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 senior drivers can also have higher costs. In general, you may see a rise in your rates after the age of 60. Insurers also think of senior drivers as “mature” and less accident-prone. Because of this, insurers may offer you a senior driver discount.

Some senior benefits apply when you celebrate a birthday, though this is rare. In other cases, some discounts cater specifically to older drivers. These include defensive driving, retirement, and safe driving.

This article will inform you about the ways seniors can lower their premiums. Then, you’ll learn about how to qualify for these benefits. We’ll also tell you why insurers provide so many ways for seniors to lower rates. Finally, we’ll list insurers that offer senior discounts.

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Senior Discounts Help Counter a Rate Increases

Generally, insurance providers 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

Senior driver rates don’t increase very much, but any rise is worth noting. Despite this rise in cost, insurers consider older drivers to be mature because of their experience. It’s one of the reasons why senior drivers have more ways to lower their premiums. Your age and years of driving experience can also help keep your rates down. Discounts are the best way to counter increasing rates.  

Types of Senior Discounts

You most likely won’t find anything called a “senior discount” on most insurance company websites. Even so, most carriers offer older drivers a variety of ways to lower premiums. Below is a list of common savings opportunities for senior drivers:

Safe Driver Discount

Safe driver discounts are great for seniors. They can save you up to 40% on your 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.

The safe driver discount is really easy for older drivers to get because they have more time to build a clean driving history. Mature drivers also tend to make smarter decisions, which points toward a cleaner driving 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 older drivers that don’t cause crashes or file claims.

Senior Defensive Driving Discount

As a senior, you can take steps to show insurers that you’re trying to be a safer driver. Some insurers offer savings to seniors who take a defensive driving course. To qualify, you usually need to take a defensive driving course 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 insurer.

To qualify for the defensive driving discount, you’ll typically need to be at least 65 years of age (or 55 in some states). Then, the only step left is to take the driver’s education course that your insurer requires. Not all companies provide this discount. 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 military service members. This comes in handy for seniors because they’re likely retired and on a fixed budget. Not all insurers 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 drive less. This is mainly because they’re often retired and don’t need to commute. If you drive between 7,000 and 12,000 miles per year, you could see lower rates. However, most insurers don’t offer a named discount for low mileage but will reduce your rates for keeping yearly mileage low.

Customer Loyalty Discounts

Insurance companies will often reward you for customer loyalty. 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 carrier. For instance, bundling your home and auto with the same company will be rewarded. Having multiple cars on one policy also demonstrates loyalty that won’t go unnoticed.

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

Insurance Companies with Senior Discounts

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

Be sure to speak with your agent about discounts for senior drivers. You’ll probably get one. Most insurers 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 companies offer seniors by requesting and comparing quotes.

Frequently Asked Questions

Q: Should seniors use pay-per-mile insurance?

A:  Pay-per-mile or usage-based insurance is a good option for seniors. 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 insurers offer programs, too. It’s wise to compare prices between pay-per-mile and traditional insurers.

Q: Do senior citizens pay more for car insurance?

A: Generally, senior citizens 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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