Have you noticed your car insurance rates rising now that you are older than 65? Many insurers raise rates for seniors because physical changes, such as hearing or vision loss and slower reflexes, make you more prone to accidents.
If you’re tired of overpaying, use these following options, some of which are only available to seniors, to help you lower your monthly insurance premiums.
Tell Your Insurer You’ve Been Driving Less
If you’re 65 or older, you’re most likely not driving as much as you once were. And if your driving habits have changed, you should let your auto insurance company know.
The savings you can garner as a low-mileage driver will depend on your state of residency. However, providers in some states can give you a 10 percent discount if you drive less than 7,500 miles per year.
Another option if you rarely drive is to choose a pay-as-you-go insurance policy. As an older adult, however, you may be able to save significantly during periods when you drive infrequently.
Get a Driving Lesson
Driving lessons are not just for teenagers wanting to get their licenses these days. Many companies, such as AARP and AAA, offer driver safety courses for seniors. Some states even offer course options directly on their DMV websites.
There are states that mandate an insurance discount if you take one of these courses for seniors. Most of the time, your discount will clock in at five percent of your premium cost. However, some states mandate a much higher 10 to 15 percent discount.1 This can offer significant savings — most auto insurance companies charge over $1,000 per year past the age of 60, according to Value Penguin.2
Choose a Safe, Reliable Car
At any age, the model, style, and age of your car will make a significant difference in your auto insurance rates. However, this is even more important to consider as you age.
The cheapest car to insure is one that your insurance agency considers to be safe and that rarely requires repairs. Plus, certain car models tend to be driven most often by safe drivers and have gained a reputation for keeping people alive in crashes.
Shop Around and Compare Quotes
Just because you’ve stuck with one insurance company your entire life doesn’t mean you must be loyal forever. You may be surprised to find out what some other insurance companies are willing to offer you.
You should shop around for a new rate every year. Most insurance companies frequently adjust their rates and many today are working hard to stay competitive. Plus, shopping around can help you ensure that you are not missing any savings or extra discounts.
By resisting the urge to become complacent about your auto insurance rates, you can uncover a variety of ways to dial down your premiums even after the age of 65. Never feel bad about shopping for better rates with new companies or about contacting your insurance agent to ask about ways that he or she can help you save. It’s likely that a better rate is just waiting for you to find it.
