Reader question:

I’m getting to that age where I’ve been over the hill and can’t even see the peak anymore through the trees, so I guess it’s time to figure if I’m going to need to make any changes on my car insurance for myself. Any suggestions?

Wallace

Great question!

The beginning of the senior years and the years approaching, between 50 and 65, are actually some of the best years for getting cheap car insurance premium rates. So while you may have been paying heavily since you got your first job and your first license, you’ve reached the time where insurance companies are finally going to give you a break. According to several studies, drivers aged 50-65 are the safest out on the road. Insurance companies love you.

First of all, call up your insurance agent and find out what kind of discounts you qualify for. If you’re a senior, they’ll have something for you; if you’re retired, they’ll have something, too; it also helps if you’re a member of organizations like AARP, which can get you further discounts. So not only are you looking at lower rates, period, but you have several new discounts open to you.

Seniors who take safe driving programs usually get lower premiums. It also helps to get a refresher since it’s been awhile since you first took your driving test. It also helps to keep on top of things medically, to reduce the risk of getting in a car accident: test your vision, monitor your heart, check for diabetes, and adopt an exercise routine. Keeping track of your health will make it more likely that you’ll know when something new affects you that could also affect your driving.

Once you’re retired, you’re probably driving a lot less, so check that and inform your agent of your lower mileage. This will get you a reduced premium as well, most likely. Once you hit 70, though, the benefits start to lessen, since those over the age of 70 have a higher incidence of accidents. Enjoy the low rate point up until then, because after things might bounce back up.

Cheers,

Fashun Guadarrama.

Reader question:

I’m 70 years old and retired, so I still need my car to get around everywhere, but I wish the insurance didn’t cost so much. Is there anything I can do to lower the rates?

Manny

There absolutely is, Manny.

A lot of people just go in and buy their insurance based on their mileage, credit, and driving history without realizing that there are so many more factors that you can provide to get your rates lowered. These are called discounts, and there are actually several that senior citizens can take advantage of.

First of all, you’re eligible for the Personal Injury Protection discount, which is available in most states. Basically what this is, is a discount given when 25% or more of the mileage driven on the insured car is driven by someone over the age of 65.

You can also get a 20% to 25% discount if you’re a member of the AARP Auto Insurance Program. Greater discounts are available through AARP if you have your homeowner’s insurance with them as well, and if you maintain a good record with them as a member. It also comes with the additional advantage that AARP guarantees that your policy will never be canceled unless you don’t pay it, get a drunk driving conviction or otherwise lose your license.

Most insurance companies also offer different discounts for retired people.

Sincerely,

Fashun Guadarrama.