Best Auto Insurance for Retirees in 2024 (Top 8 Companies Ranked)

You can find the best auto insurance for retirees at Geico, State Farm, and Allstate.

Geico comes in first for the cheapest auto insurance companies for retirees with its mature driving discount, affordable rates, and strong financial ratings.

The other top auto insurance companies for retirees on our list are also highly rated due to their coverage options, discounts, local agents, and other great benefits they offer to retirees.

Take a look at the cheapest retiree companies below.

Our Top 8 Company Picks: Best Auto Insurance for Retirees

Read on to learn which companies offer the best retiree car insurance and how retirees can save on car insurance. You can also begin comparing quotes by entering your ZIP code above.

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#1 – Geico: Top Pick Overall

Pros

• Mature driver discount: Geico offers a mature driver discount to drivers over 50 who have had no accidents within the last three years.
• Strong financial ratings: Geico has strong financial stability, which means it is well-established as a company and able to pay out claims easily. Learn more in our Geico auto insurance review.
• User-friendly app and website: Geico’s website and app have great ratings and are easy to use, making it easy to manage policy details online.

Cons

• Few local agents: Geico doesn’t have very many local agents, which means retirees won’t be able to get in-person assistance with their policies.
• Mixed customer service reviews: Geico has mixed customer service reviews, although this is typical of most large insurance companies.

#2 – State Farm: Best for Local Agent Network

Pros

• Large agent network: State Farm’s local agent network makes it easy for retirees to find in-person assistance, which you can learn more about in our State Farm review.
• Multiple auto insurance discounts: There are plenty of State Farm auto insurance discounts that can help retirees save, from safe driver discounts to bundling discounts.
• Great customer service reviews: State Farm has good customer service reviews, likely due to the amount of in-person assistance.

Cons

• Online tools have mixed ratings: State Farm has some mixed reviews about the level of response customers receive when communicating with State Farm online.
• Lacking a few add-on coverages: State Farm has a decent array of coverage options but doesn’t have add-ons like modified car insurance.

#3 – Allstate: Best Array of Coverages

Pros

• Drivewise discount program: Allstate’s Drivewise program can help retirees save on their auto insurance (read more about the program in our Allstate Drivewise review).
• Multiple coverage options: Allstate has a wide range of coverages for retirees to choose from, including roadside assistance. Learn more in our Allstate review.
• User-friendly mobile app: Allstate’s mobile app has good ratings, making it easier for retirees to manage their policies from their smartphones.

Cons

• Higher auto insurance rates: Allstate’s average auto insurance rates are more expensive than the majority of other companies.
• Mixed customer service reviews: Allstate’s customer service reviews are mixed, although this is typical of most reviews of insurance companies.

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#4 – Progressive: Best Usage-Based Discount Program

Pros

• Snapshot program: Progressive’s Snapshot program offers discounts to safe drivers, helping retirees save with their good driving habits. Read more about Snapshot in our Progressive Snapshot review.
• User-friendly online services: Progressive offers online quotes and claims in a simple online format.
• Multiple discounts: Progressive has multiple discounts beyond its Snapshot program that can help retirees save.

Cons

• Mixed customer reviews: Progressive has mixed customer service reviews when it comes to claims, which you can learn more about in our review of Progressive.
• Lack of local agents: Progressive doesn’t have many local agents, so most retirees won’t be able to get in-person assistance.

#5 – USAA: Best for Military Retirees

Pros

• Benefits for military retirees: USAA offers multiple perks for its auto insurance customers, such as shopping and traveling discounts.
• Great customer service reviews: USAA is highly rated by customers and also has great financial stability ratings. Learn more about the benefits of USAA in our USAA auto insurance review.
• Affordable insurance rates: USAA’s average rates generally make it the cheapest auto insurance for retirees.

Cons

• Lack of local agents: USAA doesn’t offer many local agents, so most retirees won’t be able to get in-person assistance at USAA.
• Limited eligibility: USAA is only for military members and their families, so non-military retirees can’t buy insurance from USAA.

#6 – Nationwide: Best Deductibles

Pros

• Vanishing deductibles: Nationwide has a vanishing deductible program to reward accident-free drivers, which can help retirees save on accident costs with their first accident at Nationwide.
• Multiple auto insurance discounts: There are multiple Nationwide auto insurance discounts beyond a vanishing deductible, such as safe driver discounts.
• Multiple auto insurance coverages: Nationwide offers an array of auto insurance coverages, including add-ons like roadside assistance. Read our Nationwide auto insurance review for more information.

Cons

• Lack of local agents: Nationwide doesn’t have a wide local agent presence in some areas, so not all retirees will be able to find in-person assistance at Nationwide.
• Higher auto insurance rates: Nationwide’s average auto insurance rates aren’t the cheapest on the market for drivers.

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#7 – Travelers: Best Multi-Policy Bundling

Pros

• Multi-policy discount: Retirees who bundle policies at Travelers, such as home and auto insurance, can earn a significant discount.
• Strong financial stability: Travelers has great financial stability ratings, making it a solidly established company more than capable of paying customer’s claims.
• Multiple coverage options: Travelers has a multitude of coverage options, including GAP insurance and roadside assistance. Read more: Travelers Auto Insurance Review

Cons

• Lack of local agents: Travelers customers will have to communicate with agents mostly over the phone or online unless they have a local agent nearby.
• Mixed customer reviews: Some reviews of Travelers’ claim process report delays in processing.

#8 – Liberty Mutual: Best Personalized Policies

Pros

• Multiple coverages and bundling discounts: Liberty Mutual offers a number of coverage options and bundling options to help customers customize their policies to fit their needs.
• 24/7 claims assistance: Liberty Mutual has 24/7 claims assistance, so retirees can check on their claim or receive help with filing a claim at any time.
• User-friendly tools: Liberty Mutual’s app has good reviews, and its website is user-friendly for quotes and account access. Read more in our full Liberty Mutual auto insurance review.

Cons

• Higher auto insurance rates: Liberty Mutual’s average rates are higher than other companies in some states.
• Mixed customer service reviews: Like some other companies on our list, Liberty Mutual has mixed customer service reviews.

Updating Your Employment Status on Your Auto Insurance Policy

Insurance agents have to take the time to get to know you when they are handing out quotes. There are so many different boxes to check and coverage limits to choose from.

One of these boxes is related to your current employment status. You could be classified as one of the following:

• full-time professional
• part-time professional
• student
• retiree

You probably won’t pick up the phone and call your current provider the moment that you retire. Most people are too excited to go on their first trip to worry about seemingly trivial things like their listed employment status.

You might think it’s a waste of time, but simply updating your employment status could save you, depending on where you’re insured.

How Updating Status to Retired Reduces Auto Insurance Rates

While most people have to wait until their 60s to officially retire because of the rules set by the Social Security Administration, some professionals are so successful at their retirement planning that they can stop working in their 50s or sooner.

Studies show that retirees tend to be better drivers because they are happier and less stressed. They also have the choice not to drive in stressful conditions if they don’t want to. Because of this, auto insurance companies lower rates. Below, you can see the average rates at our top eight companies for retirees.

Geico and Travelers have some of the cheapest average rates for retirees.

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Retiree Lifestyle Changes That Can Reduce Auto Insurance Rates

Retiring from your job is definitely going to change the way that you live. You don’t have to wake up early in the morning to get ready for work, and you also don’t have to brave congested roads to commute to the office. Some of the lifestyle changes will create a need to change your auto policy.

Read more: Best Auto Insurance for Seniors

The first and most common endorsement that you’ll need to make to your insurance after you retire involves how you use your vehicle. If you used to commute in your car or drive it to business meetings, you need to update how your car is classified. Instead of being a commuter or a business vehicle, it’ll be classified with a pleasure rating.

Pleasure Driving Rating for Retirees

No work means no commute, and that translates into savings. Commuters pay more for their insurance coverage because they have to be on the road during peak hours when drivers are stressed and in a hurry.

These conditions mean that drivers are exposed to more accidents. When your usage is changed, your rates can drop by as much as 10 percent.

Not all retirees drive less than professionals. If you’re the type of person who wants to be out of the house discovering new places, you may wind up driving more in your golden years than you did when you were stuck in the office nine hours a day. To see how much your rates could change, it can help to visit your auto insurance company’s website and get another quote for a different mileage.

 

If you’re planning on putting less mileage on your car, let your agent know. Premiums are strongly based on how much you drive. The more you drive, the more you’re exposed to loss. Drivers with high estimates pay higher rates.

Retiree Auto Insurance Coverage Updates

Do you need the same level of protection when you retire? The short answer to the question is yes, probably.

Just because you’re not bringing home a regular paycheck doesn’t mean that you don’t have income coming in. You need to protect all of your assets and your retirement savings from people in today’s litigious society.

You don’t want to lower raised liability limits that you have but you could consider removing some first-party coverage that you possess. Evaluate your medical insurance limits before you remove Medical Payments from your package.

You may also want to drop collision, which could save you a pretty penny. Just beware of dropping collision if you can’t afford to repair your car on your own.

Retiree Auto Insurance Discounts

If you’re a senior and you’re retired, your rates might start to climb even after the changes that you made. That’s because rates are age-based, and when you grow older, you become a riskier driver. If you want to save money, here are some of the auto insurance discounts to look for:

Best Discounts for Retirees

Some auto insurance providers want to insure the growing population of senior drivers, and others don’t. You can sift through all of the carriers by looking at the rates and seeing which rates are competitive.

You can’t reasonably get quotes from every carrier in your state, but you can shop around effectively for car insurance for seniors over 60
by using the Internet. Use our online quote platform to find low-cost insurance as a retired driver.

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