A Senior’s Guide to Car Insurance

With every season of life, there are bound to be changes. From your sweet sixteen to going off to college, getting married, having kids, and finally settling into retirement, your car insurance needs are going to change. Today, we’re talking to you, seasoned retiree – because your lifestyle needs haven’t stayed the same, which means your car insurance shouldn’t stay the same, either.

A-Seniors-Guide-to-Car-Insurance

Often times, retirement can lead to a lot less driving because your life is changing drastically. Instead of the usual grueling commute to work each day, you may be riding your bike or walking – or you just drive less by taking the daily drive to work out of the equation altogether. Metromile might be the perfect car insurance solution for you – with Metromile, you pay a low monthly base rate plus pennies per mile. In this handy guide, we’ve compiled a guide to help seniors (like you!) research and get the best deal on car insurance.

Discounts and Rate Decreases

Generally speaking, people over the age of 65 can find great discounts on their car insurance. Why, you might ask? It’s because their mileage tends to drop, on average, from 10 – 15k miles per year to only 5 – 8k miles per year. That’s about a 50% decrease in the amount of driving that seniors are doing per year! So, because you’re on the road less, some insurance companies will see you as less of a risk and therefore might give you a low-mileage discount. That’s where Metromile comes in – we give all our customers, regardless of their age, a low-mileage discount 24 hours a day, 7 days a week.

However, there is something else to keep in mind: on average, rates do tend to go up slightly once you reach the age of 75. According to the 2009 census, this is due to a higher percentage of fatal crashes that are caused by an elderly driver. So, even if you personally have never been in an accident or caused a crash, your rate could still go up based on this data. In fact, according to The Zebra, in some cases premium costs starts to increase rapidly after a driver turns 64. For a person who has stopped commuting, it makes no sense to pay more, especially if you’re driving less.

Finding the Right Amount of Coverage

When assessing your current policy, there may be a few ways to adjust your coverage and save some money:

  • Your deductible: if you find yourself driving fewer miles than before, you may want to look into raising your deductible. This tactic will save you money in the long-term.
  • The primary driver: if you’re no longer the primary driver of your vehicle (i.e. your child or caretaker drives you), you can look into saving money by changing the primary driver on your policy.
  • Your coverage: if you’re driving significantly less than you used to, it might make sense to adjust your coverage level. For example, if you drop comprehensive or collision insurance from your policy, you will save money on your premium.
  • A second vehicle: when you’re retired, you may find that you no longer have the need that you once did for a second vehicle. Dropping down to one vehicle on your policy is a great way to save some money and streamline your finances.
  • Other insured drivers: with your kids out of the house, you’ll no longer need to cover them on your insurance policy. Reducing the number of people insured on your policy is another great way to reduce your expenses as a senior.

When to Stop Driving

The day that you have to stop driving, either by your own volition or otherwise, will be a difficult pill to swallow. Just like getting your license at 16 meant getting the keys to your freedom, giving up your vehicle symbolizes letting go of your freedom. These are some things to keep in mind as you start to age:

  • Consistently driving faster or slower than the flow of traffic
  • Having a medical condition and/or being on a medication that impairs your ability to:
      1. Concentrate
      2. See clearly
      3. React quickly
  • Experiencing deteriorating vision, hearing, or mobility
  • Getting lost in familiar areas
  • Experiencing frequent small accidents, scares, or moving violations

As a senior, there are many changes happening in your life – so why should your car insurance stay the same? Metromile’s pay-per-mile insurance may be a great option for you as you glide gracefully into your golden years! Get a free quote today – it only takes a few minutes and you could be on your way to a stress-free retirement.

Julianne Cronin is a Bay Area freelance writer, content creator, and founder/editor of the women’s lifestyle site, The Wink. You can find her working on her capsule wardrobe, collecting cacti, and trying out the latest beauty products on Instagram