What Is The Best Auto Insurance For Seniors?
Retirement can mean different things to different people. For the first time in many years, you won’t need that annoying alarm clock anymore. You’ll have the freedom to fill your days as you please, to truly kick back and relax after decades in the workforce. In retirement, you can finally check some things off your bucket list and live the life of your dreams. But unless you can afford a personal driver, you’ll probably be driving yourself a lot. That means you’ll need insurance—and because you’re on a fixed income, low income auto insurance for seniors.
Why do seniors need different car insurance from the standard policy everyone buys? Well, statistics show that older drivers are more prone to accidents than younger people. Their vulnerability on the road is associated with aging, a natural process affecting one’s senses and reflexes. Specifically, impaired hearing and vision directly impacts driving ability.
Instead of declaring all seniors unfit to drive, which would be unfair, insurers offer different policies with perks and discounts designed to meet seniors’ coverage needs. If you’re a senior seeking the best auto insurance, this article is for you.
What Is The Best Auto Insurance For Seniors?
Age is a critical consideration when calculating auto insurance premiums. While newly licensed drivers can purchase standard auto insurance, they pay the highest premiums since their inexperience poses the greatest risk. As they gain experience on the road and age while maintaining a clean driving record, their insurance burden eases. Middle-aged drivers enjoy such relief until their senior years when their driving ability typically declines. In older age, drivers once again become accident-prone, which is factored into your auto insurance.
Therefore, car insurance for seniors is tailored to meet the specific coverage needs of senior drivers, mostly above the age of 50. Ironically, you probably won’t get a typical senior’s discount for your senior auto insurance. Even so, some providers offer certain discounts and exclusive features to older drivers who have outstanding driving records. Also, 30 states mandate that insurance providers offer a discount to older drivers who have undertaken a driver safety or improvement program. Taking advantage of all these can help lower the cost of your car insurance.
How Does Auto Insurance Differ for Seniors?
Auto insurance for seniors is structured and billed differently than standard auto insurance. As mentioned, a person’s senses and nervous system change as one ages, making it more difficult to notice details on the road. This renders older drivers unsafe behind the wheel. To protect their interests, insurance providers review auto insurance for senior drivers by factoring in the inherent risks associated with deteriorating driving ability.
Although auto insurance for seniors is more costly compared to what middle-aged drivers pay, older drivers do enjoy age-specific discounts, especially when they maintained a good driving record over the years. Other perks may include an AARP® membership, home assistance in the event of an accident, and road assistance, to name a few.
How Much Does Car Insurance for Seniors Cost?
The cost of auto insurance changes periodically to reflect the driver’s age and experience. Insurance cost is highest when you’re a teenager and declines considerably with each birthday until you turn 50, when you enjoy the best rates. Reportedly, in the U.S., teens are the most dangerous drivers. However, as they continue driving over the years, they gain invaluable experience on the road, eventually posing little insurance risk from their 30s to their 50s.
But then, driving ability declines as drivers enter their senior years. This increases coverage cost, but not to the punitive amounts teenagers pay. Several factors besides driver age are considered when calculating insurance premiums. While most providers use similar criteria to determine premium quotes, it is common for various insurance companies to offer different rates for the same coverage.
As such, we strongly recommend that seniors looking for auto insurance shop around for quotes from different providers. Target providers with affordable rates, favorable terms, perks, and discounts in order to avoid extra expenses when you can qualify for cheap auto insurance for seniors with similar benefits. We can help you request quotes from multiple providers in your region, saving you from becoming overwhelmed by the process.
According to various quotes in the market, we have established that a senior driver aged 65 pays an average of $1,737 for car insurance versus $2,040 and $2,470 paid by drivers aged 75 and 85, respectively. You could spend more or less than the stated averages depending on your location, type of vehicle, and driving record. You can save money by requesting all the discounts that you qualify for, making good use of them.
Best Overall Auto Insurance For Seniors
Finding the right auto insurance for seniors can be a dilemma due to the contrasting benefits and discounts that various providers offer. As a senior driver, you want to save money on your insurance without compromising your coverage needs. This can be a real puzzle, especially when dealing with several providers offering diverse plans. Fortunately, most providers cater to the needs of specific groups of senior drivers, lifting the dilemma when you fall into one.
While it’s easy to compare quotes and make a list of the cheapest insurance you’re eligible for, sometimes the most affordable policies don’t fully address your specific needs. For instance, Geico offers the cheapest auto insurance for seniors, but veterans can find a better option elsewhere. The same applies to drivers with exotic rides, occasional senior drivers, and high-risk drivers. The real challenge is finding the perfect balance between cost and coverage.
After thorough analysis of the best available options, we strongly recommend the AARP® Auto Insurance Program from The Hartford as the best auto insurance for seniors. Our recommendation is based on the several perks offered by the provider, coupled with the program’s high customer satisfaction rating. The AARP® Auto Insurance Program from The Hartford ranked favorably in the J.D. Power 2019 Auto Claims Satisfaction Study of the major insurance providers in the U.S. It may not be the cheapest option on the list, but it offers the best value among its equally competitive peers.
1. The AARP® Auto Insurance Program from The Hartford
The American Association of Retired Persons (AARP) in partnership with The Hartford runs one of the best auto insurance programs for seniors. The program is part of AARP’s commitment to empower mature adults, aged 50 and over, to live better in retirement. The initiative was launched in 1984 and has since served over 40 million AARP members and their families. The AARP® Auto Insurance Program from The Hartford is available only to AARP members. Through the program, senior drivers can get customized insurance plans with certain features unique to them. This allows them to get up to 10% off the insurance cost just for being AARP members.
What would you do with your savings? Switch to the AARP® Auto Insurance Program from The Hartford today!
The auto insurance from The Hartford offers other benefits, such as a round-the-clock claims hotline, accessible by phone or online. As you recover from a road accident injury, the plan caters to your logistics and other homecare costs through its Recovercare benefit. They forgive first accidents regardless of who was at fault. Also, drivers who maintain a clean driving history enjoy a disappearing deductible benefit, whereby the deductible decreases over time. Other benefits include
Although AARP is focused on enhancing the lives of senior citizens, the nonprofit organization is open to people of all ages. Membership costs just $12 for the first year (automatic renewal) and $16 annually after that. You’ll save 10% off the annual fee for purchasing a three-year membership in one installment, and up to 21% off for a five-year membership. Without a doubt, the AARP membership offers tons of benefits, including insurance discounts and personalized services and programs.
2. Who has the cheapest car insurance for seniors?
AARP offers a range of benefits to its members, from discounted insurance rates from The Hartford to certain unique policy features. However, some perks are conditional, and only eligible members can enjoy them. For instance, when you bundle your house and car insurance, you become eligible for up to a 20% discount. With this, senior drivers can save at least 5% off the cost of their car insurance.
AARP encourages members to pay for car insurance in full by offering an associated discount to drivers. You can also get discounted rates for driving vehicles equipped with modern safety features, such as side airbags, or environmentally-friendly cars, like hybrids or electric cars. Taking advantage of these discounts will help you save money on insurance.
Frequently Asked Questions
Below are some frequently asked questions about the best car insurance for seniors.
1. Do seniors pay more for auto insurance?
According to many insurance companies, a senior driver is anyone aged 50 or older. Typically, insurance for seniors is more costly compared to middle-aged drivers. However, at 50, drivers pay the lowest premiums across all age brackets. Drivers over 60 begin to notice a steady increase in premiums as their age advances. This means that by the time they hit 70, they will pay higher premiums than when they were 60 or below.
Coverage cost is even higher for seniors with exotic cars that need robust coverage. Location is also a major factor in insurance cost. Michigan has the most expensive rates for seniors, with an average of $3,468 for drivers in their 70s. Maine bills its seniors an average of $940, about four times less than Michigan’s rates. Some providers offer discounted rates to seniors with outstanding driving and claim-free records. Occasional drivers may also request a discount.
2. Do seniors get discounts on auto insurance?
Unlike other sectors, insurance doesn’t exactly reward old age with a senior’s discount. Mature drivers are considered dangerous due to their declining senses and reflexes, making them more prone to accidents. Older drivers, therefore, pay higher premiums than middle-aged drivers with optimal body functioning and driving experience.
Even so, senior drivers may qualify for a discount based on a couple of factors. At the top of the list is a clean driving record. If you’ve been a safe driver all along, you could qualify for an insurance discount. Driving an environmentally-friendly car can also earn you a significant discount. The same goes for equipping your vehicle with safety features that minimize the risk of injury in case of an accident.
As previously mentioned, some states encourage insurers to offer a discount to seniors who have undertaken safe driving courses. If you live in Massachusetts, you get a senior discount when you turn 65. Seniors who drive less frequently can also pay lower premiums. If your provider doesn’t offer a discount for occasional drivers, you could consider switching to a company that credits you for driving less. A couple of companies offer pay-per-mile insurance programs, which amounts to cheap car insurance for seniors who don’t drive a lot.
3. Does car insurance go up after 80?
Insurance cost increases steadily after your 50th birthday. Before you turn 60, the additional cost might not be significant, but as you go past 65 you’ll feel the pinch. Most insurers charge seniors a higher premium after the age of 80 because they are more prone to accidents than 65-year-old seniors. Shop around for providers that specialize in covering seniors over 80. This does not guarantee you low rates, but it’s worth exploring.
Takeaway
No one provider is the exact fit for everyone. We strongly recommend that you get quotes from different providers in the market. Based on customer satisfaction rates and market trend analysis, however, the AARP® Auto Insurance Program from The Hartford provides the most comprehensive coverage at affordable rates.
