mind.

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[Insurance & Legal Disclaimer]
Insurance policy wordings vary significantly by provider (e.g., Intact, Aviva, Wawanesa). Some policies exclude coverage entirely if the student is studying outside of Canada. Deductibles typically apply to student claims. "Part-time" work definitions may affect dependency status. This article is for educational purposes only and does not constitute professional advice. Always verify directly with your licensed insurance broker.