The Car Insurance Discount Retirees Might Not Realize They Qualify For

Car insurance rates vary based on many factors, including a driver's gender, location, vehicle, and age. Drivers are likely to see their rates drop as they mature, then start rising again around age 70. According to an October 2026 analysis by NerdWallet, the average full-coverage car insurance premium is $2,014 for a 60-year-old woman and $2,043 for a 60-year-old man, which is right around when insurance rates are often cheapest. However, the average full-coverage car insurance premiums for a 70-year-old woman and a 70-year-old man are $2,136 and $2,189, respectively.

Some insurers consider retirees to be at a higher risk to insure, as they may have slower reaction times or be more likely to suffer injury in accidents. However, retirees can save money on car insurance with age-specific discounts, like those awarded for attending a mature driver education course. According to RightLane, retirees can save between 5% and 15% by taking a mature driver course, depending on their location and insurance provider. Taking into account the average full-coverage rates listed for a 70-year-old by NerdWallet, older drivers could access savings of around $328.35 per year. Many auto insurance providers will honor certificates from completed mature driving courses for three years, which could come to a total of $985.05 in potential savings before you have to retake the course to continue qualifying for the discount. Seeing as many of these courses cost less than $30 to complete, they can be well worth the investment.

Mature driver courses often review general driving laws while also teaching defensive driving techniques, strategies for managing age-related driving changes, and how to use new driver technologies. Many well-known car insurance companies, including State Farm and AAA, offer discounts for older adults who take a mature driver education course. The discount often has strict requirements, though. For example, State Farm's Mature Driver Improvement Course discount is only available in some states to drivers 55 and over who can submit a certificate from a DMV-approved course that was completed within the last three years.  

If you're interested in taking advantage of the mature driver education discount, start by contacting your insurance company or working with an independent insurance agent to confirm that you could qualify. Since not all providers will offer this discount in every state, it's worth doing your research before spending the time and money on the course. Then, you can check with your state's Department of Motor Vehicles (DMV) for a list of approved educators. When you're done comparing courses, you can often enroll and pay the course fees online. You may have the option to choose between an in-person course or taking one online: By opting for an in-person course, you may need to attend a set number of classes and complete the certificate requirements; online courses may let you work at your own pace. After you receive your certificate, submit it to your insurance company to get your discount.