Car Insurance for 50 year olds

Needing car insurance for your nifty fifties?

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From an insurance perspective, the phrase “nifty fifties” really does reflect this time of your life. Your nest is emptying as your children begin their own lives, you’re preparing for retirement, and (less exciting but still important) you’re starting to see some serious insurance savings. To an insurance company, 50-somethings are prime customers. Statistically, you're more likely to check all the boxes an insurance company looks for: you're an experienced driver who is less likely to file a claim, you are likely married, a homeowner, and have a multi-line policy plan. In the insurance world, these qualities equate to lower premiums. Which makes sense as, on average, 50-year-olds pay less than any other age group for auto insurance. Still, there are somethings you should consider about car insurance during this time. Let's get to it.


National Average Annual Auto Insurance Premiums by Age Range

Age Group Avg. Annual Premium
16-19 $4,957
20-29 $1,791
30-39 $1,292
40-49 $1,235
50-59 $1,151
60-69 $1,185
70-79 $1,390
80-85 $1,644


How your premium changes


As stated, 50-year-olds are considered more of a secure investment to an insurance company. Because of this, you’ll notice the average 50-something pays the least amount for car insurance out of every age group. The average 55-year-old pays $1,144 per year for auto insurance compared to the national average of $1,323. That’s nearly $180 in annual savings. This factor doesn’t consider if you’re married, own a home, have your home insured with the same insurance company, or any other myriad of details we’re going to discuss which could lower that premium even more. So, it really does pay to be 50.


National Average Annual Auto Insurance Premiums for 50-year-olds

Age Group Avg. Annual Premium
50 $1,168
51 $1,165
52 $1,162
53 $1,160
54 $1,158
55 $1,144
56 $1,142
57 $1,140
58 $1,139
59 $1,138


How your policy changes


Your kids

Removing your young drivers from your policy can be a huge money saver. By themselves, teenagers between the ages of 16-19 cost on average $4,957 annually to insure. While that amount does decrease if they’re on your policy as an active driver, you can still expect your teen to cost you thousands a year. So, by removing them when they either get their own policy or go off to college, you can expect to see some pretty significant savings. 


National Average Annual Auto Insurance Premiums for Teenagers

Age Group Avg. Annual Premium
16 $6,491
17 $5,403
18 $4,736
19 $3,197
   
If, however, you want to keep your son or daughter on your policy while they are away for college, you can see some savings through a Distant Driver discount. This discount refers to students who are more than 100 miles away from home and under 23-year-old. This discount, while it varies by company, could save you hundreds of dollars a year on your auto insurance premium.


Discounts


Mature Driver Training Course Discount

Those who are older than 55-year-olds are eligible for a state-approved, senior driving courses which you, depending on your insurance company, will usually receive a discount for. These courses include safe driving strategies, rules of the road, use of new technology, and the effects of health issues on driving ability. You can access these courses through AARP, AAA, and the National Safety Council but be sure to check with your insurance company prior to taking any courses—as some insurance companies might not recognize the discount.


Low-Mileage Discount

If you’re starting your retirement early and are now driving less than you had before, speak with your insurance company about a possible low mileage driving discount. While the threshold for "low-mileage" varies by company, it can range between 7,500-15,000 per year.


Retired Military Discount

If you’re a retired military member, some insurance companies will offer you a discount. While it varies by company, Geico and USAA can offer some pretty high discounts to retired military personnel. 


Senior Organization Membership Discount

Belonging to organizations like AARP can earn you a discount with some insurance companies.


The Hartford

If you’re over 50-year-olds, you qualify for the Hartford Insurance Company. Hartford offers a wide variety of perks to its members, including a discount if you’re already a member of AARP. 


Your 50s: unraveled

Once you enter your nifty fifties, key an eye out for extra savings. Look to take your college-aged children off your policy as well as some mature driving discounts. Although you're entering a time of insurance savings, you shouldn't be complacent with your company. Shopping for car insurance every 6 months has continually proven to save you money. Work with us here to find out how much you could be saving on auto insurance.