Everyone needs car insurance – but it can really add up. If you’re a senior you may be in for an unpleasant surprise, as many insurers will begin to raise the rate you pay after age 65 and 70.¹ But fortunately, there are many insurance providers that are offering great discounts to drivers who meet fairly basic criteria. Overpaying on car insurance can be an irritating financial burden, so taking steps to make sure you’re not paying too much on your plan is critical.
Why Do Some Seniors Pay More For Insurance?
Insurance is all about risk factors. Insurers generally believe that seniors are more likely to have slower reflexes, vision issues, and physical health challenges. However, seniors also drive more cautiously on average and drive more cost-effective and fuel-efficient cars.
The truth is that a senior is an optimal person to insure, so don’t let a company take you in and tell you that you need to pay out the nose to stay covered on the road. Shopping around online for the best rate is your best bet to find a fair rate and save big, but there are also other steps you can take to keep the insurance rates down.²
Take A Lesson
Providing proof that you are taking lessons at a driving school can lower rates for seniors. Even if you have a perfect driving record, lessons can help you brush up on all the rules of the road and be the best—lowest-insured driver—you can be.
At the moment, 34 states in the United States guarantee an insurance reduction to seniors who take driving lessons and refresh their skills behind the wheel.³ It’s worth seriously considering: discounts are generally five percent to fifteen percent off, which can add up to some sweet savings.
Get A Cheaper Vehicle
Insurance rates depend quite a lot on what vehicle you are driving. For this reason, seniors should consider purchasing a cheaper vehicle which will correspondingly bring down rates. There are plenty of cars on the market—new and used—that don’t cost the world but are safe and reliable, particularly brands like Hyundai, Toyota and Nissan.⁴
If you purchase a vehicle that also has an alarm system, working air bags and other security features this can also bring down insurance rates. If you’re currently driving a luxury sedan or SUV it may be worth considering selling it and buying a less expensive vehicle that gets quoted lower for insurance.
Limit Your Driving
As a general rule, insurance companies charge less if you drive less. If you are on the road 24/7 there is a higher chance of an accident—even if you’re a master driver. Seniors who may be driving less can let the insurance company know and receive an accordingly lower rate.
Shop Rates
Just like browsing in a store, browsing insurance options online is a great idea. Many online services exist that have helpfully compiled information comparing rates on car insurance for seniors.⁵ The big names don’t always offer the best rates, so looking at local, no-name providers can be a very smart idea.
Seniors looking for the best rates on car insurance—and the best coverage—will be well advised to spend some time and carefully consider all their options.⁶ In the end the time can really be worth it.
There are many reputable insurance providers, including those who understand the needs of seniors very well. It is worth spending a few extra hours to look around and find the deal and coverage that is right for you.
[1] https://www.nerdwallet.com/blog/insurance/auto/how-age-affects-car-insurance-quote/
[2] https://www.thebalance.com/best-car-insurance-for-seniors-4158714
[3] https://usatoday.com/story/money/cars/2014/08/27/senior-citizen-driver-car-insurance-discounts-classes/14693995/
[4] https://www.digitaltrends.com/cars/most-reliable-cars/
[5] https://www.thezebra.com/car-insurance-seniors/
[6] https://www.money.co.uk/car-insurance/car-insurance-for-over-80s.htm