Compare Retiree Car Insurance Rates in 2024 (Top 10 Companies)
Learn why State Farm, Allstate, and Progressive are the top companies for retirees looking to compare retiree car insurance rates. Delve into what makes these companies stand out, including exclusive retiree discounts and savings strategies.
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Michelle Robbins
Licensed Insurance Agent
Michelle Robbins has been a licensed insurance agent for over 13 years. Her career began in the real estate industry, supporting local realtors with title Insurance. After several years, Michelle shifted to real estate home warranty insurance, where she managed a territory of over 100 miles of real estate professionals. Later, Agent Robbins obtained more licensing and experience serving families a...
Licensed Insurance Agent
UPDATED: Feb 12, 2024
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident car insurance decisions. Comparison shopping should be easy. We are not affiliated with any one car insurance company and cannot guarantee quotes from any single company.
Our partnerships don’t influence our content. Our opinions are our own. To compare quotes from top car companies please enter your ZIP code above to use the free quote tool. The more quotes you compare, the more chances to save.
Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.
UPDATED: Feb 12, 2024
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident car insurance decisions. Comparison shopping should be easy. We are not affiliated with any one car insurance company and cannot guarantee quotes from any single company.
Our partnerships don’t influence our content. Our opinions are our own. To compare quotes from top car companies please enter your ZIP code above to use the free quote tool. The more quotes you compare, the more chances to save.
On This Page
Company Facts
Average Monthly Rate For Good Drivers
A.M. Best Rating
Complaint Level
Pros & Cons
Company Facts
Average Monthly Rate For Good Drivers
A.M. Best Rating
Complaint Level
Company Facts
Average Monthly Rate For Good Drivers
A.M. Best Rating
Complaint Level
Compare retiree car insurance rates offered by State Farm, Allstate, and Progressive, taking into account factors such as credit score, mileage, coverage, and driving record. Assess the rates provided by these insurers based on their suitability for various customer profiles to make a well-informed choice.
Whether you have built up a sizable amount of savings for your golden years, or are worried about finances when you retire, one thing is true for every retiree — being careful with money is extremely important. You might be wondering if your car insurance rates will drop because you are no longer commuting to work or will they rise because you’ve hit a certain age.
Company | Rank | See Pros/Cons | Retiree Discount | Multi-Car Discount | Best for |
---|---|---|---|---|---|
#1 | State Farm | Up to 12% | Up to 20% | Bundle Discounts | |
#2 | Allstate | Up to 15% | Up to 18% | Comprehensive Coverage | |
#3 | Progressive | Up to 10% | Up to 12% | Safe-Driving Discounts | |
#4 | Farmers | Up to 12% | Up to 15% | Policy Options | |
#5 | Nationwide | Up to 10% | Up to 15% | Vanishing Deductible | |
#6 | Liberty Mutual | Up to 8% | Up to 14% | Multi-Policy Discounts | |
#7 | Travelers | Up to 10% | Up to 16% | 24/7 Support | |
#8 | American Family | Up to 7% | Up to 13% | Accident Forgiveness | |
#9 | Esurance | Up to 9% | Up to 14% | Online Convenience | |
#10 | AAA | Up to 12% | Up to 15% | Roadside Assistance |
#1 – State Farm: Comprehensive Bundle Discounts
State Farm stands out as the top choice for retirees, offering comprehensive bundle discounts, budget-friendly options, and a winning strategy for financial stability in retirement.
Brad Larson Licensed Insurance Agent
Pros
- Bundle discounts: State Farm offers substantial discounts, up to 20%, for bundling multiple policies, providing a comprehensive and cost-effective solution.
- Flexible discounts: With discounts of up to 12%, State Farm caters to a variety of needs, allowing retirees to personalize their coverage based on individual circumstances.
- Reputation: State Farm’s longstanding reputation for reliability and customer service adds a layer of trust for retirees seeking stable insurance options.
Cons
- Potentially higher rates: While competitive, State Farm may not always offer the absolute lowest rates, and retirees should compare quotes to ensure optimal savings.
- Varied customer experience: Customer experiences may vary based on the locality and specific agents, potentially leading to inconsistent service quality.
Read more: State Farm Car Insurance Review
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#2 – Allstate: Extensive Savings With Comprehensive Coverage
Pros
- Comprehensive coverage: Allstate is praised for its comprehensive coverage options, offering retirees a wide range of protection against various risks.
- Generous discounts: Allstate provides up to 18% discounts, ensuring retirees can enjoy substantial savings without compromising on coverage.
- Tech-savvy solutions: With advanced online tools and a user-friendly interface, Allstate appeals to retirees seeking convenient and efficient service.
Cons
- Higher premiums: Allstate’s premiums, especially for full coverage, may be higher compared to some competitors, impacting retirees on a tight budget.
- Claim satisfaction: Customer reviews indicate varying levels of satisfaction with Allstate’s claims process, suggesting potential room for improvement.
Read more: Allstate Car Insurance Review
#3 – Progressive: Prioritizing Safety With Generous Discounts
Pros
- Safe-driving discounts: Progressive’s emphasis on safe-driving discounts rewards retirees with clean records, potentially resulting in significant savings.
- Competitive rates: Progressive often provides competitive rates, making it an attractive option for retirees seeking affordability without compromising quality.
- Online convenience: Progressive’s user-friendly online platform offers retirees the convenience of managing policies and obtaining quotes from the comfort of home.
Cons
- Limited local agents: Some retirees may prefer face-to-face interactions, but Progressive’s focus on online services means there are fewer local agents available.
- Discount variability: Progressive’s discounts may vary depending on factors such as location and driving history, leading to differing rates for retirees.
Read more: Progressive Car Insurance Review
#4 – Farmers: Tailored Coverage Through Diverse Policy Options
Pros
- Flexible discounts: Farmers provides a range of discounts, up to 15%, offering retirees the opportunity to maximize savings based on their specific circumstances.
- Policy options: Farmers stands out with diverse policy options, allowing retirees to tailor coverage to their unique needs and preferences.
- Local agents: With a strong network of local agents, Farmers ensures personalized service and face-to-face assistance for retirees who prefer in-person interactions.
Cons
- Potentially higher rates: While offering various discounts, Farmers’ rates may not always be the most competitive, prompting retirees to compare quotes thoroughly.
- Discount availability: Some discounts may have eligibility criteria that not all retirees meet, limiting access to potential savings.
Read more: Farmers Car Insurance Review
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#5 – Nationwide: Progressive Savings With Vanishing Deductible
Pros
- Vanishing deductible: Nationwide’s Vanishing Deductible feature is an attractive option, rewarding retirees with safe driving habits by reducing deductibles over time.
- Diverse discounts: Nationwide offers a variety of discounts, up to 15%, allowing retirees to choose the ones that align with their circumstances for optimal savings.
- User-friendly online tools: Nationwide’s online platform is user-friendly, providing retirees with convenient options for managing policies, obtaining quotes, and accessing resources.
Cons
- Potentially higher premiums: Nationwide’s premiums, especially for full coverage, may be higher compared to some competitors, impacting retirees on a budget.
- Claim satisfaction: Customer reviews indicate varying levels of satisfaction with Nationwide’s claims process, suggesting potential room for improvement.
#6 – Liberty Mutual: Maximizing Discounts With Multi-Policy Options
Pros
- Multi-policy discounts: Liberty Mutual offers multi-policy discounts, up to 14%, making it an appealing option for retirees seeking savings through bundling.
- Coverage options: Liberty Mutual provides diverse coverage options, allowing retirees to tailor policies to their specific needs and preferences.
- User-friendly online experience: With a focus on online services, Liberty Mutual offers retirees convenience and efficiency in managing policies and obtaining quotes.
Cons
- Higher premiums: Liberty Mutual’s premiums, especially for full coverage, may be higher compared to some competitors, impacting retirees on a budget.
- Limited discounts: While offering multi-policy discounts, Liberty Mutual may not have as many diverse discount options as some competitors.
Read more: Liberty Mutual Car Insurance Review
#7 – Travelers: 24/7 Support and Savings for Peace of Mind
Pros
- 24/7 support: Travelers distinguishes itself with 24/7 support, providing retirees with constant assistance and peace of mind.
- Discounts for safe driving: With up to 16% discounts for safe driving, Travelers rewards retirees with clean records, promoting cost-effectiveness.
- Wide range of policy options: Travelers offers a comprehensive selection of policy options, allowing retirees to tailor coverage based on individual needs.
Cons
- Potentially higher rates: While competitive, Travelers’ rates may not always be the most affordable, prompting retirees to compare quotes thoroughly.
- Discount availability: Some discounts may have eligibility criteria that not all retirees meet, limiting access to potential savings.
Read more: Travelers Car Insurance Review
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#8 – American Family: Securing Your Future With Accident Forgiveness
Pros
- Accident forgiveness: American Family offers Accident Forgiveness, preventing rate increases after certain incidents and adding a layer of security for retirees.
- Diverse discounts: With discounts up to 13%, American Family provides retirees with various options to maximize savings based on their circumstances.
- Coverage options: American Family offers diverse coverage options, allowing retirees to tailor policies to their specific needs and preferences.
Cons
- Potentially higher premiums: American Family’s premiums, especially for full coverage, may be higher compared to some competitors, impacting retirees on a budget.
- Discount availability: Some discounts may have eligibility criteria that not all retirees meet, limiting access to potential savings.
Read more: American Family Car Insurance Review
#9 – Esurance: Streamlined Convenience With Online Savings
Pros
- Online convenience: Esurance’s emphasis on online convenience provides tech-savvy retirees with an efficient platform for managing policies and obtaining quotes.
- Diverse discounts: With discounts up to 14%, Esurance caters to a variety of needs, allowing retirees to personalize their coverage based on individual circumstances.
- Coverage options: Esurance offers diverse coverage options, allowing retirees to tailor policies to their specific needs and preferences.
Cons
- Limited local agents: Esurance’s focus on online services means fewer local agents are available for retirees seeking face-to-face interactions.
- Varied customer experience: Customer experiences may vary based on the locality and specific agents, potentially leading to inconsistent service quality.
#10 – AAA: Roadside Assistance and Beyond for Comprehensive Coverage
Pros
- Roadside assistance: AAA’s inclusion of roadside assistance as a benefit adds value for retirees, ensuring support in case of unexpected vehicle issues.
- Diverse discounts: With discounts up to 15%, AAA provides retirees with various options to maximize savings based on their circumstances.
- Coverage options: AAA offers diverse coverage options, allowing retirees to tailor policies to their specific needs and preferences.
Cons
- Membership cost: While offering additional benefits, AAA’s membership costs may add an extra expense for retirees on a tight budget.
- Potentially higher premiums: AAA’s premiums, especially for full coverage, may be higher compared to some competitors, impacting retirees on a budget.
Read more: AAA Car Insurance Review
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Retiree Car Insurance Costs
In order to understand how your rates may or may not change once you retire, it’s important to look into how insurance companies decide what rates to charge clients. In a nutshell, your rates will rise or fall depending on how large of a risk your insurance company determines you to be.
Insurance Company | Full Coverage | Minimum Coverage |
---|---|---|
State Farm | $82 | $31 |
Allstate | $152 | $58 |
Progressive | $100 | $37 |
Farmers | $131 | $50 |
Nationwide | $109 | $41 |
Liberty Mutual | $165 | $64 |
Travelers | $94 | $35 |
American Family | $111 | $41 |
Esurance | $114 | $46 |
AAA | $81 | $30 |
When it comes to the specific coverage rates for retiree car insurance, the numbers tell a crucial tale. Among the leading companies, State Farm stands out with an enticing offer of $82 for full coverage and an economical $31 for minimum coverage. This presents retirees with a budget-friendly option that doesn’t compromise on comprehensive protection.
Conversely, Liberty Mutual, while reputable, comes in at $165 for full coverage and $64 for minimum coverage, making it a higher-cost choice for retirees seeking insurance solutions. Evaluating these figures empowers retirees to make informed decisions, aligning coverage needs with their financial preferences.
If your insurance company feels you are more likely to file a claim, it may consider you to be a higher risk, and thus someone who needs to pay more. The following are some factors your insurance company will use to determine how much to charge for your car insurance rates:
- How old you are at the start of your policy period
- Your gender
- Your driving record
- Average miles you drive each year
- The type of car you drive
- Your age and how long you have driven
- The amount of coverage you have on your policy
The best car for retirees hoping to save on car insurance might be a Subaru Outback or Honda CR-V, as these vehicles rank as some of the cheapest to insure. As you can see, some of these determining factors are controllable, like which car you drive, if you maintain a safe driving record, and what your policy includes. But others, like your age, are really not changeable.
How Your Age Impacts Your Car Insurance Rates
If you know any teenagers, you may have heard them or their parents complain about how much it costs to insure them. While it is correct that young teen drivers have the highest car insurance rates, the average rate for 16-year-old boys is around $240 a month. Unfortunately, older adults come in second place.
By the time senior citizens reach age 69 or so, their retiree car insurance rates tend to increase. This is because, according to car insurance companies, older drivers tend to be riskier and are more likely to file a claim.
Will my rates go up when I retire?
The answer to this question depends on several factors. For instance, if you retire early because you are in a profession that allows retirement in your 40s, you will not have reached the age where insurance companies feel you are automatically a riskier client.
However, if you are waiting to retire to take full advantage of your Social Security and other benefits, which the Social Security Administration starts at age 62, then yes, your age may mean you will pay more for your car insurance in your golden years.
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Case Studies: Retiree Insurance Success Stories – Navigating Comprehensive Solutions With State Farm, Allstate, and Progressive
Case Study 1: State Farm – Bundled Protection for Retirees
John and Susan, retirees with State Farm, were looking for ways to maximize their insurance savings without compromising coverage. They opted for State Farm’s bundle discounts by combining their auto and home insurance policies.
With a 20% discount on their home insurance and an additional 12% on their car insurance, they enjoyed comprehensive coverage at an affordable rate, freeing up more of their retirement budget for leisure activities.
The bundled protection not only resulted in substantial annual savings for John and Susan but also simplified their insurance management. State Farm’s comprehensive bundle discounts proved to be a winning strategy, offering financial stability and peace of mind throughout their retirement years.
Case Study 2: Allstate – Tailored Coverage With Comprehensive Benefits
Emma, a retiree who values comprehensive coverage, sought insurance that goes beyond the basics. Allstate’s offering of up to 18% discounts, coupled with their focus on comprehensive coverage, caught her attention. Emma customized her policy to include additional coverage options like roadside assistance and rental car reimbursement.
The comprehensive protection, combined with generous discounts, ensured Emma felt secure on the road without breaking the bank. Emma’s decision to choose Allstate’s comprehensive coverage paid off during an unexpected roadside emergency. The Accident Forgiveness feature provided additional financial relief, reinforcing her confidence in Allstate’s commitment to retirees’ peace of mind.
Case Study 3: Progressive – Safe Driving Rewards for Lasting Savings
David, a safety-conscious retiree, chose Progressive for its emphasis on safe-driving discounts. His clean driving record made him eligible for the maximum 12% discount, reflecting his commitment to responsible driving. Additionally, David participated in Progressive’s usage-based insurance program, Snapshot, allowing him to earn additional discounts based on his driving habits.
David’s dedication to safe driving not only resulted in significant monthly savings but also contributed to a safer community. Progressive’s innovative approach to insurance rewarded David for his responsible behavior, showcasing how safe-driving discounts can benefit both individuals and society at large.
Is there anything retirees can do to lower their rates?
Fortunately, there are steps that drivers in their mid-to-late 60s and beyond can do to keep their rates lower and make sure they have the best auto insurance for retirees. For example, you might want to start by contacting your insurance company to inquire about any special discounts for seniors who take a driver safety class.
During the phone call with your agent, mention your upcoming retirement and the fact that you will no longer be working outside of the home, so your annual mileage will decrease. You will probably be asked to give an estimate of how many miles you anticipate driving each week, month, or year. Depending on your reply, you may qualify for a low-mileage discount.
Final Thoughts About Car Insurance for Retirees
After working for so many years, retirement is a big deal and an occasion that is worthy of celebration. In order to make your nest egg stretch as far as you can, it is worth the time and effort to look for ways you can lower your bills, including what you pay for retiree auto insurance.
While your age might make your car insurance rates rise, other factors like taking certain classes for seniors and driving less may cause the rates to fall, which would be great news as you enter into your retirement.
Frequently Asked Questions
How do insurance companies determine car insurance rates for retirees?
Insurance rates are based on factors like driving record, vehicle type, coverage options, and age, including retirees.
Will my car insurance rates go up when I retire?
It depends. If you retire early, rates may not increase. But retiring later could lead to higher rates due to age-related risk.
How can retirees lower their car insurance rates?
Retirees can seek discounts for seniors, take driver safety classes, and mention reduced mileage to potentially qualify for lower rates.
How does age impact car insurance rates for retirees?
As retirees age, rates may increase because older drivers are seen as riskier and more likely to file claims.
Should retirees compare car insurance quotes from multiple companies?
Yes, comparing quotes from different insurers helps retirees find affordable coverage with the best options.
Free Car Insurance Comparison
Enter your ZIP code below to view companies that have cheap car insurance rates.
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Michelle Robbins
Licensed Insurance Agent
Michelle Robbins has been a licensed insurance agent for over 13 years. Her career began in the real estate industry, supporting local realtors with title Insurance. After several years, Michelle shifted to real estate home warranty insurance, where she managed a territory of over 100 miles of real estate professionals. Later, Agent Robbins obtained more licensing and experience serving families a...
Licensed Insurance Agent
Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.