What Is the Senior Driver Discount?

Some car insurance providers offer discounts for senior drivers. This article will show you which ones you might be eligible for.
Smiling senior driver on road

Age can play a major role in how much your car insurance costs. Young drivers often see the highest rates, but seniors can also have higher costs. In general, you may see a rise in your rates after the age of 60. On the other hand, providers also see you as “mature” and less accident-prone. Because of this, insurers may offer you a senior driver discount.

Some senior auto insurance benefits apply when you celebrate a birthday, though this is rare. In other cases, some discounts cater specifically to older motorists. Often, you receive these when you do something special or reach a milestone, such as taking a defensive driving course, retiring, or being a safe driver.

This article will inform you about the ways seniors can lower their auto insurance premiums. Then, you’ll learn about how to qualify for these benefits. We’ll also tell you why providers offer so many ways for retired and elderly drivers to lower rates. Finally, we’ll list companies that offer senior discounts.

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Senior Discounts Help Counter a Rate Increases

Generally, insurance companies will raise your rates as you get into your 60s and beyond. It’s because, as you age, you’re more likely to get into an accident and file a claim. Mainly, it’s because of a decline in three areas:

  • Vision
  • Cognitive abilities (dementia and other cognitive issues are common as people age)
  • Motor function

Insurers don’t raise rates very much when you become a senior citizen, but any increase is concerning when you’re on a fixed income. Luckily, providers consider older drivers to be mature because of their experience. It’s one of the reasons why seniors have more ways to lower their premiums. Your age and years of driving experience can also help keep rates down. Discounts are the best way to counter increasing car insurance costs.

Types of Senior Discounts

Insurance companies offer older drivers many ways to curb rising premiums. However, you most likely won’t find anything called a “senior discount” on most insurer websites. Even so, most carriers offer older drivers a variety of ways to lower rates. Below is a list of common senior driver discounts:

Safe Driver Discount

The safe driver discount is great for seniors, saving them up to 40% on car insurance rates. The exact amount will depend on the insurer. You can usually qualify by maintaining a driving record that’s free of tickets and accidents for about five years.

Many older motorists find it easy to qualify because they have more time to build a clean driving history. Mature drivers also tend to make smarter decisions, which points toward a cleaner DMV record.

Some insurance companies offer an accident-free or claims-free discount rather than one for safe driving. Check with your provider to find out which rewards they give to senior drivers that don’t cause crashes or file claims.

Senior Defensive Driving Discount

As you grow older, you can take steps to show insurers that you’re trying to be a safer driver. Some companies offer savings to seniors who take a defensive driving course. To qualify, you usually need to take a class offered by your state’s Department of Motor Vehicles (DMV) or an approved third-party. Then, you’ll be able to show a certificate of completion to your insurance provider.

People 55 years of age and older (or 50 years old in some states) qualify for the defensive driving course discount. The only other requirement is taking a driver’s education course endorsed by your provider. Not all car insurance companies reward seniors this way. Be sure to speak with your agent about whether they have it. They can also help you figure out how to get it.

Retired Government and Military Discount

Some insurers offer savings for former government employees or service members in the form of a military car insurance discount. This comes in handy for seniors because they’re likely retired and on a fixed budget. Not all companies offer this benefit. It’s worth checking with your provider if you’ve retired from a government job or military role.

You may also be able to get lower rates for military affiliations. This is where you save money just for being affiliated with the military in some way. The military discount can usually save you up to 15% on your auto rates.

Low Mileage Discount

It’s common for seniors to use their car less. This is mainly because they’re often retired and don’t need to commute. If you put between 7,000 and 12,000 miles per year on your odometer, you could see lower rates. However, most insurers don’t offer a named low mileage discount but will reduce your rates for keeping yearly mileage low.

Customer Loyalty Discounts

Insurers will often reward you with a customer loyalty discount. One way to show loyalty is by staying with one provider for a long time. Another way is by purchasing all of your insurance products from the same company. For instance, bundling your home and auto with the same carrier will be rewarded. Having multiple cars on one policy also demonstrates loyalty that won’t go unnoticed.

These discounts slash a big percentage off premiums. The exact amounts vary. But as an example, GEICO claims that their multi-vehicle customers can save up to 25%.

Senior Driving Discount of America

Many insurance companies offer a mature driver discount for customers that take an online driver skill improvement class. Senior Driving Discount of America offers online education specifically designed for people 50 years of age and older. Course names vary by state and pricing is very reasonable, often less than $20, for a program that can save you hundreds of dollars a year.

Once started, instruction only takes a few hours to finish. Upon successful completion of the class, your certificate is sent to the email to the address you registered with. You’ll also have access to digital copy to download through your account. This class is 100% online and you can work at your own pace, taking as much time as you need.

Auto Insurance Companies with Senior Discounts

Almost all insurers offer ways for older drivers to save money on auto coverage. Here’s a list of some top companies that provide senior car insurance discounts:

Be sure to speak with your agent about a senior driver discount. You’ll probably get one. Most providers have something in their system that helps lower your premium. Your agent will be able to tell you exactly how much you can save. It’s also smart to explore the savings other auto insurance companies offer by requesting and comparing quotes.

Frequently Asked Questions

Should seniors use pay-per-mile insurance?

Pay-per-mile or usage-based car insurance is a good option for older drivers. Seniors drive fewer miles than other age groups. So, pay-per-mile would help you pay for only what you need. Companies like Metromile offer this sort of coverage. But other top providers offer programs, too. It’s wise to compare prices between pay-per-mile and traditional providers.

Do senior citizens pay more for car insurance?

Generally, retirees pay more for coverage than middle-aged drivers. According to the Insurance Institute for Highway Safety (IIHS), older drivers are at a higher risk of getting into accidents. This situation is especially true for drivers who are 85 years and older. Because of this risk, insurers charge seniors more for their car policies. Fortunately, you can take advantage of any senior driver discount to lower your costs.


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