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Automobile Insurance, Savings for Older Drivers
Date: April 28, 2006
Author: David Smidt, SeniorDiscounts.com

Last fall SeniorDiscounts discussed car insurance and the discounts that
may be available to older drivers. Recently, there has been a lot of press regarding this issue
and we thought it was important to discuss it once again.

While there are still discounts on car insurance for older adults, some car
insurance companies may be changing their mature discount policies.

According to insurance companies, drivers in their fifties should see some
decrease in their rates, although it may not be automatic. Auto insurance agents should be
reviewing your policy on a regular basis to see if there any discounts or other benefits that
may be available to you. If you have not reviewed your policy in some time, inquire with your
current provider to see if it offers any senior discounts. Most of the auto insurance agencies
we researched provide a 5%-10% discount at the age of 50 or 55.

The insurance industry has been paying close attention to the driving records
of older adults, especially those people over sixty. They have found that while older drivers do
not receive many citations, they have been filing more accident claims. Older adults, especially
those over 70, are second only to teenagers for the number of accident claims, and the number of
claims seems to be rising.

As drivers get older, into their sixties and seventies, they may start to
see their rates go up again. This is especially true if there is a claim filed for an accident,
which could “red flag” the account with the insurance carrier. Now may be a good time to see if
there are any driver education or other programs you may be able to take to get a lower rate.

There are now many defensive driving courses available to older drivers and
taking them could reduce the amount you pay for your insurance. These classes are now available
in most states and cost between $10 and $25 for a two-day (eight hour) course. More than two-thirds
of states mandate auto insurance policy discounts for such courses, and many insurance companies
offer the discounts voluntarily. Insurance companies will typically provide a 10% discount on car
insurance for a three year period upon completion of one of these courses, but check with your
provider before you sign on.

The senior driving courses are available through local and state agencies as
well as AAA and AARP. You can also check with your insurance agent to see what courses may be
available to you.

Here are some other discounts that may be available to you: There are
discounts available for retired individuals. If you are retired and are not employed full time,
you may be eligible for a discount of up to 5% off your car insurance. Age requirements for this
type of discount vary by state and insurance carrier. You could also save on Personal Injury
Protection (PIP) coverage. Some companies will provide a discount if a minimum amount of the
driving mileage is by anyone over a specified age.

Be careful on the roads out there. The best way to keep your rates down
is to avoid citations and accidents.

© SeniorDiscounts

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