The best car insurance for seniors will vary from state-to-state and from one individual driver to the next.That’s because we all have unique needs, vehicles and driving histories.
Whether you’re looking for the cheapest car insurance for senior citizens or wondering if your car insurance prices will go down when you retire, the experienced team at Einsurance.com is here to help. Today, we’ll explain everything you need to know about car insurance for senior citizens in a truly unbiased fashion.
Keep reading to learn:
- How to shop for car insurance for seniors
- Why car insurance prices for seniors are increasing
- How to keep your insurance prices lower as you age
- Full coverage auto insurance vs. liability only car insurance for seniors
- Will your premiums for car insurance will go down when you retire?
Let’s begin by discussing car insurance quotes in the modern world.
How to Shop for Car Insurance for Seniors
The internet has changed how we shop for almost everything, especially car insurance. Gone are the days of visiting agents in person and spending hours on the phone chasing auto insurance quotes.
Many seniors find the online shopping experience more convenient. Still, some individuals find it intimidating, and may prefer a more personal approach.
Either way, you’ll need to gather some information before shopping for the best car insurance for senior citizens.
Gather Your Documents
Whether you prefer to visit an agent in person or get insurance quotes for seniors online, you’ll need the following documents at hand:
- Your driver license, and the license number of anyone else in your home
- The vehicle identification number (VIN) for all vehicles to be insured
- Lienholder information (if you make a car payment or have other liens on a vehicle)
- Vehicle information, like the make, model and year of your car
- Current odometer reading
- Proof of any senior driving courses or defensive driving certificates
Also, be prepared to answer questions about:
- Your safe driving history
- The garaging address of your vehicle
- Your driving habits
It’s also helpful to have your current auto insurance policy handy to compare prices and coverages. This way, you’ll be sure to get the best value.
Try Einsurance.com or Search the Web
Since you’re already here, we invite you to try our handy car insurance quoting tool online. We specialize in finding cheap car insurance for seniors, teens and others.
It’s easy! Just plug in your information and wait for licensed insurance agents to contact you with quotes.
You can also visit your favorite search engine — like Google or Bing — and type in “car insurance quotes for seniors.” Google will bring up millions of websites. Again, enter your information and wait for the phone calls to start.
Pro tip: If you’d like more targeted results, you can include your age in the search. For instance, try “car insurance for seniors over 55,” or “car insurance for seniors over 80.” The search engine will direct you to insurers that are specifically marketing towards seniors.
“What if I’m Not Comfortable Shopping for Senior Car Insurance Online?”
This is common concern among older adults. Perhaps you’re not comfortable using a computer, or maybe your vision isn’t terrific. We understand, and here is your unbiased response.
No law says you must buy car insurance for senior citizens online. If you’re not confident about getting an insurance quote online, call the insurance companies you use for other products. Your homeowner’s insurance company, for instance, might offer you a helpful discount to bundle policies with them. Or, they may direct you to a sister company or affiliate that can help.
You can also call local insurance agents and make appointments. Just remember to bring the documents we listed above.
Now that we’ve covered how to find the best car insurance for seniors, let’s explore the reasons car insurance prices for seniors can change over time, to help you save more money.
Why Car Insurance Prices for Seniors are Increasing
Chances are, you’re shopping for the cheapest car insurance for seniors because you’ve recently noticed your premiums have increased. You probably opened up your new auto insurance policy and noticed a significantly higher price.
There are several reasons this could happen, and in some cases, these changing costs are beyond the control of a consumer.
Do Insurance Companies Consider Your Age When Deciding Your Premium?
Yes. Car insurance companies do consider your age when agreeing to insure you. As we age, we all experience issues like slower response times, failing vision or hearing, and decreased confidence behind the wheel.
However, there are ways you can save on car insurance for seniors, and we’ll get to that shortly.
Right now, we know inflation is hitting the US economy hard, and it affects auto insurance prices in many ways.
How Inflation, Labor Costs and Repair Costs Affect Car Insurance Prices
Inflation — the decreasing buying power of a dollar — hits every industry and every product, but it’s especially challenging in the realm of insurance.
Think back 40 years, to the 1980s. Back then, federal minimum wage was $3.35/hr. A brand new Ford Thunderbird was $24,000, and you could buy a used Ford Pinto for about $2,000.
As of late 2023, the federal minimum wage is $7.25, but many states require much higher wages to be paid. The most popular new car is a Subaru Outback, which can cost anywhere from $33,000 to $50,000 depending on your location and amenities. Gas costs more, and the price of tires and auto repairs have skyrocketed.
Just as consumers are paying more for everything, car insurance companies find that costs increasing for:
- Repairs to damaged vehicles
- Loans for more costly cars
- Labor and office expenses
- Medical care expenses when individuals are injured in car accidents
- And more expensive lawsuits
Ultimately, even very safe drivers are finding their costs for car insurance are increasing. And we hear more and more clients every day say “I’ve used this insurance company for 20 years and paid my premiums on time, but now my price for auto insurance has gone up 25%!”
This is not your imagination, and your frustration is real. We understand. Let’s explore some ways you can keep your insurance prices as low as possible.
How to Keep Your Car Insurance Prices Lower as You Age
If you’ve recently opened your car insurance bill and noticed a huge increase in price, you are not alone. It’s happening to practically everyone, regardless of age or safe driving status. Here’s how you gain some control.
Take a Senior Driving Course
Senior driving courses are affordable and easy to complete in-person or online. Contact your insurer first to be sure they offer a discount (most do.) Complete the course and supply the documentation to your insurance company. You may see a savings between 3% to 10%. Also, be ready to jump through these hoops again in a few years.
Don’t Hesitate to Shop Around for Car Insurance for Seniors
In this uneasy economy, you should be shopping for car insurance for senior citizens every few years. Insurance companies will slowly increase their prices over time, even for very safe drivers. While we are reluctant to use the word “guarantee,” we are confident you will find more affordable car insurance by trying our online quoting tool.
And again, you can always try searching the internet for “car insurance for seniors over 55, 60, 65, 80, 85” etc.
You can also review your current coverages to find other ways to save.
Full Coverage Auto Insurance vs. Liability Only Car Insurance for Seniors
One way to save major money on your auto insurance is to switch from a full coverage policy to a liability policy.
While the savings are meaningful, this is not always a great choice for seniors, and if you make a car payment this option is not available. Here, we’ll explore both types of policies and help you decide if this is good decision for your unique situation.
Auto insurance policies supply one or two types of coverage. These are:
- Liability coverage: included in every auto policy, this pays for damages and injuries you cause to others.
- Full coverage, a.k.a. “comprehensive and collision coverages” which pays for damage that can happen to your vehicle, including theft, fire and so on.
Put another way, a liability-only policy protects you financially, in case you injure someone else or damage their property. A full coverage policy includes that liability protection, but also helps to pay for damage to your own vehicle, whether it’s caused by hail, a deer, or a garage fire.
“Do I Really Need Full Coverage Auto Insurance as a Senior?”
As a senior, there may be some ways you can save on your car insurance by reviewing and reducing your coverages. If you own your vehicle outright — that is, you don’t make a car payment — you might choose to drop full coverage (if that makes sense in your situation.)
Check out the table below to learn more.
|You Need Full Coverage If:
|You Might Be Able to Drop Full Coverage If:
|You make a car payment to a bank or other financial institution
|You don’t make a car payment
|Your vehicle is very new or expensive to replace
|You have access to several reliable vehicles in an emergency
|This is your only vehicle
|Your vehicle has a very low value and would be easy to replace
|Your entire family relies on one vehicle
|You have significant assets and/or credit, and could buy a new vehicle easily
|Purchasing a new car would be difficult in an emergency
Remember, by dropping full coverage insurance, you will be responsible to repair or replace your vehicle completely in an emergency. The new and used auto markets have been rather explosive since the COVID-19 pandemic, so we’d suggest you move forward very carefully if choosing to drop full coverage.
Before making that major decision, you should definitely shop around for better car insurance prices for seniors. You might be able to keep the same coverage for much less money by switching to a company that specializes in car insurance for seniors.
Now, let’s address another common question we hear from mature adults about car insurance for seniors. That is, “How does retirement affect my car insurance prices?”
“Will My Car Insurance Prices Go Down When I Retire?
It is possible that your auto insurance rates will go down when you retire, but it’s not that simple. Unlike your health insurance status (which can change dramatically around age 65), the act of retirement may or may not affect your car insurance premiums. It depends on your location, your employment, discounts given by your insurer, your commute and many other factors.
In some states — Massachusetts, Hawaii and California — your 65th birthday has no direct impact on your auto insurance prices. But in other states, 65 can be considered a milestone birthday, and you may see your insurance rates increase at that point.
Sometimes, the fact that you’re no longer commuting can lead to a significant decrease in annual mileage, meaning your insurance costs will go down if you have a price-per-mile policy.
However, some insurance companies have data that suggests daily driving makes us better drivers. To them, your reduced time behind the wheel could lead to increased chances of accidents.
So, you see, there is no simple answer to this question. When you retire, your insurance prices may go up, down, or show no change at all!
Regardless of any changes that happen when you retire, you will almost surely notice your costs for car insurance slowly creeping up as you get closer to 70. When that happens, remember to shop around. Again, we’d like to invite you to try our online quoting tool. It only takes a few moments to fill in your information, and you’ll have dozens of insurance companies competing for your business as a senior driver.