Buying the auto insurance is a major expense, particularly for senior drivers since they have to pay higher premium rates than other drivers. The reason behind this is that the insurance companies consider senior drivers and student drivers to be risky on road. The assumptions that the insurance companies make are usually based on the previous statistics on the road accidents and the average age group of the drivers. According to the insurance companies, the senior drivers are risky due to the following reasons:
- Although they have experience, senior drivers have low reflexes and therefore cannot come to quick decisions on the roads while driving.
- Senior drivers may not have experience in avoiding the other driver’s mistakes on the road.
- Senior drivers may have poor eye sight or other limitations which may interfere with their driving skills.
All these factors are responsible for the higher premium rates charged by the insurance companies and senior drivers need effective ways to bring down these rates.
Most insurance companies offer a number of discounts to attract new customers and offer competitive rates in order to remain in the top positions. Senior drivers can make use of these discounts to the full extent to make up for the high premium rates they are charged. Some of the most effective ways to make use of the discounts are:
- Renewing the policy every year: When senior drivers renew their policy every year and review them closely, they will get an ideal about what policies are needed and what can be omitted. Also, it is a great way to make use of latest discounts or seasonal discounts that the insurance companies may offer.
- Group enrollment: When senior members enroll in group, the premium rates can be discounted for the entire group. Since insurance company gets more business with multiple car insurances, it is advisable that the senior members enroll with their family members or corporate group insurance and so on.
- Changing the insurance company: There is no loss in changing the insurance company when one company offers more benefits and discounts for the same policy than the other company. However, care must be taken to enroll onto reputed insurance companies that have a good track record of handling claims and response time.
- Defensive driving: Since insurance companies consider senior drivers to have lower reflexes, learning defensive driving can make up for it. Certificates in defensive driving lessons can help in lowering the premium rates effectively.
- Safety equipment: Installing the car with safety equipment is important because it helps in responding to emergency and avoiding accidents successfully. Insurance companies offer discounts for a car that is equipped with safety devices that help in safeguarding the car and passengers in the event of a collision.
There are several other ways to reduce the premium rates successfully, depending on the offers by the insurance companies. Requesting the information and reviewing the policies before signing up for them can help in negotiating the premium rates.
