Reader question:
How do car insurance companies treat elderly drivers?
Anne
Glad you asked.
After the age of fifty five, car insurance companies will generally give you a discount, because drivers of this age tend to drive slower and more carefully, not to mention less, than other drivers, which means they are less of a risk because they are much less likely to get into a car accident or drive the kind of vehicle that’s likely to get stolen. Discounts are often offered for retired drivers as well, so after the age of sixty five you’re looking at another drop. However, this only lasts, generally, up until the age of seventy, where at you will see your rates raise again as you join the group of elderly drivers.
Elderly drivers don’t have high car insurance premiums, mostly because they usually don’t do a lot of driving and have good driving records. However, they do have higher premiums than those between the ages of 55 and 70 because at this age it becomes more and more dangerous to drive. This raise in rates can be offset somewhat by taking defensive driving classes made for senior citizens, such as those offered by AARP; most insurance companies offer a discount for these classes.
The reason rates rise a little at this time is because, in old age, eyesight tends to deteriorate, making driving more difficult. If you have any kind of disability that comes with old age that hinders your ability to drive, you should inform your insurance company. If they find out that you are driving at night but not able to see well at this time, for example, that could be reason to cancel your policy.
Cheers,
Fashun Guadarrama.