Best Car Insurance for Seniors

Your car insurance needs alter as you get older

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As you prepare to enjoy retirement, it’s a good time to become more aware of how you spend your money and whether you’re receiving good value for it. That goes for your car insurance as well as your retirement funds. You should ensure you’re receiving the appropriate coverage based on your vehicle’s value. You also should pick a policy that fits your lifestyle and offers the perks and discounts you deserve, based on your driving history.

With so many car insurance choices out there, how can you determine which company will offer you the most bang for your buck? Investopedia has researched the available options and compiled a helpful list that not only looks at coverage but also evaluates both discounts that specifically benefit seniors and the various perks being offered to acquire your patronage.

Based on our findings, here are seven car insurance companies that we feel confident in recommending to anyone who falls in the 50 and older age bracket.

Best Car Insurance for Seniors

Provider Best For
The Hartford Best Overall for Seniors
GEICO Best for Cheap Rates
USAA Best for Veterans
Metromile Best for Occasional Drivers
Allstate Best Discount Offerings for Seniors
Dairyland Best for High-Risk Drivers
Hagerty Best for Exotic and Classic Car Coverage

Below you'll find auto insurance offers available from our advertising partners, followed by our complete in-depth list of the best car insurance companies for seniors we've found.

The Hartford: Best Overall for Seniors

AARP/The Hartford

 AARP/The Hartford

Since 1984, The AARP® Auto Insurance Program from The Hartford has offered car insurance exclusively for AARP members. While this means that The Hartford specifically caters to the 50 and older crowd, it doesn’t take away from the company’s ratings. J.D. Power consistently gives The Hartford above-average client satisfaction ratings, and the company’s financial strength remains high. These are just a few reasons why The Hartford is our top recommendation of car insurance for seniors.

Pros and Cons

Pros
  • Coverage and discounts specifically geared toward the 50 and older crowd

  • 24/7 claims service

  • RecoverCare policy can help provide household assistance in the case of an injury due to an accident

Cons
  • Policies only available for AARP members in most states

  • May not offer the cheapest rates

Types of Coverage

AARP offers auto insurance to its members through a partnership with The Hartford, whose auto insurance policies include similar coverage to the standard policies of other providers. However, The AARP® Auto Insurance Program from The Hartford policies offer an array of additional perks, including:

  • 24/7 roadside assistance
  • 24//7 claims hotline, accessed by phone or online
  • RecoverCare to help pay for transportation, cooking, cleaning, and other costs after an injury due to an accident
  • New-car replacement if your new car is totaled within the first 15 months or 15,000 miles (whichever comes first
  • 12-Month Rate protection, which locks in your car insurance premium for a year (rather than the standard six months)
  • Lifetime car repair assurance if your car is fixed at an approved shop

You can add the following optional coverage with The Hartford’s Advantage Plus policy:

  • First-accident forgiveness, which means your first accident will not impact your premiums
  • Disappearing deductible for each year you keep a clean driving record
  • Deductible waiver if you’re not at fault for an accident
  • One deductible for two cars on your auto policy if an event causes damage to your home and vehicle

Discounts for Seniors

Because AARP® Auto Insurance Program from The Hartford policy is specifically geared toward AARP members, its car insurance plans already come at a discounted rate. Drivers 50 and older may benefit from the following discount options:

  • You’ll receive a 20% discount for bundling your home, condo, or renters insurance with your car insurance policy.
  • You can receive an additional discount if you pay your entire six-month or annual premiums in full.
  • You’ll get additional discounts for safety features such as side airbags, as well as for driving environmentally conscious cars such as hybrids or electric vehicles.

Availability and Limitations

Although The Hartford is a widely available car insurance provider, it’s not available in all states. Residents of Hawaii, Massachusetts, Michigan, and New Jersey won’t be able to enroll in car insurance with The Hartford. Homeowners policies are not available in Alaska, Louisiana, Mississippi, North Dakota, or Rhode Island, so seniors who opt for car insurance there won’t be able to take advantage of the bundle discount. Of course, the other major limitation is that only AARP members can take advantage of this specific plan from The Hartford.

Customer Satisfaction

Although the majority of The Hartford's car insurance customers are 50 and older, the company consistently receives high marks in customer satisfaction. In fact, The Hartford ranked 6th out of 25 major insurance providers compared in the J.D. Power 2019 Auto Claims Satisfaction Study. Additionally, The Hartford took the top spot for mid-sized insurance companies in J.D. Power's 2020 Insurance Shopping Study.

GEICO: Best for Cheap Rates

GEICO

If you're looking for a car insurance company who consistently offers some of the lowest rates in the industry, then you'll want to check out GEICO. What's more, GEICO earned the top spot in J.D. Power's 2020 Insurance Shopping Study as well as the #1 spot on U.S. News & World Report's Top Insurance Companies in 2020. 

Pros and Cons

Pros
  • Consistently lower rates than most of the competition

  • Automatic Renewal Policy specifically geared towards people 50 or older

  • Accident forgiveness for qualifying customers

Cons
  • Almost exclusively online

Types of Coverage

Known as one of the country's leading insurance providers, GEICO offers very comprehensive car insurance policies with all of the basic types of coverage. Additionally, GEICO offers several perks and add-on policies to customers, including:

  • Emergency Road Service
  • Rental Reimbursement
  • Mechanical Breakdown Insurance
  • Rideshare Coverage
  • Accident Forgiveness
  • Glass Coverage

Additionally, GEICO offers a unique car insurance policy specifically geared towards the 50+ crowd. Known as the Prime Time Contract, this policy guarantees GEICO customers over the age of 50 automatic renewal as long as you maintain insurance with GEICO. The only requirements for this policy is that you do not have any drivers under 25 on your car insurance, you've gone accident-free for the 3 years before you enroll, and you don't use your car for commercial purposes.

Discounts for Seniors

While GEICO doesn't offer any discounts specifically for people over the age of 50, they do offer a few discounts that people in this age range will likely qualify for, including:

  • Driving history discounts of up to 25% for safe drivers
  • Multi-car and multi-policy discounts of up to 25% for those who bundle their car and homeowners insurance or other types of coverage through GEICO
  • Vehicle equipment discounts of up to 25% for newer vehicles equipped with certain safety features

Availability and Limitations

GEICO auto insurance is available in all 50 U.S. states and the District of Columbia, so you can obtain GEICO coverage regardless of where you live. However, GEICO may not cover some high-risk drivers, so it's worth obtaining an online quote before considering your switch to GEICO.

Customer Satisfaction

As one of the largest car insurance companies in the industry, GEICO works hard to maintain outstanding ratings in customer satisfaction and claims satisfaction. Not only did the company take the top spot in J.D. Power's 2020 Insurance Shopping Study , but it also came in the Top 5 in J.D. Power's 2019 Claims Satisfaction Study. Furthermore, GEICO holds an A+ rating with the Better Business Bureau (BBB) and an A++ rating in financial strength from A.M. Best.

Read the full review: GEICO Car Insurance

USAA: Best for Veterans

USAA

If you or your spouse served in the military, then look into auto insurance through USAA. Not only does the company offer some of the lowest rates in the industry; it also frequently ranks high in customer satisfaction and claims processing. And because it is available in all 50 states, USAA is a convenient choice for anyone who is about to relocate for retirement.

Pros and Cons

Pros
  • Very affordable rates

  • Great customer service ratings

  • Offers banking and other products

Cons
  • Only available to current or former military and their families

Types of Coverage

As one of the top-rated insurance providers in the country, USAA offers all the basic car insurance policies you need to satisfy your state’s insurance requirements. Additionally, USAA offers rideshare coverage for Lyft and Uber drivers, 24/7 roadside assistance, and towing coverage. USAA customers can also bundle their car and homeowner's policies or select other coverages, such as life insurance, renters or condo insurance, and boat insurance.

One of the best parts about USAA car insurance is the perks that USAA members receive. For example, USAA offers payment flexibility to customers, so they can select payment schedules that fit their pay schedule. USAA gives you easy access to your policy anytime through its website and mobile app. You could be eligible for accident forgiveness, car purchase assistance for new vehicle buys, and other membership perks.

Discounts for Seniors

Even though USAA offers some of the lowest rates in the industry, it also provides discounts, some of which specifically help out older drivers.

  • The senior bonus is a special discount for veterans who have remained USAA members for 40 or more years.
  • Multi-car and multi-policy discounts help those with multiple cars or bundled car and homeowners policies to save money.
  • New vehicle discounts are available for those with cars that are less than three years old.
  • Discounted rates based on mileage are available for those who only drive a limited number of miles per month.

Availability and Limitations

USAA car insurance is available in all 50 states; Washington, D.C.; and some international locations (subject to eligibility and underwriting approval). Again, though, you or your spouse must be a veteran to qualify for USAA insurance and other member benefits. 

Customer Satisfaction

Although USAA's military-only approach leaves it out of the official rankings for most insurance shopping studies, the company still receives high marks in both claims satisfaction and customer service. In fact, J.D. Power awarded USAA a score of 900 (out of 1000) in both the most recent Insurance Shopping Study and Claims Satisfaction Study.  USAA also holds low complaint numbers with the National Association of Insurance Commissioners (NAIC) and a high rating of financial strength from A.M. Best.

Read the full review: USAA Car Insurance

Metromile: Best for Occasional Drivers

Metromile

For seniors who live in retirement communities or rarely drive their cars, traditional car insurance just doesn’t make sense. Fortunately, Metromile offers plans specifically geared toward drivers who rack up less than 10,000 miles per year, making it the ideal plan for seasoned drivers who only get out on the road occasionally.

Pros and Cons

Pros
  • Low premiums based on your actual drive time per month

  • Intuitive software and a smartphone app help you with parking and vehicle maintenance

  • 24/7 claims service

Cons
  • Only available in eight states

  • Not a great option for long-distance driving

Types of Coverage

Metromile offers the same standard coverage that most other car insurance companies provide. However, its payment structure works differently. Instead of charging you a flat rate each month, Metromile breaks its car insurance rates into two parts: a base rate and a per-mile charge based on your driving. The base rate and cost per mile are determined by typical factors such as age, driving history, and credit score. Then Metromile’s Smart Driving app (Apple App Store and Google Play) tracks your mileage through a device that the company plugs into your car’s diagnostic port. Your premium will change each month, with the amount equal to the per-mile rate multiplied by the number of miles you drove that month.

In addition, Metromile offers the following add-on perks:

  • Rental reimbursement if your car ends up in the repair shop after an accident ($30 per day for up to 30 days for you to rent a car)
  • Roadside assistance and towing coverage
  • Pet injury protection of up to $1,000 if your pet is injured in an auto accident (not available in Illinois and Virginia)
  • No-deductible glass repair if you purchase comprehensive coverage

Metromile’s device is installed in your car’s diagnostic port, so you get some perks through its app, such as the ability to locate your parked vehicle and a car health report that scans anytime you ask.

Discounts for Seniors

Metromile only charges you for the number of miles you drive, so it doesn’t offer a lot of additional discounts. However, the company does provide a multi-car discount for those who insure more than one vehicle. Also, it caps your per-day charge at 250 miles (150 miles if you live in New Jersey), so you won’t pay excessive fees if you occasionally decide to take a long road trip.

Availability and Limitations

Metromile’s eligibility works like that of most other insurance providers, so unless you’re a severely high-risk driver, you will likely qualify for coverage. However, Metromile is only available in Arizona, California, Illinois, New Jersey, Oregon, Pennsylvania, Virginia, and Washington. Also, your car must have an ODB-II diagnostic port, so you’ll need a 1996 or newer model to qualify.

Customer Satisfaction

Due to its relatively small market share, Metromile isn't included in most insurance comparison studies offered by J.D. Power and similar agencies. However, don't discount Metromile because of that because that doesn't mean the company isn't great in terms of customer satisfaction. In fact, Metromile not only holds an A+ rating from the Better Business Bureau, but the company is actually BBB accredited as well -- an honor that many car insurance companies don't hold.

Read the full review: Metromile Insurance

Allstate: Best Discount Options for Seniors

Allstate

Allstate offers some of the best policies in the industry, and it has a special discount for policyholders over the age of 55 who retire or only work part time. Combined with the company’s other discount offerings, this makes Allstate a likely choice for anyone looking for ways to pinch pennies during retirement.

Pros and Cons

Pros
  • Great discounts for seniors

  • Numerous perks for long-term customers

Cons
  • Higher rates than some other companies

Types of Coverage

Allstate offers virtually any car insurance coverage you could need, including umbrella insurance policies, 24/7 roadside assistance, and new-car replacement. What’s more, Allstate offers some rather specific items, such as rideshare coverage for Lyft and Uber drivers, classic car coverage for antique autos, Mexican travel insurance for those who drive across the border, and custom parts coverage for aftermarket equipment.

When it comes to additional perks, Allstate provides many services free of charge, including:

  • Accident forgiveness
  • Safe driving bonus
  • Deductible rewards
  • Car buying service
  • Claim satisfaction guarantee

Discounts for Seniors

Allstate has discount options that can help seniors save money while receiving great insurance coverage. In fact, Allstate offers a senior discount to retired policyholders aged 55 or over, plus multi-car and multi-policy discounts. Allstate also gives rate reductions for automatic withdrawals, paperless billing, upfront payments, and added safety features.

However, one of the best ways to save with Allstate is through its Drivewise program, which analyzes your driving habits and offers you discounts based on how well you drive. You receive a 10% discount for using the Drivewise app, and you can net additional savings of up to 25% for driving safely.

Availability and Limitations

According to the Insurance Information Institute, Allstate is the fourth largest car insurance company in the United States based on policies written. Allstate's coverage is available in all 50 states, and the company has a large number of local agents ready to serve you. For consumers who want a stable, nationally recognized insurance provider, Allstate is a pretty safe bet.

Customer Satisfaction

In terms of customer satisfaction, Allstate's standings are mixed. Unfortunately, Allstate hasn't fared well in both the most recent Insurance Shopping Study and Auto Claims Satisfaction Study from J.D. Power.  However, the company does maintain an A+ rating with both the Better Business Bureau and A.M. Best. In fact, Allstate works hard to resolve nearly all of the complaints filed with the BBB.

Read the full review: Allstate Car Insurance

Dairyland: Best for High Risk Drivers

Dairyland

Not all of us maintain stellar driving records as we age, and this can make it difficult to obtain coverage from most standard insurance carriers. If you find yourself in the high-risk driver category, don’t worry—there are still options available. Dairyland Insurance is one of the best nonstandard insurance companies out there, offering some useful perks for seniors.

Pros and Cons

Pros
  • Offers coverage to virtually any high-risk driver

  • Pay-as-you-go plan helps seniors on tight budgets

Cons
  • Rates higher than other larger insurance companies

  • No online claims filing available

Types of Coverage

Although Dairyland has very limited insurance offerings in comparison with larger, more all-purpose carriers such as GEICO, it does provide coverage for high-risk drivers who may struggle to find an insurance company to carry them. That being said, Dairyland does offer a few perks, including:

  • Special equipment coverage for custom aftermarket parts that you’ve added to your car
  • A lienholder policy to cover the cost of any custom touches that need to be fixed on a bank-owned car after an accident
  • Nonowner insurance, so that you’re covered even when driving another person’s car.
  • SR-22 documentation if a high-risk driver needs it to reinstate a license or driving privileges

Another perk with Dairyland is the option for flexible, pay-as-you-go monthly premium payments. This means that if you’re on a tight budget, you can pay as you have funds available or cancel your policy at any time without being locked in for coverage for six or even 12 months.

However, it’s important to note that Dairyland only provides car and motorcycle insurance, meaning you can’t bundle homeowners or life insurance with it, something that is common with most nonstandard insurance providers.

Discounts for Seniors

While Dairyland doesn’t offer any age-related discounts for drivers, it does provide a few rate reductions that seniors may take advantage of:

  • Advance quote discount for drivers who obtain a quote before switching
  • Transfer discounts for those who switch to Dairyland
  • Anti-theft discounts for vehicles that meet certain safety requirements
  • Multi-car discount
  • Payment frequency discount when you pay your policy premium on a quarterly, semiannual, or annual basis.

Availability and Limitations

Although you may not recognize the name, Dairyland sells auto insurance policies in all 50 states and the District of Columbia. However, its policies are specifically geared toward high-risk drivers, so only look into coverage from Dairyland if you struggle to obtain coverage elsewhere or have a serious at-fault accident or DUI on your record.

Also, Dairyland doesn’t have the online tools that other major insurance companies do, though its website is functional and easy to navigate. The company does offer an app for Android and Apple users, though its capabilities are limited.

Customer Satisfaction

As a non-standard insurance company, Dairyland doesn't typically appear in most of the major insurance rating studies. However, Dairyland does maintain an A+ rating from the Better Business Bureau and seems to receive about the same number of complaints as any other car insurance provider. Furthermore, Dairyland holds a 4.5/5 star rating with Trustpilot, a consumer review website.

Hagerty: Best for Exotic and Classic Car Coverage

Hagerty

We sometimes put our hard-earned money into prized possessions such as retirement homes or antique classic cars. Many people don’t realize that traditional car insurance plans don’t cover these prized vehicles. That’s where exotic car coverage from companies such as Hagerty comes in.

Pros and Cons

Pros
  • Offers coverage for classic and collectible cars

  • Guaranteed value coverage for total losses

  • 24/7 roadside assistance

Cons
  • Restrictions on what vehicles are covered

  • Won’t approve coverage if you have bad driving history

Types of Coverage

Unlike most other insurance providers on this list, Hagerty offers auto insurance for specialty cars, such as classic or antique vehicles, as well as exotic or specialty vehicles that cost above and beyond what most standard insurance companies feel comfortable covering. Because these cars require some unusual options, Hagerty includes the following with its standard insurance policies:

  • Guaranteed value coverage means that you will be awarded your car’s agreed-upon insured value in full in the case of a total loss accident. There are no depreciation or price discrepancies to hash out at any point.
  • Spare parts coverage protects the valuable tools and spare parts you may need to keep your vehicle running efficiently. Hagerty will cover original replacement parts when your vehicle needs repair, which is important when fixing an expensive or rare vehicle.
  • 24/7 roadside assistance guarantees a tow or a tire change while out on the road.
  • Specialized medical coverage applies to you and your family members if someone becomes injured during an auto show or related event. This can be very important for older drivers who like to parade their classic or specialty car at auto shows.

It’s important to note that due to the nature of the cars the company is insuring, Hagerty places some restrictions and guidelines on these perks. First and foremost, the covered classic or exotic vehicle cannot be driven daily. Hagerty doesn’t place mileage restrictions on these vehicles, but you should have a backup car for your trips to the grocery store. In fact, Hagerty asks that all members of your household with a valid driver’s license maintain regular car insurance on everyday vehicles in addition to the classic or exotic car it covers.

All cars insured with Hagerty must be stored in a garage or storage unit when not in use. This helps protect the car from weather-related damage or other non-driving accidents that could lead to costly repairs.

Discounts for Seniors

Because Hagerty provides specialty coverage, it’s not surprising that the company doesn’t offer a lot of discounts. However, if you sign up for the Hagerty Drivers Club, you may receive discounts on Hagerty auto insurance.

Availability and Limitations

Hagerty is headquartered in Traverse City, Mich., and it has locations around the world in the United States, Canada, and the United Kingdom. While the company places restrictions on what vehicles it will cover, Hagerty insurance is widely available here in the United States.

Hagerty limits coverage based on your driving history. If you have an extensive history of reckless driving, speeding tickets, or alcohol-related driving charges, you probably will not qualify for Hagerty’s classic or exotic car coverage.

Customer Satisfaction

As an exclusive provider of classic car insurance, Hagerty isn't on the radar for most customer satisfaction rating agencies like J.D. Power. With that being said, Hagerty does hold an A+ rating with the Better Business Bureau and a 4.5/5 star rating on Trustpilot.

Do Seniors Get Discounts on Car Insurance?

If you take time to compare car insurance rates and available discounts, you’ll see that many standard car insurance providers offer discounts for senior drivers. Indeed, many states require car insurance companies to offer senior discounts. Generally, age-related car insurance discounts start at age 50 and increase every five years. In addition to the maturity discount based on age, most car insurance companies offer additional savings to those who utilize driving-habit tracking apps, take defensive driving or driver safety courses, and have up-to-date safety features in their vehicles.

Does Your Car Insurance Premium Increase When You Turn 65?

No. Insurance rates do not increase just because you reach age 65. In most cases they are determined by state laws and insurance company guidelines, not just a driver’s age. Also, most insurance companies look at a driver’s history and other demographic information to arrive at appropriate insurance rates.

Is Your Car Insurance Affected When You Retire?

Although entering retirement will not immediately lower or raise your car insurance premiums, it is a good time to reassess your auto coverage needs. For example, you may find that you’ll be driving less or investing in a newer, safer car when you retire—and that may lower your insurance rates. And as we have noted here, some companies offer discounts specifically for people in retirement or provide age-specific discounts. For these reasons it’s always a good idea to shop around for car insurance when you retire or go through any major life event.

The Bottom Line

By and large, senior drivers receive some of the lowest car insurance premiums and have access to some of the best available discounts from car insurance companies. Although it can be hard to decide which car insurance company will be the one to trust during your retirement, this list can guide you in the right direction and help you save money. Just be sure to consider your needs and look for the company that best fits your requirements and budget.

Methodology

When determining our top car insurance choices for seniors, we evaluated each company based on several categories, including financial strength via A.M. Best, claims satisfaction ratings based on J.D. Power’s latest Claims Satisfaction Survey, and customer reviews from websites. We also compiled comparison data based on available discounts, advertised rates, and information provided from websites specifically geared toward senior citizens, such as AARP and American Seniors Association. Our analysis is intended as a useful guide, but we encourage you to shop around and compare quotes before committing to a car insurance provider.

Article Sources

Investopedia requires writers to use primary sources to support their work. These include white papers, government data, original reporting, and interviews with industry experts. We also reference original research from other reputable publishers where appropriate. You can learn more about the standards we follow in producing accurate, unbiased content in our editorial policy .
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