Are you making the most of your age and experience? Find out why careful drivers over 50 can enjoy many years of cheaper car insurance.
It could be good news for drivers over 50
There have to be some perks to getting older and perhaps the prospect of cheaper car insurance for the over 50s is one. Fill you with excitement? Maybe not, but insuring your car is such a big expense, any saving is guaranteed to put a smile on your face.
What you might not know is that drivers aged between 50 and 70, pay some of the lowest premiums available. According to the Association of British Insurers in the first quarter of 2017, the average annual premium for drivers in their 50s was £325, with 60 somethings enjoying the lowest annual average of £271.50. Compare that to drivers in their 30s, who pay an average of £431.50, and teen drivers who can pay more than three times as much.
So why might premiums fall once you hit the big 5.0.? It's simple; insurers recognise you’ve reached an age where you’re likely to have considerable experience behind the wheel, but still be in good mental and physical shape.
Research shines a flattering light on the over 50s
With each passing decade, you probably find yourself struggling to keep up with the latest technology – stuff that seems to come naturally to the young. But when it comes to four wheels, the evidence rules in your favour.
Statistics show older drivers tend to be safer on the road. According to road safety charity Brake, drivers aged 60–69 are half as likely to crash as drivers between the age of 20–29. So it’s hardly surprising that insurance for safe drivers over 50 can be cheaper.
Over 50 car insurance rewards your track record
Your age is just one of the factors taken into account when calculating your premium. Another is your track record.
Insurers look at the number of years you haven't made a claim and reward you with a no claims bonus. The bigger your no claims bonus, the better the discount you’re likely to get when you renew your car insurance – for five years or more of no claims, you're usually looking at a significant saving.
That means in theory, as an older driver who's built up a good track record over many years on the road, with no or few incidents, you should benefit by seeing a real difference in the amount you have to pay.
You get up to 20 years for good behaviour
You’re most likely to pay less between the ages of 50 and 69, just as long as your driving record is up to scratch and stays that way. The tipping point is often at 70, where car insurance premiums start to creep up again.
This may seem a little unfair. After all, by this age you’ve got even more driving experience under your seat belt and are probably on the road far less than you used to be. However, according to the Association of British Insurers this is the age when the cost of claims starts to rise again. In 2017 the average claim for a driver aged 76-80 was £2,824, that’s just over £500 more than the average claim for a driver aged 46-50.
Insurers like you being a grown up (even if you don’t)
Even if you’re doing all you can to ignore the passage of time, the chances are your life has become more settled as you’ve headed into your 50s. Combined with your experience and behaviour on the road, your lifestyle can also lower your claims risk and makes you flavour of the month with insurance companies. For example:
- Where you live Living in an area with lower crime rates reduces the risk of a claim for theft or vandalism
- Where you park Parking your car in a more secure location than on the street, such as a drive or locked garage
- The car you drive Driving a relatively modest car is a lower risk to insure than a more powerful or expensive car
- The security measures you take Investing in an alarm, immobiliser or tracking device
- How far and how often you drive Driving fewer miles less often
You can shape your policy around you
Fully comprehensive policies usually come with plenty of added features and optional extras. These range from simple things like cover for the windscreen, personal belongings and travelling abroad, right through to legal expenses, breakdown assistance and sometimes they even include the use of a courtesy car whilst your own vehicle is under repair.
Car insurance aimed at the over 50s often also includes options that become more important as you get older, such as protection against being hit by an uninsured driver or your car being vandalised. What’s included as standard, or offered for a few pounds more, will vary between providers, so it's always worth checking the small print.
Embrace the benefits of being older
If you’re struggling with the concept of being pigeonholed as an ‘over 50’, remember it’s just an age bracket – and a big one at that. You’re still as unique as you always were, with your own interests, driving habits and taste in cars. So just embrace the benefits of being that bit older and wiser (like cheaper car insurance), save a bit of money and ignore the rest!