Best Car Insurance for Seniors

State Farm offers the best car insurance for seniors

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Car insurance is a legal requirement for most drivers, regardless of age. But as you get older, your car insurance needs can change. You might enter retirement, stop commuting, move to a new state, or purchase a new vehicle that fits your new lifestyle. There are a lot of insurance carriers on the market, so finding the best car insurance for seniors can take some work. 

The best auto insurance for seniors comes with comprehensive coverage, a variety of endorsements, and generous discounts for a cheaper premium, including special savings aimed at senior drivers. Companies that offer the best car insurance for seniors also have good customer service, high ratings from third-party firms, and options for managing your policy online or on your smartphone.

Best Car Insurance for Seniors of 2022

Best Overall and Best on a Budget : State Farm

Investopedia's Rating
4.7

State Farm

State Farm

  • Average Premium for 67-Year-Old: $880
  • Purchasing Options: Online, phone, local agent
  • Available Discounts: Discounts vary by state
Why We Chose It

State Farm is one of the most affordable car insurance companies for seniors, with low average premiums, multiple discounts, good accessibility, and excellent third-party ratings. 

Pros and Cons
Pros
  • Many discounts available

  • Low average premiums for senior drivers

  • High ratings for financial strength and customer satisfaction

Cons
  • Fewer add-on coverages than some competitors

  • Coverage not available nationwide

  • Discounts vary by state

Overview

We chose State Farm as the best overall car insurance provider for seniors, and the best provider for affordable policies. Based on internal research, State Farm offers some of the cheapest premiums for older drivers. For 67-year-olds, State Farm’s average rate is $880 per year for full coverage insurance, which is about $73 per month.

In addition to its affordable rates, State Farm offers many discounts for senior drivers who want to get an even better deal on their car insurance. You’ll save for doing any of the following:

  • Having a clean driving record
  • Taking a defensive driving course
  • Bundling your policies
  • Enrolling in the Drive Safe & Save program
  • Having a car with advanced safety features
  • Having an anti-theft device in your vehicle

While State Farm stands out for its generous discounts, keep in mind that some are only available in select states. For example, senior drivers in California can take advantage of a mature driver improvement course, but that discount is not offered in most other locations.

In terms of coverage options, State Farm falls short, especially when compared to some of its biggest competitors. There are only a handful of add-on coverages sold, which include:

Another thing to know about State Farm is that coverage is not available everywhere. Currently, seniors can purchase State Farm auto insurance in every state and Washington, D.C., except  Massachusetts and Rhode Island.

When it comes to accessibility, State Farm is one of the top providers. It’s easy to purchase car insurance online, and you can manage your policy through the online customer portal or mobile app. You can file and track claims online or through the app, 24/7.

State Farm also has some of the best third-party ratings of any insurance company. It was rated the best car insurance company by J.D. Power for overall customer satisfaction in Florida, New York, and the Northwest region. State Farm was also rated above average for overall claim satisfaction by J.D. Power and has an A++ financial strength rating from AM Best.

Read our full State Farm auto insurance review.

Best for Veterans : USAA

Investopedia's Rating
4.5

USAA

USAA

  • Average Premium for 67-Year-Old: $772
  • Purchasing Options: Online, phone, local agent
  • Available Discounts: Discounts vary by state
Why We Chose It

USAA is the top car insurance company for seniors who have served in the military. In order to take advantage of USAA’s low rates and personalized customer service, you must be an active duty or retired service member, or an immediate family member of a service member.

Pros and Cons
Pros
  • Very affordable rates for most senior drivers

  • Lots of insurance discounts offered

  • Member discounts for non-insurance products

Cons
  • Must meet the military eligibility requirements to get coverage

  • Not many add-on coverages available

Overview

If you are a senior driver who served in the military, USAA could be one of the best car insurance companies for you. USAA offers affordable policies for active duty and retired service members, as well as their spouses and children. However, civilians who are not affiliated with the Armed Forces do not qualify for USAA car insurance.

According to internal research, the average USAA full coverage car insurance premium for a 67-year-old driver is $772 per year, making it the cheapest car insurance company for seniors on our list.

Senior drivers can also save money by taking advantage of USAA’s many discounts, which include savings for:

  • Insuring multiple vehicles
  • Maintaining a clean driving record
  • Driving under a certain annual mileage
  • Taking a defensive driving course
  • Participating in the SafePilot driver program
  • Having a newer vehicle

On top of its car insurance savings, USAA customers also get access to special discounts for non-insurance products through the USAA Perks program. There are customer-only savings for tires, tax filing services, hotels, and more. 

Despite USAA’s excellent discounts, it’s not the best provider if you want to customize your coverage with endorsements. In addition to a basic minimum coverage or full coverage policy, the only add-on policies available are:

  • Roadside assistance
  • Rental car reimbursement

USAA also has great third-party ratings. It’s consistently rated among the top providers for overall customer satisfaction by J.D. Power. It’s also a financially strong company, with an A++ rating from AM Best, which is the highest rating possible.

USAA sells auto insurance for seniors in all 50 states and Washington D.C. In addition to its seamless online policy management system, you can also download the free mobile app to get your ID cards, request roadside assistance, and file claims on the go.

Read our full USAA auto insurance review.

Best for AARP Members : AARP Auto Insurance Program from The Hartford

Investopedia's Rating
4.2

AARP/The Hartford

AARP/The Hartford

  • Average Premium for 67-Year-Old: $1,178
  • Purchasing Options: Online, phone, local agent
  • Available Discounts: Discounts vary by state
Why We Chose It

The Hartford sells car insurance exclusively to AARP members. If you belong to the AARP, you can take advantage of The Hartford’s robust coverage options, good discounts, and highly-rated customer service and claim handling.

Pros and Cons
Pros
  • Many add-on coverages available

  • 24/7 claim reporting via phone

  • Strong customer reviews

Cons
  • Higher average premiums than some other carriers

  • Must be an AARP member to get coverage

  • Fewer discounts than other providers

Overview

The Hartford is our top pick for senior drivers who are AARP members. The Hartford only sells car insurance to active AARP members, so if you aren’t a member you have to join the organization and pay the annual membership fee before you can apply for a car insurance policy.

Overall, The Hartford is a strong car insurance company, but it stands out specifically for its long list of add-on coverages. If you want to customize your policy for additional protection this is a great provider to go with. Here are some of the endorsement policies available:

  • New car replacement coverage
  • Full glass coverage
  • RecoverCare coverage
  • Lifetime car repair assurance
  • Gap insurance
  • Disappearing deductible
  • 24/7 emergency roadside assistance
  • Accident forgiveness

Compared to some other car insurance companies, The Hartford offers fewer discounts. However, there are several savings opportunities available. Plus, you can automatically save up to 10% just for being an AARP member. The Hartford provides discounts for:

  • Having anti-lock brakes and airbags in your car
  • Insuring a hybrid or electric vehicle
  • Taking a defensive driving course
  • Bundling a home and auto policy
  • Paying your annual premium in full

Another thing we like about The Hartford is that it offers 24/7 claim reporting via phone, even for glass claims. You can file claims online through the member portal or the mobile app. And if you value a car insurance company that provides seamless claim handling, The Hartford is a great choice. In J.D. Power’s 2021 U.S. Auto Claims Satisfaction Study, The Hartford was ranked number one on the list of 18 companies.

In addition to its excellent claim satisfaction ratings, The Hartford also has fewer customer complaints than average, according to the National Association of Insurance Commissioners (NAIC). The Hartford’s complaint score of .98 for private passenger car insurance is a bit lower than the industry average of 1.0. Auto insurance from The Hartford is available in all 50 states and Washington D.C. 

Read our full The Hartford auto insurance review.

Final Verdict

Based on our comparison of the top car insurance companies, State Farm offers the best car insurance for seniors. We chose State Farm because of its affordable rates for older drivers, generous discounts for further savings, and lack of eligibility requirements. In addition, State Farm has high third-party ratings across the board, with some of the best scores for claim satisfaction, customer satisfaction, and financial strength.

Compare Best Car Insurance for Seniors

Company Price (Average for a 67-Year-Old Driver)  Purchasing Options  Available Discounts  Other Available Coverage 
State Farm Best Overall and Best on a Budget $880 Online, phone, local agent  Vary by state Homeowners, renters, life, boat, ATV, motorhome, farm and ranch, identity theft, health, disability, commercial, pet
USAA Best for Veterans  $772  Online, phone, local agent Vary by state Homeowners, renters, life, boat, flood, umbrella, health, long-term care, commercial, pet, travel 
The Hartford Best for AARP Members  $1,178  Online, phone, local agent Vary by State Homeowners, renters, life, classic car, commercial, renters, umbrella, flood 

Guide for Choosing the Best Car Insurance for Seniors

Do You Need Senior Car Insurance?

When shopping for car insurance, you won’t find any companies selling policies specifically for older drivers. However, it’s a good idea to look for car insurance companies that offer special perks or unique discounts for seniors. Older drivers sometimes pay higher car insurance rates than younger drivers, but that doesn’t mean you have to pay a fortune for insurance.

If you can qualify for senior driver discounts you might be able to get a much lower premium, whether you choose a minimum coverage or full coverage policy. In addition, senior drivers can often save money with traditional discounts, like policy bundling, taking a defensive driving course, and paying the annual premium in full.

Do You Qualify for Senior Car Insurance? 

Some car insurance companies have requirements for seniors. For example, to get insurance from The Hartford, you must be an AARP member. But even if you choose a car insurance company without eligibility requirements, you might have to meet certain criteria to take advantage of senior discounts. For example, some carriers offer savings for drivers over 60, but only if they are retired or work less than 25 hours per week. Similarly, some senior driver discounts are only available in select states.

Comparing Seniors Car Insurance Companies

There are dozens of car insurance companies that sell insurance for seniors. However, it’s important to remember that not all car insurance providers are created equal. Here are a few things to pay attention to when comparing car insurance for seniors:

  • Customer service: Every car insurance company is different when it comes to customer service. Some offer 24/7 phone support, some offer live chat, and others only offer support during limited business hours. Customer service ratings vary significantly between providers.
  • Coverage options: Almost every car insurance company offers minimum coverage and full coverage insurance policies, but the add-on coverages will depend on the provider. If you’re looking for a specific type of coverage, like accident forgiveness, custom parts coverage, or new car replacement, focus your search on carriers that offer those endorsements.
  • Discounts: As mentioned, seniors often pay higher car insurance rates. Fortunately, most providers offer discounts to help you get a lower premium. When comparing providers, pay attention to the discounts offered and the potential savings. These also vary by company, though you’ll find many of the same discounts from various carriers.

How to Sign Up for Senior Car Insurance

Getting car insurance as a senior is pretty simple. Most car insurance companies today offer an online quote tool, where you provide your personal details and vehicle details and choose your coverages, policy limits, and deductibles. If you are satisfied with the estimated rate, you can often purchase the policy online and pay the first month's premium without ever speaking with an agent.

However, if you prefer to work with an agent or need help getting coverage, you can typically call the insurance company directly or make an appointment with an agent at a local office. Once you have a policy, you often get access to an online customer portal where you can pay bills, file claims, download your ID cards and policy documents, and manage your coverage. 

Frequently Asked Questions

What Is Car Insurance for Seniors?

Car insurance for seniors is essentially automobile insurance that offers discounts for senior adults, but may also feature other perks. Generally, senior discounts are offered at age 50 and increase every five years. Seniors with good driving records typically receive the best rates and discounts of all drivers. 

What Is Different About Car Insurance for Seniors?

Car insurance for seniors is different because older drivers have different coverage needs. For instance, if you drive infrequently or have a much older car, you may need less coverage than a younger driver who commutes daily and drives a brand-new vehicle. 

Older drivers may also be eligible for certain discounts that younger drivers cannot claim. Some insurance companies offer special savings for retired drivers, older drivers who complete an approved defensive driving course, or drivers who have had a clean driving record for a certain period of time.

How Much Does Car Insurance for Seniors Cost? Is It Worth It?

The cost of car insurance for seniors varies depending on a variety of features, including:

  • Type of coverage
  • Deductible amount
  • Type of vehicle insured
  • Driving record
  • Location
  • Multi-car and multi-policy discounts 
  • Miles driven per year 

Senior car insurance is worth the cost. Even though older drivers typically pay higher insurance rates, car insurance is still a legal requirement in most states, regardless of your age and the amount of driving that you do. Many insurance companies offer discounts, including savings for older drivers, so you can likely find ways to save money on car insurance and get a premium that fits within your budget.

Can I Add a Senior Driver to My Insurance?

Anyone with car insurance can add a senior driver to their policy. There’s no maximum age requirement for car insurance, so if your 90-year-old parent is still driving and lives with you, there is nothing stopping you from adding them to your auto insurance. However, keep in mind that adding a senior driver to your insurance policy will most likely cause your premium to increase. 

What Are the Different Types of Car Insurance for Seniors?

Seniors can purchase all the same types of car insurance that younger drivers can get. Depending on your state, you will need to have at least a minimum coverage policy with liability insurance. However, it’s a good idea to upgrade to a full coverage policy, which includes collision insurance and comprehensive insurance, as well as medical payments coverage. Senior drivers may also be eligible for car insurance endorsements, like accident forgiveness, new car replacement coverage, gap insurance (for leased or financed vehicles), and emergency roadside assistance.

How We Chose the Best Car Insurance for Seniors

Our team evaluated 25 insurance companies and collected thousands of data points before selecting our top choices. We weighed eight criteria and gave a higher weight to those with a more significant impact on potential customers. 

The top picks were selected based on factors like median annual premium (weighted 30%), fairness in pricing methodology (weighted 10%), and regional availability (weighted 15%). We also took into account other features that are important to buyers including complaint scores, consumer satisfaction reports from J.D. Power and Consumer Reports, and company loss ratios.

For further information about our selection criteria and process, our complete methodology is available.

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