Best car insurance for seniors
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Finding the right car insurance isn’t just about finding a policy that’s affordable and offers great coverage. It’s also about finding insurance that meets the unique needs of your stage of life. Auto insurance for seniors should be backed by a provider with strong financial health to ensure payouts in the event of a claim. Coverage compiled providers offering the best car insurance for seniors to help simplify your search.
The Best Car Insurance Companies for Seniors
Entering retirement often correlates to being mindful and intentional about how you spend your money, which is why it’s best for seniors to find an affordable car insurance provider. However, other factors should be considered when selecting the best auto insurance for seniors, including customer service ratings, available discounts, breadth of coverage and financial strength. The providers below have been selected on the basis of these factors.
- The Hartford: Best overall
- GEICO: Best for affordability
- USAA: Best for veterans
Allstate: Best for discounts
The Hartford: Best overall
The Hartford tops our list as the best auto insurance company for seniors. Since 1984, the company has provided car insurance coverage exclusively for AARP members, making them an excellent choice for those aged 50 and older. Not only does The Hartford tailor services specifically for seniors, but they also offer unique coverages such as first-accident forgiveness, disappearing deductible and deductible waiver through The Hartford’s Advantage Plus policy. The Hartford’s AARP policies also feature unique programs for senior citizens, including:
- 24/7 roadside assistance
- 24/7 claims hotline
- New car replacement
- Lifetime car repair assurance
- Rate protection
Through its RecoverCare program, The Hartford will also help pay for transportation, cooking, cleaning and other costs associated with an injury caused by an auto accident. While the annual premium for The Hartford averages out at $1,572, customers can leverage discounts for additional savings by bundling with home, condo, or renters insurance, paying in-full or by proving their car has special safety or environmental features.
The Hartford provides insurance coverage in all 50 United States and the District of Columbia, and has a customer satisfaction rating of 873/1,000 according to J.D. Power’s 2019 Auto Insurance Satisfaction Survey — above average among all providers. Additionally, the company receives a financial strength rating of “A-” by AM Best, which is considered “excellent.”
GEICO: Best for affordability
GEICO outperforms all the other companies on our list of best auto insurance providers for seniors when it comes to affordability, costing an average of just $1,260 a year for a full coverage premium. However, GEICO offers even more savings to its policyholders. While the company does not offer any senior-specific discounts, seniors can potentially leverage up to 25% in savings if they qualify for the following discounts:
- Safe driving history
- Vehicle safety features
GEICO also boasts one of the higher customer satisfaction ratings from J.D. Power at 879/1,000. The company also currently holds an A++ rating for financial strength by AM Best, which is the highest ranking achievable. Auto insurance coverage is available in all 50 states as well.
USAA: Best for veterans
USAA is best known for its insurance coverage for active or former military personnel and their families. If you served your country prior to retirement, you may be eligible for USAA auto insurance coverage. Those who do qualify will enjoy some of the lowest rates available, with an average annual cost of just $1,484 for full coverage. In addition to the already-low premiums, USAA offers exceptional discounts for its senior customers, including:
- Senior bonus for veterans that have remained USAA customers for 40+ years
- Multi-policy discounts
- New vehicle discounts
- Mileage-based discounts
The company also offers 24/7 roadside assistance and towing coverage for its customers, which can be especially helpful for senior drivers. Aside from its affordability and robust coverage options, USAA also earned the strongest customer satisfaction rating through J.D. Power at 900/1,000. The company features an A++ AM Best rating for financial strength and offers coverage to all 50 United States and Washington, D.C.
Allstate: Best for discounts
While Allstate might have the highest average annual premium at $1,896 per year, the company does offer the most extensive range of discounts that seniors can leverage. In addition to discounts for retired policyholders, Allstate offers the following opportunities for added savings:
- Anti-lock Brakes
- Anti-theft Device
- Early Signing
- New Car
- eSmart® (Paperless Billing)
- Safe Driving
The company also offers perks, including accident forgiveness, deductible rewards, car-buying services, and a claim satisfaction guarantee — many of which come at no additional charge to the policyholder. In addition to their broad range of available discounts, Allstate scores 853/1,000 in customer satisfaction from J.D. Power, which is below average compared to other providers, but holds an A+ rating for financial strength from AM Best. The company offers car insurance for seniors in all 50 states and Washington, D.C.
How Much Does Auto Insurance Cost for Seniors?
No matter what age you are, insurers take this information into account when determining the rate of your premium. For example, parents of teen drivers will see an average annual premium of $4,048 for adding teenage male drivers to their insurance, and an average of $3,819 for adding teenage female drivers to their insurance. Higher rates for teens are a reflection of lack of driving experience.
While the cost of premiums won’t be quite so expensive for senior drivers aged 55 and older, some companies will raise your premium due to your age. While inexperience is an insurance risk associated with younger drivers, the following key risk factors apply to senior drivers:
- The Center for Disease Control (CDC) notes that risk of being injured or killed in a collision increases with age.
- The CDC also reports that senior drivers, especially those over 75 years of age, have higher death rates from a crash compared to middle-aged drivers.
- According to the American Automobile Association, older drivers also experience fatality rates 17 times higher than those aged 25 – 64.
In addition to these statistics, insurers carefully consider driving history and claims history to determine the cost of your coverage. For seniors with a long driving history, this could be a significant factor.
How Senior Citizens Can Save on Car Insurance
Seniors can pay less for their car insurance by being strategic about driving habits. For example, by limiting driving mileage overall, seniors can reduce the likelihood of being involved in a car accident, thereby saving on insurance premiums. Additionally, you can use rideshare, public transportation and grocery delivery solutions to reduce mileage while still being able to run errands, attend appointments and even go out with friends.
In fact, many insurance providers offer discounts for things like reduced mileage, driver safety and rideshare programs. By understanding what discounts may be available to you, seniors can potentially save significantly on insurance premiums.
Discounts for Seniors
- Claims-free: you may be eligible for a claims-free discount if you have not filed for any insurance claims in the past five – 10 years, depending on the stipulations outlined by your providers.
- Safe Driving: Drivers that hold a clean record may be eligible for discounts based on driving behavior. Some insurers, such as Allstate and Progressive, even offer a monitoring device that’s placed inside the vehicle to track safe driving and allot discounts for driving performance on an ongoing basis.
- Multi-policy: Senior drivers looking to bundle auto, home, life, and other insurances may save a great deal of money by doing so. Almost every insurance provider offers a multi-policy discount to help consumers save on coverage needs.
- Safety Features: Those operating vehicles with unique safety features can often find additional savings just for having such features installed in their car. Consult with your insurance provider to learn how to qualify for this discount.
How to Choose the Best Car Insurance for Those Over 65
To find the best car insurance for seniors, drivers should compare quotes and coverage options from multiple providers. Many insurers offer unique discounts for seniors, allowing them to save on premiums. In addition to good coverage options and competitive rates, seniors should also select a carrier backed by high customer satisfaction ratings and sound financial strength. Consult with potential providers to learn what options may be available to you to ensure you are informed and can find the best fit for your needs.
- The Hartford offers the best overall auto insurance for seniors.
- Seniors will typically pay more for their car insurance based on insurer assessment of liability, driving history and claims history.
- Seniors can save by reducing their driving needs and taking advantage of unique discounts.
- In addition to affordability, seniors should select insurers that offer great customer service, high financial strength and a broad range of coverages and discounts.
Providers offering the best car insurance for seniors reflect high customer satisfaction ratings, a broad range of coverages and discounts, great financial strength, and affordability. While insurance providers take age into consideration when determining the cost of their premiums, seniors still have opportunities for additional savings by leveraging discounts, practicing safe driving and reducing overall drive time whenever possible.