Senior Citizen Car Insurance Discounts [2023]
Drivers over 55 are often eligible for up to a 10% senior discount on car insurance because older people generally drive less. Find other hidden discounts to save even more.
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Kristen Gryglik
Licensed Insurance Agent
Kristen is a licensed insurance agent working in the greater Boston area. She has over 20 years of experience counseling individuals and businesses on which insurance policies best fit their needs and budgets. She knows everyone has their own unique needs and circumstances, and she is passionate about counseling others on which policy is right for them. Licensed in Massachusetts, New Hampshire,...
Licensed Insurance Agent
UPDATED: Nov 27, 2023
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: Nov 27, 2023
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
- Some car insurance companies offer a 55-year and older discount that typically applies when a senior citizen agrees to take a defensive driving course that is approved by the state in which they live
- According to the Insurance Information Institute statistics show that the least amount of accidents occur in the 55 and older age group since older drivers tend to drive more carefully
- Senior discounts are just one of the many discounts offered to good drivers through various insurance companies
Seniors in the United States have to be very budget conscience. Most of the time the only money they have to live off of are their Social Security payments, any type of pension payments from their previous job, and whatever money they saved for retirement. Because of this often limited source of income, seniors have to save money whenever they can. As a result, the majority of car insurance providers offer special senior citizen discounts.
Senior citizens can absolutely get car insurance discounts. In fact, most insurance companies automatically lower your rates when you turn 55. The assumption is that you will be driving less.
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What factors determine car insurance rates for senior citizens?
Outside of offering lower rates to senior citizens, everything else with the insurance company stays the same. You will not get lower rates if you have a terrible driving record, bad credit, or any DUIs on your record.
The senior citizen discount applies to drivers in good standing with their insurance companies.
In fact, in addition to your senior citizen discount, you can still qualify for:
- Good driver discounts
- Loyalty discounts
- Multiple policy discounts
- Multiple car discounts
- Safe car discounts
When a car insurance company considers your application, they will review your:
- Age
- Gender
- Marital status
- Education
- Credit score
- Type of car
- Driving record
- Location
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Why do car insurance rates change automatically at age 55?
In most cases, your insurance rate will change automatically when something major changes in your life. Of course, there are a few things that the insurance company has no way of knowing unless you tell them, such as if you get married or have a child.
However, because they require you to provide your birthday when you apply for car insurance, they will know when you hit any major age milestones that will affect your rates.
If you are with an insurance company that only provides a discount when you take a defensive driving course, then you will have to provide them with information about your course to get the discount. If you qualify for a driving course discount, chances are you also honed your driving skills! Plenty of auto insurance discounts can be found to help you achieve affordable rates.
Does this guarantee me a lower rate than at any other age?
There is no way to say absolutely yes. At the age of 55, you may be driving a $60,000 car; while you were 25, you might have been driving a $7,000 car. Driving abilities, type of vehicle, age range, safety features, and driving habits are just some of the things that can determine your auto insurance rates.
If you live in an area that has higher crime rates than you did in previous years, then your rates will be higher as well.
There is just no sure way to say that you will pay less once you turn 55.
If, however, from the age of 54 to the age of 55 nothing has changed regarding where you live and what kind of car you drive, you could be paying less money for your car insurance.
However, while rates will be lower for you between the ages of 55 and 70, according to the Insurance Information Institute, the risk that you will have an accident increases significantly after you turn 70. At that point you will probably have to pay more for your senior car insurance rates, despite additional driving experience.
With all of the varying factors that can affect the cost of auto insurance, comparison shopping is essential. Driving discount options for seniors will depend on if they meet the eligibility requirements.
Who Is Eligible for Senior Car Insurance Discounts
While the official age a person is considered a senior citizen in the United States is 65, most car insurance providers offer senior discounts to people in their 50’s. This is often referred to as a mature driver discount.
This type of discount is not always applied automatically, so it is important for the policyholder to review their policy every year or so to make sure they are saving as much money as possible.
It is not uncommon for this type of discount to save the policyholder 10 percent or more on their annual car insurance premium. Just because as a person starts receiving discounts on their car insurance as they get older does not mean they will continue to receive them.
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Other Car Insurance Discounts
There are many other discounts of which a senior citizen might be able to take advantage. These discounts include low mileage discounts, good driver discounts, quick or full payment discounts, homeowner discounts, and long-time customer discounts.
Someone who is retired most likely will not drive as much as someone who has a daily commute to work.
Because of this, a retired senior could be eligible for a low mileage discount. The reasoning behind this discount is that since these policyholders do not drive as often, they are less likely to be involved in a car accident.
A good driver discount is usually available to anyone with a good driving record. To have a good driving record the policyholder must have no speeding or parking tickets and no accidents on their driving record. Typically, if a person does have a moving violation like a speeding ticket, it takes around five years for it to be removed from their driving record.
A full payment discount is offered to those that choose to pay their annual or six-month car insurance premium in one payment instead of monthly. Seniors are much more likely to make this type of payment arrangement than a younger policyholder.
Seniors are also more likely to receive a discount for being member of an auto club like AAA or an organization like AARP. Seniors tend to plan ahead a bit better than their younger counterparts so are more likely to be a member of these types of organizations.
Do all insurance companies offer car insurance to senior citizens?
Every reputable car insurance company offers car insurance to people of all ages, as long as they are legally able to drive. If you are unsatisfied with your current company due to exclusive policy features, scarce deductible options, or just overall poor customer experience, you can always take a look around and comparison shop to find competitive rates and affordable coverage.
If a car insurance company turns you down, it is likely that there are other underlying reasons for the cause rather than just age.
If you are concerned about how an insurance company might treat you, use sources like J.D. Power or Weiss Ratings to see how companies are rated on customer service. These sites may help ease your mind about the insurance company you choose.
What happens to my car insurance rates if I can’t pass my driver’s test?
If you fail your driver’s test, your insurance rates won’t change for the time being. In some states, the DMV informs your insurance company of the change in your driving status, but not all states do.
It boils down to driving your car. If you cannot drive, you should consider dropping your car insurance.
There is no reason to pay for insurance costs you cannot benefit from, especially if you’ve added expenses like homeowners insurance or life insurance.
If you have other drivers on your vehicle, you can have your name removed from the list of insured people on the car. If you don’t have a safe driving record, this removal could lower your rates, though the chances are higher if other drivers on your policy have excellent driving records.
If you’re a mature driver aiming to browse through auto coverage discounts for seniors, you’ll want a company with dependable customer service, fair policy service options, a reliable claims service, and rewards for being a safe driver. An auto policy may allow for an accident-free discount or a safe driver discount, or yield another option for seniors to lower their auto insurance costs.
You can compare car insurance rates right now by entering your ZIP code below!
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Case Studies: Senior Citizen Car Insurance Discounts
Case Study 1: Mr. Johnson’s Reduced Rates
Mr. Johnson, aged 58, recently celebrated his birthday and discovered that his car insurance rates had automatically decreased by 10%. Since he drives less frequently, the insurance company recognized him as a lower-risk driver. This senior citizen discount allowed Mr. Johnson to save a significant amount on his car insurance premiums.
Case Study 2: Mrs. Ramirez’s Additional Discounts
Mrs. Ramirez, aged 62, took advantage of her senior citizen discount and also qualified for additional savings. Her clean driving record and the installation of safety features in her vehicle made her eligible for further discounts. By combining these discounts, Mrs. Ramirez was able to secure a comprehensive car insurance policy at an affordable price.
Case Study 3: Mr. Lee’s Comparison Shopping
Mr. Lee, aged 65, understood the importance of comparison shopping for car insurance. He compared quotes from multiple insurance companies and found that some offered even higher senior citizen discounts, ranging up to 15%. By carefully selecting an insurance provider, Mr. Lee maximized his savings while still receiving the coverage he needed.
Frequently Asked Questions
What is a senior citizen car insurance discount?
A senior citizen car insurance discount is a special rate or discount offered to older individuals, typically aged 55 or older, by insurance companies to help reduce their car insurance premiums. These discounts are designed to recognize the lower-risk profile often associated with senior drivers.
How much can I save with a senior citizen car insurance discount?
The amount you can save with a senior citizen car insurance discount varies depending on the insurance company and the specific discounts they offer. Typically, the discount can range from 5% to 15% off the base premium. It’s advisable to check with your insurance provider to determine the exact amount you could save.
Are there any eligibility requirements to qualify for a senior citizen car insurance discount?
Yes, eligibility requirements can vary between insurance companies. Generally, you will need to be a certain age, typically 55 or older, and hold a valid driver’s license. Some companies may also consider factors such as driving record, annual mileage, and the type of vehicle you drive. It’s best to check with your insurance provider to understand their specific eligibility criteria.
Can seniors qualify for discounts through auto club or organization membership?
Yes, seniors can receive additional discounts by being members of auto clubs like AAA or organizations like AARP.
Where can I find senior-oriented driver education courses?
Consult organizations like AARP or AAA to find senior-oriented driver education courses.
Are senior-oriented driver education courses worth the cost?
Yes, attending senior-oriented driver education courses, typically costing $10 to $30, can save policyholders 10% or more on their car insurance rates.
Can I combine a senior citizen car insurance discount with other discounts?
In many cases, yes. Insurance companies often allow customers to combine multiple discounts to maximize their savings. However, the availability and specifics of combining discounts may vary between insurance providers. It’s recommended to discuss this with your insurer to determine which discounts can be combined.
Do all insurance companies offer senior citizen car insurance discounts?
Not all insurance companies offer senior citizen car insurance discounts, but many do. It’s important to shop around and compare quotes from different insurance providers to find the one that offers the best coverage and discounts for your needs.
How can I compare car insurance rates for seniors?
Use the free online search tool by entering your ZIP code to compare car insurance rates for seniors. Obtain quotes from multiple providers and consider coverage options and discounts.
What factors affect car insurance rates for seniors?
Car insurance rates for seniors are influenced by factors such as the type of car, driving history, credit score, location, and coverage options chosen.
Free Car Insurance Comparison
Enter your ZIP code below to view companies that have cheap car insurance rates.
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Kristen Gryglik
Licensed Insurance Agent
Kristen is a licensed insurance agent working in the greater Boston area. She has over 20 years of experience counseling individuals and businesses on which insurance policies best fit their needs and budgets. She knows everyone has their own unique needs and circumstances, and she is passionate about counseling others on which policy is right for them. Licensed in Massachusetts, New Hampshire,...
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.