How To Find the Best Car Insurance Rates for Seniors

Car insurance is legally required in all states, no matter your age. However, as you get older, you may have different needs from your car insurance. For example, when you enter retirement, you may drive far less because you are no longer commuting to work. You may decide to travel the country, move to another state, or buy a new car. The best car insurance for senior drivers usually comes with benefits, discounts and special savings. See which carriers have the best options for your needs.

Which Companies Offer the Best Car Insurance Rates for Seniors?

USAA Insurance

USAA is one of the top-rated insurance options for seniors due to numerous discounts, affordable rates and coverage options. However, it is only available for military families and retired veterans. If you qualify, USAA is considered the third most affordable insurer for seniors with an average monthly premium of $89.

USAA offers a few coverage add-ons like:

  • Rental reimbursement
  • Roadside assistance
  • Car replacement assistance
  • Accident forgiveness

While USAA does not specifically offer a senior discount, it makes up for it with plenty of other discounts:

  • Defensive driving course
  • Good driving record
  • Multi-car discount
  • Car storage coverage
  • Bundling discount
  • Loyalty discount

USAA is one of the top-rated insurance options for seniors due to numerous discounts, affordable rates and coverage options.

Esurance

Esurance is a highly rated insurance company with great reviews from the Better Business Bureau and J.D. Power. They offer a variety of coverage options and discounts for policyholders. Please note that Esurance is not available in all states and is only recommended for seniors who want to manage their policy entirely online.

A few discounts that Esurance offers include:

  • Claim-free discount
  • Defensive driver discount
  • DriveSense discount

The average monthly policy for senior Esurance members costs $124.50 or $747 for six months.

AAA Insurance

Everyone has heard of AAA’s popular roadside assistance program, but you may not know that they also offer a great insurance policy. While they don’t have specific senior discounts, senior drivers can qualify for a variety of discounts and competitive rates, like defensive driving discounts. Another way seniors can save is with a multi-car discount or by bundling home and auto.

The average monthly policy for senior AAA members costs $102 or $617 for six months.

State Farm

State Farm offers competitive rates for senior drivers as well as an impressive array of discounts and coverage options. While State Farm doesn’t offer a specific senior discount, seniors can take advantage of the following benefits:

  • Accident-free discount
  • Vehicle safety
  • Good driving
  • Defensive driving course discount
  • Bundling discounts
  • Discount for anti-theft devices

The average monthly policy for senior State Farm members costs $115 or $695 for six months.

The Hartford

The Hartford is known for having an auto insurance program specifically designed for those older than 50 who are registered AARP members, with coverage options and discounts for senior drivers.

The Hartford offers car discounts, including the following:

  • Defensive driving course
  • Bundling policies
  • Paying in full
  • Driving with airbags and anti-theft devices
  • Driving a hybrid

The average monthly policy for senior Hartford members costs $125 or $754 for six months.

Nationwide

At $77 a month, Nationwide is the cheapest car insurance company for seniors drivers and provides solid coverage, including:

  • Rental reimbursement
  • Roadside assistance
  • Gap coverage
  • Vanishing deductible
  • Towing and labor coverage
  • Deductible waiver for total loss
  • Accident forgiveness

Like most major insurers, Nationwide does not offer a specific senior discount. It does offer multiple discounts that may help:

  • Safe driver discount
  • Multi-policy or bundling
  • Accident-free driving record
  • Defensive driving course
  • Membership in certain professional organizations

Allstate

Like the insurers above, Allstate doesn’t offer discounts that are directly tailored to seniors, but seniors can still apply for the following:

  • Multi-policy or bundling discount
  • New car discount
  • FullPay discount
  • eSmart discount (paperless billing)
  • Responsible payer discount
  • Early signing discount
  • Cars equipped with anti-lock brakes and anti-theft devices
  • Safe driving discount
  • Autopay

The average monthly policy for senior Allstate members costs $157 or $942 for six months.

Car Insurance for Seniors by State: Which Is Cheapest?

State

Fine for Primary Enforcement State

Alabama

State Farm

Alaska

USAA

Arkansas

Shelter

Arizona

State Farm

California

USAA

Colorado

State Farm

Connecticut

State Farm

District of Columbia

USAA

Delaware

USAA

Florida

State Farm

Georgia

USAA

Hawaii

State Farm

Idaho

State Farm

Illinois

State Farm

Indiana

State Farm

Iowa

State Farm

Kansas

Iowa Farm Bureau

Kentucky

State Farm

Louisiana

Southern Farm Bureau

Maine

Concord

Maryland

State Farm

Massachusetts

State Farm

Michigan

USAA

Minnesota

State Farm

Mississippi

State Farm

Missouri

State Farm

Montana

State Farm

Nebraska

Iowa Farm Bureau

New Jersey

New Jersey Manufacturers

New Mexico

USAA

New York

USAA

Nevada

State Farm

North Carolina

State Farm

Ohio

Nationwide

Oklahoma

USAA

Oregon

USAA

Pennsylvania

State Farm

Rhode Island

Travelers

South Carolina

Travelers

South Dakota

State Farm

Tennessee

USAA

Texas

State Farm

Utah

Bear River

Vermont

Concord

Virginia

USAA

Washington

USAA

West Virginia

Erie

Wisconsin

USAA

Wyoming

USAA

At age 50, you will see your best car insurance rate, but it will start to increase around age 70.

What Types of Car Insurance Policies Are Available to Seniors?

Depending on where they live, senior drivers will at least need liability insurance, which is the minimum coverage required by law. However, upgrading to comprehensive and collision coverage is highly recommended, along with medical payments coverage, especially if your car is worth more than $3,000 or $4,000.

Senior drivers may also want to consider car insurance endorsements like new car replacement coverage, accident forgiveness, gap coverage and roadside assistance.

How To Get a Senior Driving Discount

Here are a few tips on how seniors can lower car insurance rates:

  • Take a defensive driving course: Seniors can earn a discount on their car policy by taking an online class. Many courses are offered through groups like AARP, AAA and more and can go over relevant information like learning how certain medications can affect driving and other typical challenges that senior drivers can face.
  • Insure a cheaper car: Your car insurance rates largely depend on the type of car you drive. Less expensive cars tend to be cheaper and easier to repair or replace, which will also be reflected in your insurance premiums. Make sure to notify your insurer of all your car’s safety features, including airbags, anti-lock brakes and anti-theft devices, which may garner you a discount.
  • Protect your car: Anti-theft devices can earn you a large discount with many insurers. Consider equipping your vehicle with alarms, vehicle tracking systems and disabling devices.
  • Drive less: If you plan on driving less now that you’ve retired, you should let your insurer know. Your premium will likely decrease since you no longer have to commute to work every day. You may even want to consider pay-per-mile insurance, which bases premiums on how much you drive.
  • Drop unnecessary coverage: If you’re driving less these days, and your car is worth less than $3,000, you may want to consider dropping comprehensive and collision coverage.
  • Bundle your insurance policies: Retirement should be a time of relaxation and peace. If it means exploring the country in an RV or fishing in a boat, you could save money by bundling your insurance. You can bundle things like car and home insurance, or you can bundle your car policy with RV or boat insurance.
Find the Best Car Insurance for Seniors

FAQs

Does age impact your car insurance rates?

Yes, young drivers under 25 tend to have higher insurance premiums that decrease once they hit age 25. Premiums tend to decline each year, and when they hit 50, they will see their best rates. Car insurance rates start to increase around age 70.

What is a mature driver discount?

You can get a mature driver discount if you are over the age of 55 and complete a defensive driving course.

Can I add a senior to my car insurance?

An auto insurance policy may by default cover anyone living at home who has access to your car(s). If a senior uses your car frequently, it’s best to add that person to your policy to ensure coverage in case of an accident.

Key Takeaways

  • Not every insurer offers a senior driver discount but many have multiple discount programs.
  • You can save money by bundling home, car and life insurance policies with the same company.
  • Consider dropping full coverage if the value of your vehicle is less than $3,000 or $4,000.

Compare Quotes Frequently

Older drivers may start seeing their car insurance premiums increase once they turn 70. This means that even if you are a safe driver with a good driving record, you may still have to compare quotes to find an affordable policy. You can find the lowest prices in your area by shopping with SmartFinancial. Just enter your zip code below and answer the questions to get free quotes in your location.

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