Nine Ways Seniors Can Save on Car Insurance in 2025

After incurring years of car insurance hikes, rates are moderating for 2025, with the average policy only increasing by 7%, according to Bankrate. However, with age being of the primary drivers of costs, how do you save on car insurance as you become older?

There are several reasons car insurance gets more expensive for older individuals — even those with a stellar driving record. According to Progressive, older drivers are more likely to be involved in accidents and more likely to sustain serious injuries as a result.

Even if you've never been in so much as a fender bender yourself, you'll probably still see your premium creep upward, simply because insurers see your age as a risk factor.

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One of the best ways I've found of keeping car insurance costs in line is by shopping with other companies a few weeks before your policy renews. Doing so can help you spot better deals.

Using this Bankrate tool, you can shop and compare car insurance options quickly:

Does car insurance go up as you get older?

At first, car insurance rates trend lower as you get older. But for seniors, the trend flips. Here's how a driver's age impacts car insurance rates over the course of their life:

• Age 25: Typically car insurance for teenagers is expensive, given that they don’t have much driving experience and are therefore more likely to get into a car accident. When drivers turn 25, their rates drop by 9% on average, according to Progressive.
• Ages 30 to 40: Car insurance rates typically remain lower throughout the 30s and 40s, as this age range is generally perceived as being responsible and experienced, and therefore less likely to have accidents.
• Ages 50 to 60: This age range is most likely to experience lower rates than other age brackets, as middle-aged drivers have extensive driving experience and aren’t as likely to be hearing or vision-impaired.
• Ages 70 to 80: Once drivers hit their mid-70s, car insurance rates typically go up, as this age bracket has an increased risk of being in an accident. Older individuals are also more prone to injuries if a car accident does occur, which can lead to costly medical expenses and other bills.
• 80s: Despite having the most driving experience, drivers in this age range are the most likely to have decreased reflexes and reaction times, which drives up their car insurance rates.

The following chart, per CarInsurance.com, shows annual average full coverage car insurance rates by age, illustrating just how much your rate can fluctuate depending on how old you are.

Nine ways seniors can save on car insurance  

If you're not happy about the increasing cost of car insurance, the following tips can help you lower your premium.

1. Take a defensive driving course

Many states have mandated mature driver discounts for seniors if they complete state-approved driving courses. Organizations such as AARP, AAA and The National Safety Council (NSC) provide these classes.

Taking the AARP Smart Driver online course could qualify you for a multi-year discount on your car insurance policy, and successful completion of the AAA Driver Improvement Program, designed to reduce the risk of seniors behind the wheel, can also result in lower insurance premiums.

2. Keep a safe driving history

Many insurance companies reward drivers for having an accident-free driving history. Geico, for example, offers up to a 22% discount on most coverages if you’ve been accident-free for five years.

Keeping your driving record free of crashes, tickets, or any violations will help you qualify for lower rates.

3. Add or maintain vehicle safety features

You could qualify for further savings if your vehicle is up to par with safety equipment. This can include airbags, anti-lock brakes, anti-theft systems, and anti-collision technology.

State Farm offers auto insurance discounts on 1994 and newer-model-year private-passenger vehicles based on the loss experience of the make and model of the insured vehicle.

Here's how much certain safety features could save you with Geico, depending on your vehicle's equipment.

• Air Bag: 23%
• Anti-Lock Brakes: 5%
• Anti-Theft System: 23%
• Daytime Running Lights: 3%
• New Vehicle Discount: 15%

While it won't lower your insurance costs, having an emergency car kit on hand can help you fix smaller issues you might encounter on the road.

Roadside Safety Kit for Women, Men, Teens

This emergency kit has everything you need to address minor auto issues, from fixing flat tires to jump starting a battery.

View Deal

4. Try a multi-policy discount

If you open two policies with the same insurance provider, you’ll be able to save thanks to a multi-policy discount, which is offered by most insurance providers.

For example, if you bundle your auto and home insurance through Progressive, you'll earn discounts on both policies, with an average savings of 7% on your auto policy.

5. Pay your policy in full upfront

Sometimes, insurers will offer a discount to drivers who opt to pay their policy in full upfront, rather than making monthly payments.

If you make that payment using a cash back credit card, you can even give yourself an extra discount in the form of cash back rewards. Just make sure you pay off your credit card in full before you're charged interest.

6. Move to a state with cheaper car insurance rates

Planning to move in retirement? Keep in mind that car insurance rates vary widely from state to state, so check to see if you can afford rates for where you're moving.

That variation isn't enough to warrant uprooting your entire life if you weren't planning to already. But if you are considering a move, be sure to check out your options in one of the states with the cheapest car insurance rates. Alternatively, check the average rates in the state you're headed to so you know what to budget for when you get there.

7. Get multiple quotes before renewing

Before accepting the renewal quote from your current insurer, shop around to get at least three quotes from other insurers.

Rates can vary widely between insurance companies so you can end up saving hundreds on the exact same coverage just by switching car insurance. In 2024, drivers who switched insurance companies enjoyed median savings of $461 for the year.

Compare Quotes at The Zebra

The Zebra is a car insurance marketplace that checks over 100 insurers to give you multiple personalized quotes so you can easily compare rates side by side.

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8. Raise your deductible

Increasing your deductible also helps reduce how much you pay for insurance. If you're willing to risk paying more out-of-pocket in an accident, your premium will be lower.

Just be sure you can reasonably cover the deductible if an accident does occur.

9. Buy a car that costs less to insure

Your car's make and model can have just as much of an impact on your rates as your age does. Typically, models with high safety ratings and lower repair costs will cost less to insure.

Even if you don't think of your car as particularly expensive, the model could be driving up your premium as much as $1,000 higher than the national average.

So, next time you're in the market for a new car, consider choosing a Subaru or Honda as these makes are often cheaper to insure. At the very least, avoid Cadillacs, Teslas and other makes that usually rank among the most expensive cars to insure.

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