Cheapest car insurance for seniors

What is the cheapest car insurance for senior citizens?

Nationwide has the lowest rates available, with annual premiums averaging $1,372. Travelers comes in second, with annual premiums of $1,471. Geico, State Farm, Progressive, Farmers, and Allstate also offer some of the most affordable car insurance rates of the carriers we compared. USAA offers more affordable rates to military members and their families. 

The chart below shows five national companies with the lowest premiums available to seniors in each state.

Cheapest car insurance for seniors with tickets or accidents 

State Farm offers the cheapest car insurance for seniors who have had a ticket or an accident, with premiums of just over $2,000 annually. USAA is a close second, but only offers policies to military members and their families, so availability is limited.

If you’ve had tickets or an accident, how much you pay for car insurance will go up. It’s best to shop around for a company with the best rates if you’ve had an accident or a ticket.

*USAA is only available to military members and their families

Average cost of car insurance for seniors

Our data shows that 65-year-olds pay an average of $488 a year, or $41 a month, for state minimum coverage and $1,742, or $145 a month for full coverage. Rates rise as you get into your 70s and 80s.

When you hit 65, you'll likely see a bump in your car insurance premiumThe payment required for an insurance policy to remain in force. Auto insurance premiums are quoted for either 6-month or annual policy periods.. It's a good time to re-evaluate your current insurance company and compare it to others that cater to car insurance for seniors. 

Below are the average costs for three different age groups and three types of insurance coverage. We include the cost of a bare-bones state minimum policy, a liability-only policy with higher limits of $50,000 for bodily injury coverage per person, $100,000 per incident and $50,000 in property damage coverage, written as 50/100/50. We also included a policy with liability limits of 100/300/100 plus collision and comprehensive, with a $500 deductibleThe deductible is the amount you pay out of pocket for a covered loss when you file a claim..

Expert tip: You need collision and comprehensive coverage if you have a financed or leased car or a newer car you can't afford to replace.

While car insurance for seniors isn’t nearly as expensive as other groups, notably teens, it’s much higher than for people in their 50s. People in their middle age tend to have the lowest premiums because it statistically has the safest record on the road.

"Seniors have experience driving, so it is not comparable to teens," said Janet Ruiz, director of strategic communications at the Insurance Information Institute. "Many companies do have safe driving courses for seniors to alert them to the specific things they may encounter as they age. Some give a discount if you take the safe driving course, which is usually offered online."

Car insurance for seniors by state

Car insurance rates for seniors vary by state. See how average rates in your state compare below.

Car insurance discounts for seniors

Most states have a law that requires insurance companies to offer senior drivers a discount if they take a defensive driving course to sharpen their skills. Ask about this discount and compare rates from top companies below.

How to find cheap insurance rates if you’re a senior citizen

A great way to get cheaper car insurance is to take advantage of discounts. This applies to senior citizens and people of any age. Several auto insurance companies offer discounts that are specifically applicable to mature drivers.

Many states mandate a discount for senior drivers who take a defensive driving course. Check with your state to find out which courses are approved for the discount. AARP's mature driver courses are usually approved and can reduce your premiums by 5% to 15%.

Customer loyalty can earn you a 30% discount on premiums. Geico, Nationwide and Progressive are among those companies that promote loyalty savings programs. You should still shop around, however. Most experts agree that loyalty savings rarely outweigh saving by switching providers.

Good driver and safe driver discounts are available to all ages and from most companies and can get you between 5% and 25% in savings. The insurance company usually requires that you have a clean driving record for at least three years. That means no DUIs, no moving violations and no at-fault collisions.

Daniel Ferrara, owner of Ferrara Insurance Group, has several suggestions for getting the best rates as a senior driver:

• Bundle your auto and home insurance with the same carrier for a multi-policy discount.
• Take a defensive driving course. Even if you have a clean driving record, you’ll likely get about 10% off your rates.
• Raise your deductibles on the collision and comprehensive portions of your coverage.
• Ask about senior citizen discounts or a low mileage discount. Even though rates tend to increase as you get older, some carriers offer a senior citizen discount.
• Consider usage-based insurance for a discount. After monitoring your driving habits for some time, you'll earn a discount of as much as 30%.
• Buy a newer car. "Newer cars have many benefits for seniors with automated driving assistance features, backup cameras, etc. IIHS Safety ratings are often considered by insurance companies when putting together the cost of the auto policy,” the Insurance Information Institute’s Ruiz says.
• Ask about low-mileage discounts or consider pay-per-mile insurance. Perhaps you have retired, and you're driving a lot less. "Driving fewer miles means you have less road time, resulting in a lower risk of getting into an accident," Ruiz says. "Most insurers ask for yearly mileage to give a lower rate to drivers who are on the road less."

Why do auto insurance rates for seniors go up?

Car insurance companies base rates on how much risk a driver poses to them. If statistics show you are in a group more likely to file a claimAn insurance claim is a request you make to your insurance company for coverage after your car is damaged or you have an accident. You can file a claim online, by phone, or in writing., you'll pay more for auto insurance. Mature drivers have experience but also start to see a decline in vision, response time and other things that affect driving skills.

Statistically, the risk of an accident and the severity of the injuries in that accident go up after age 65. As a result, insurers charge higher rates.ance rates. If you drive beyond your current abilities and get a ticket or are in an accident, this will signal to insurers that you pose a higher risk.

Expert Advice

Daniel Ferrara

Emeritus Sales Rep for Liberty Mutual, based out of Katonah, N.Y.

“Car insurance rates tend to rise as drivers get older because insurance carrierAn insurance carrier is the company that provides your car insurance policy and pays claims. statistics prove that older drivers get into more accidents as their reflexes get slower. Drivers' reactions’ time slow as they age,” Ferrara says. “What age do rates go up? That varies from carrier to carrier but generally, it is around age 64.”

Methodology

Insurance.com commissioned Quadrant Information Services to field rates in 2024 for all available ZIP codes from top insurance companies for drivers aged 65 and up. Rates are based on a 2024 Honda Accord LX, good credit, and a clean driving record. Rates were fielded for state minimum coverage, liability only coverage at limits of 50/100/50 ($50,000 per person and $100,000 per incident for bodily injury and $50,000 per incident for property damage) and full coverage with 100/300/100 liability limits and $500 deductibles.

Helpful auto insurance tools and calculators

• Car insurance rates by vehicle
• Compare car insurance companies
• Auto insurance coverage calculator
• Speeding ticket calculator
• Traffic ticket calculator
• Used car insurance calculator
• Rideshare earning calculator
• Pay per mile calculator