What drivers over 50 want to know
What is over 50 car insurance?
Over 50s car insurance is simply motor insurance designed with older drivers in mind. It is a contract between you and the insurer, which protects you against financial loss as a result of driving-related damage or injury. You agree to pay the premium and in return, the insurer agrees to pay your losses as defined in your policy.
Are there different levels of cover?
Third party is the most basic level of cover and is the bare minimum required by law. It only covers your liability to others e.g. passengers in your car or damage that your car causes to someone else’s property. This means that if you cause a road accident and someone else is injured or their car in damaged, your third-party policy will cover:
- Damage to other vehicles
- Injury to other people and animals
- Damage to property
Any damage to your own car, or any injuries that you sustain are not covered and you will need to cover these costs yourself.
Third party fire and theft policies have the same benefits as a third party policy but with a few extra benefits. The policy will offer extra protection for your car if it is stolen or if it catches fire. This policy may also cover damage caused by an attempted theft.
Fully comprehensive cover gives you all the benefits of third party, fire and theft, as well as a few extras. This policy will cover damage to your own car, even if an accident is deemed to be your fault. Different insurers will offer other benefits with your policy.
Why do I need to insure my car?
Insuring your car is a legal requirement in the UK. The Road Traffic Act 1988 states that motorists must have insurance to protect their liability to other people and vehicles i.e. a minimum of third party cover. Without car insurance you won’t be able to tax your car, which is also a legal requirement for any car that is used on the road.
Why is over 50s car insurance often cheaper?
One of the main factors for calculating car insurance premiums is age. Statistics from the Association of British Insurers show that drivers aged 50-69 make fewer claims than younger drivers. For this reason, careful drivers in this age group, with a good track record on the road, are often rewarded with lower premiums on their car insurance.
Are cheaper premiums for the over 50s guaranteed?
There are no guarantees. However, if you’re aged between 50 and 69 and have a good driving history, car insurance for the over 50s may be cheaper.
There are many factors that can push up the price of car insurance at any age, such as driving an expensive car, living in a high crime area, a bad claims history and driving convictions. Also, as you get older, premiums usually start to rise again as statistics show the average cost of a claim is higher for drivers over 70.
How is my premium calculated?
Insurers consider a range of things when calculating your premium. The main personal elements considered are:
- Age and experience of the driver
- Type of car you drive
- Where the car is kept
- Where you live
- What you use your car for
- Your claims history
- Age and claims history of any additional drivers named on your insurance
Is it cheaper to pay annually or monthly?
Paying annually usually works out cheaper than paying your premiums in monthly instalments. This is because monthly instalments can incur interest charges. Always check payment terms as they vary between insurance providers.
What can I do to lower my premium?
There are several things you can do to try and reduce your premium, such as taking additional security measures, driving a more modest car, limiting your mileage and increasing the voluntary excess you’re willing to pay in the event of a claim.
Why bother with fully comprehensive car insurance?
With comprehensive cover, you can claim for accidents that are your fault as well as incidents where the person at fault can’t be proven. For example, if you discover your car has been damaged but no one witnessed the incident.
If you don’t have fully comprehensive insurance, you risk having to pay for repairing any damage to your vehicle yourself and may even have to fund the purchase of new car if yours was written off by your insurance company.
What is a no claims discount?
A no-claims discount, also called a no-claims bonus (NCB), is a tally of the total number of years you haven’t claimed on your policy. Or, you’ve made a claim but your insurer was able to recover the full cost of the claim for the other party involved.
Why is my no claims discount so important?
The value of your no claims discount varies between insurers, but a no claims history of five years or more will usually get you a significant discount on your car insurance premium.
You have the option to protect your no claims bonus by paying extra on your premium.
How can I find out how much no claims bonus I have?
Your most recent renewal notice will indicate how many years no claims you've earned to date. Alternatively, you can ask your current insurer.
Does the policy cover driving abroad?
SunLife’s comprehensive car insurance includes up to 90 days travel within the EU as standard.
What if I’m hit by an uninsured driver?
SunLife’s fully comprehensive car insurance comes with an Uninsured Driver Promise. If you’re hit by an uninsured driver, the excess you would have to pay as part of your claim would be refunded to you. You can also pay to protect your no claims bonus so your no claims history will not be affected.
Can I add extra protection to my policy?
Yes, with SunLife car insurance you can pay to add any of the following options to your policy:
- Breakdown cover
- Guaranteed replacement car
- No claims discount protection
- Motor legal protection
- Key care
Before deciding what extra protection to add to your policy, it’s worth checking you don't already have sufficient cover from another source e.g. your bank.
SunLife offers a range of straightforward and affordable products including over 50s life insurance, funeral plans, life insurance, equity release, pet insurance, home insurance, car insurance, ISAs and Will writing services.