Car Insurance With Our Seniors In Mind!

As you prepare for retirement, you care more about making informed decisions that both protects you and saves you money. You have worked hard to build a solid financial future for yourself and you want to be assured that your assets are protected.  That’s why automobile insurance is crucial. Since accidents and disasters do happen, your choice of auto insurance has never been more important. Choosing adequate auto insurance will protect you from financial ruin by covering your car, personal injuries and even law suits if you are liable or are involved in a collision with an uninsured driver.

But how do you choose the best automobile insurance to fit your needs? The best car insurance company for senior citizens varies based on location, driving history and current financial profile. And you will find that there are many choices of automobile insurances out there.  You need to choose which is most suitable to the above criteria as those factors will directly impact how much you pay for automobile insurance and how much you save.

Choosing the Auto Insurance that Suits You

The first thing you need to do is determine what type of coverage you need. Different localities and circumstances result in different costs of coverage. When driving an older car and not worried about replacing it in the event of an accident, most people stick with liability car insurance. Alternatively, if your car is valuable and challenging to replace, you will find that full coverage suits you best.  Also, determine how much of a deductible you want to pay. If you are a safe driver with no recent accidents in your driving history, it will be worth the risk (and savings) to choose a higher deductible. This will ensure lower premiums, only having to pay more out of pocket after an accident.

Next, identify events impacting your insurance rates negatively. Some life events affect your insurance rates and cause them to be more expensive. Do you have a history of traffic violations? Filing claims? Do you live in a high-crime neighborhood? Are you adding dependents to your policy? Any of these factors cause rates to go up. Since, some companies are more forgiving than others, explore other insurance companies to find one willing to overlook an imperfect profile.


Additionally, check to see if your current lifestyle makes you look more favorable to car insurance companies. Are you married? Do you live in a safe neighborhood? Are you retired? Do you have a good credit history?  And make sure to report any positive changes to your car insurance after one of these life events occurs.

How Insurance Companies Set their Rates

Insurance companies use charts that are produced for the industry. These charts list the highest auto crime locations in the U.S. The charts also list mortality rates for drivers in a certain area and what the age was of the driver involved. If you live in an area where older drivers are in more accidents then expect that your premium will be higher compared to older drivers living in a different area of the U.S. Companies also set their rates based on the type of car you have and its features. If you have a car that has additional safety features, then your rate could be lower. Certain high end cars often cost you more.


Best Overall Insurance for Seniors

  • The Hartford offers the best coverage and discounts for seniors 55+. They offer a 24/7 claims hotline, 24/7 roadside assistance, new-car replacement (if your new car is totaled within 15,000 miles or 15 months of purchase), rate protection, lifetime car repair assurance, first-accident forgiveness, disappearing deductible (for each year you keep a clean driving record), deductible waiver, paying just one deductible for two cars on your auto policy, and discounts for seniors (including a 20% discount for bundling your home, condo, or renters insurance with your car insurance policy).
  • Geico offers automatic renewal policy, accident forgiveness, emergency road service, rental reimbursement, mechanical breakdown insurance, rideshare coverage and glass coverage. Additionally, GEICO offers Prime Time Contract (guaranteed renewal for seniors). The only requirements for this policy is that you do not have any drivers under 25 years of age on your car insurance, you have gone accident-free for three years before you enroll, and you do not use your car for commercial purposes. GEICO does not offer any discounts specifically for people over the age of 55+. 
  • USAA offers affordable rates, great customer service ratings, rideshare coverage for Uber and Lyft services, 24/7 roadside assistance and towing coverage. USAA customers can also bundle their car and homeowner's policies or select other coverage (such as life insurance, renters or condo insurance, and boat insurances). The senior bonus is a special discount for veterans who have remained USAA members for 40 or more years.
  • Metromile offers low premiums based on your actual drive time per month, Intuitive Software (smart phone app that helps with parking and vehicle maintenance) and 24/7 claims service. Metromile offers the same standard coverage that most other car insurance companies provide, however, its payment structure works differently. Instead of charging you a flat rate each month, Metromile breaks its car insurance rates into two parts: a base rate and a per-mile charge based on your driving. The base rate and cost per mile are determined by factors such as age, driving history, and credit score. Also offered are roadside assistance, towing coverage, pet injury protection of up to $1,000, and no-deductible glass repair. Since Metromile only charges you for the number of miles you drive, it does not offer a lot of additional discounts. However, the company does provide a multi-car discount for those who insure more than one vehicle.
  • Allstate offers virtually any car insurance coverage you could need, including umbrella insurance policies, 24/7 roadside assistance, and new-car replacement.  Allstate also offers rideshare coverage for Lyft and Uber services, classic car coverage for antique autos, Mexican travel insurance for those who drive across the border, and custom parts coverage for aftermarket equipment.