As you age, your car insurance needs — and rates — also evolve. Understanding what to expect with senior car insurance will put you in a good place for staying properly insured without overpaying.

Learn more: How does car insurance work? The basics explained.

Many seniors have lower car insurance rates than other age groups. According to Progressive, you can expect your rates to decline over time after age 18, assuming you don’t have tickets or accidents that would increase your rates.

Drivers in their early 50s may pay 6% less on average than drivers in their late 40s. Between 55 and 64, drivers may see another 9% decline in their car insurance rates. Even those in the 65-to-74 age group see another 5% rate decrease on average.

It's usually after age 74 that rates begin to rise again. Progressive reports an average increase of 5% for drivers over 75.

Learn more: How extreme weather is increasing the cost of your auto insurance

Although you may be enjoying the lowest rates of your life in your 50s and 60s, you still want to manage your car insurance expenses closely — especially if you’re on a fixed income. The five strategies below include senior-specific programs and general discounts to keep your senior car insurance rates as low as possible.

Washington, D.C., and 34 states require insurance companies to lower rates for seniors who complete an approved defensive driving course. This defensive driving discount usually applies to drivers aged 50 or 55 and older, depending on state law. The specifics can vary, so check with your insurance company to see if you’re eligible for this discount and what courses will qualify.

Some states require an in-person class, while others allow you to complete the class online.

Bundling home and auto insurance from the same company can reduce your premiums substantially. If you don't own a home, ask your insurance company about bundling another policy, such as renters, RV, or boat insurance.

You can often lower your car insurance rates by limiting your annual mileage. The low-mileage threshold varies by insurer, so check with yours to see if you qualify. Also, be prepared to share your car's mileage annually to prove you qualify.

Pay-per-mile insurance works by charging a base rate plus a mileage-based amount each month. If you don't drive much, the cost difference between mileage-based insurance and traditional insurance could be substantial.

Check with your insurer on other available car insurance discounts. For example, you can usually get a discount for paying your car insurance bill in full for the term.

Your car insurance needs often change over time. The coverage types and levels that suit a senior lifestyle are often different from what you needed in your 20s or 30s. In your senior years, you likely have more assets that require good financial protection.

Here are coverage types to consider if you want the best senior car insurance.

High liability limits can be smart for senior car insurance. Liability car insurance pays for property damage and medical expenses for others that arise from an accident you caused. Medical expenses can be particularly high. In 2023, the average bodily injury claim was $26,501, according to the Insurance Information Institute. Some claims can be much higher.

If a liability claim exceeds your insurance limits, you’re still financially responsible for the remainder. This is why the low state-required liability levels are often insufficient. Make sure you have liability levels that are high enough to protect your net worth in case you’re sued over a large accident.

Buy collision and comprehensive coverage

Collision insurance and comprehensive insurance pay to repair your vehicle after different types of incidents. Collision pays for most driving-related accidents, such as hitting another car or an object. Comprehensive pays for damages that arise from something other than a collision, such as theft, weather events, vandalism, fire, falling objects, or hitting an animal. If your car is stolen and not recovered, comprehensive insurance pays you for the car’s value. Both comprehensive and collision insurance require you to pay a deductible on each claim.

If you don't have collision and comprehensive insurance, you can’t make an insurance claim for repair costs for your own vehicle if you are at fault. If someone else hits you, you can make a claim against the at-fault driver’s liability insurance for repairs to your vehicle.

Auto insurance companies generally offer rental reimbursement insurance if you have comprehensive and collision insurance. This coverage pays you for your alternate transportation costs (up to policy limits) while your car is being repaired after a covered accident.

Fidelity reports that the average rental car cost for an economy-class car is $49 to $78 daily or up to $546 weekly. Given that major car repairs can take weeks to complete, this expense can quickly strain a fixed-income budget.

Gap insurance ensures your auto loan will be paid off if your car gets totaled. You may need this coverage if you buy a new car with a low down payment and a large loan amount.

Your insurance company can total your car if the repair costs are high relative to what the car is worth. Instead of paying to repair the vehicle, the insurance company will pay you for its value, less your deductible. That payoff can be less than your loan balance because cars depreciate quickly. Gap insurance pays the difference between the insurance payout and your loan balance, so you won't have to keep making payments on a car you no longer own.

AARP car insurance for seniors, provided by The Hartford, offers discounts for AARP membership, getting online quotes, and bundling home and auto policies. In most states, AARP car insurance also offers optional accident forgiveness and disappearing deductible programs.

Amy Danise and Tim Manni edited this article.