Most expensive and cheapest states for car insurance for seniors

As seniors retire, managing costs becomes increasingly important — and car insurance is one of those costs. While personal factors can affect the cost of car insurance, premiums also vary significantly depending on the state you live in. Factors such as state laws, driving history and the overall risk level in that area all influence the cost of coverage. 

Understanding the differences in insurance costs across states can help seniors make more informed decisions.

Most expensive states for car insurance for seniors 

Louisiana tops the list of most expensive states for auto insurance for 70-year-old seniors, with an average annual rate of $2,725 for a full coverage policy. 

The Pelican State is also the most expensive in the country for full coverage car insurance policies, with an average annual premium of $2,883 for 40-year-old adult drivers. Louisiana’s rates have increased mainly because of inflation costs for parts and repairs, state law, natural disasters and car insurance premium hikes. 

Senior car insurance in Louisiana is $31 cheaper than the average annual full coverage premium. 

Following behind Louisiana, Florida, California, Colorado and Michigan came in as the most expensive states for car insurance for seniors. In general, car insurance rates increased nearly 11% in 2024, according to an analysis from the U.S. Bureau of Labor Statistics. 

Learn more about the top 10 most expensive states for car insurance for 70-year-old seniors in the table below. 

Cheapest states for car insurance for seniors 

Maine has the cheapest car insurance rates for senior drivers. Insurance rates vary widely by state based on factors such as state laws, weather conditions, population density and more

The table below shows which insurers offer the cheapest car insurance rates for seniors in each state. 

Why is car insurance so expensive for seniors? 

As drivers enter their senior years, they may find that car insurance premiums become more expensive. This increase is attributed to several factors associated with aging and perceived driving risks.

As drivers age, their reaction time tends to slow down, and their vision or cognitive abilities may also decline, increasing the risk of accidents.  Insurance companies base their premiums on risk assessments, and since seniors statistically present a higher risk of filing claims, this is reflected in higher insurance costs. 

While some seniors may drive less frequently, others might find themselves driving in unfamiliar areas or during peak traffic times, which can also elevate the risk of accidents.

How to save with car insurance discounts for seniors

Discounts and rate reduction options are available to all drivers to help you save on your premiums. While most of these are not age-specific, you could be looking at a drop in your rate if you qualify. 

Mckenzie says there are various ways seniors can reduce their car insurance expenses and it’s imperative to engage with an insurance provider that meticulously examines each available discount during the shopping process. 

“There are common discounts, applicable to all drivers irrespective of age, based on factors such as geographic location, homeownership status, policy bundling opportunities, marital status, continuous insurance coverage, accident-free and claims-free incentives, enrollment in automatic payment programs, and preference for paperless transactions,” she says. 

“Seniors may benefit from specialized discounts tailored to their demographic, such as the senior driving course discount, which offers reduced rates for completion of a qualifying course within the preceding three years. Partnering with an insurance provider well-versed in these discount offerings ensures seniors receive comprehensive coverage tailored to their unique needs while optimizing cost savings,” she says.

When shopping around for quotes, remember to ask about the following discounts:

• Annual mileage: There are typically discounts available for those who drive 7,500 miles or less in a year. When you’re not on the road as often, you have a lower chance of being involved in an accident. If you opt-in to a monitoring device in your car through your insurer, you can also see an additional discount.

• Coverage bundling: Most insurers will provide a rate reduction if you have more than one insurance policy with them, such as homeowners, renters, auto and umbrella policies. 

• Safe driver: Having a violation-free driving record, and maintaining it, typically qualifies you for a discount on your insurance. This is because you pose a lower risk on the road and to your insurer. 

• Safety features: Often having a car with newer safety technology — such as rearview cameras and collision alarm systems – not only keeps you safer on the road, but it can lower your car insurance. Discuss this with your insurer to see what discounts are available for your vehicle.

• Your deductible and coverage: Increasing your deductible — the amount you pay out-of-pocket before your claim coverage begins — can save you money on your premium. It may be worth looking into if you can afford to pay out-of-pocket in case of an accident. You should also review your coverages and see if they match your needs and vehicle. 

Final thoughts

The cost of car insurance for seniors can differ significantly across states, with Louisiana being the most expensive and Maine being the cheapest. Seniors can lower their insurance costs while maintaining adequate coverage by taking advantage of available discounts, including those for safe driving, low mileage, and bundling policies.