Car Insurance – Types, Quotes, and Discounts for Seniors (2024)

Types of car insurance for seniors
The car insurance coverage requirements for seniors may vary from state to state, but typically include:

• Bodily injury liability insurance, which covers wage loss and hospital bills due to accidents.
• Property damage liability insurance, which pays for any personal property damage.
• Personal injury protection, which covers not just the driver but also the passengers who have met with an accident.
• Collision insurance, which pays for any car damages due to collision.
• Comprehensive insurance, which covers car damage for reasons other than accidents, like weather or vandalism.

Apart from the above, one might come across rental car insurance and roadside assistance for emergency services like fuel delivery, towing, and tire repair. Most of these coverages may benefit seniors.

How much does car insurance cost for seniors?
Data shows that the cheapest full-coverage car insurance for seniors is $1,158 per year or $97 per month on average. For drivers over 65, the average cost is $88 per month. Those over 70 may have to pay around $105 per month. The average car insurance quote for seniors between 60 and 80 is $1,402, much lower than the national average of $2,150. Seniors must compare the rates of different providers to find the best quotes. Doing so can take time, but it ensures one is satisfied with their policy and has no regrets.

Ways to get car insurance discounts
Seniors can reduce the cost of their policy with these tips:

• Take a defensive driving course
  Seniors can sign up for a defensive driving course to qualify for a discount and sharpen their on-road skills. The discount often lies between 10% and 15%, but one can check with the provider to know the exact savings percentage. Even younger adults can benefit from this course.
• Shop around
  Not all insurance companies bump up the prices for seniors, so one should shop around for the best quotes and compare coverages. The best time to shop for car insurance is before one’s current policy renews. The renewal notice will list the rates, coverage, and limits, making it easy to compare with other insurers. Irrespective of one’s age, shopping around and comparing car insurance plans is always a good idea. Seniors can use online tools that provide side-by-side comparisons and look for free quotes on the internet. This approach can help one understand how much they will have to pay for a policy.
• Look for bundle deals
  Some insurance companies provide discounts on premiums when seniors bundle their auto policy with other types of insurance, like life, home, or renters insurance. One can also save by insuring multiple vehicles under one policy.
• Have a clean driving record
  Many insurance companies offer discounts to those who complete safe driving tests and have a clean driving record without violations or accidents. This is often known as a “good driver” discount. Maintaining an accident-free record is also essential for one’s own well-being. People can qualify for the benefit if they have safety features in the car, such as airbags, anti-lock brakes, and anti-theft devices. Some insurers have designated apps to monitor driving habits. They use the records to assess a person’s driving habits and offer them a fair price accordingly.

Factors that affect car insurance rates
Companies consider age, travel and driving history, current health conditions (like vision and mobility), and other factors before approving car insurance for seniors. Statistics show that senior drivers file claims more often, so the assessment process is pretty strict. Here are a few of the most common factors that affect the rates:

• Age
  Usually, age plays a major role in determining the cost of the monthly premiums.
• Driving history
  Any accidents where the senior is at fault or violations like speeding tickets can hike the insurance.
• Credit score
  Credit history determines the driver’s ability to pay off the loan. Those with a low score may have to pay higher premiums.
• Location
  Rural area drivers are less prone to accidents because of clear roads, so they pay a lower premium than city dwellers.
• Vehicle
  What kind of car and model one drives and its manufacturing date also impact the insurance rates. The rate is usually higher for older cars and lower for newer models.
• Coverage options
  The type of coverage a person chooses can affect how much premium they pay. A basic policy may have a lower premium than a comprehensive plan.