The need for car insurance never changes irrespective of your age or the value of your vehicle. As you get older, you should not consider dropping you car insurance cover. You may feel you are a safer driver, have less disposable income or your old car does not need protection. While cover is not mandatory in South Africa, it is often necessary given the high vehicle-related crime rate.
Insurance is available for all vehicle owners and car insurance for pensioners should be maintained as part of your monthly vehicle expenses. In fact, car insurance for pensioners is actually slightly cheaper as you are rewarded for your age after 55 years. Some insurers will even give you free incentive likes car insurance with no excess because you are a senior driver.
Cancelling Car Insurance when Elderly
In tough economic times it is the elderly that tend to suffer the most. If you are a pensioner or a senior who does not have a stable income, you may need to look at trimming your monthly expenses in order to survive financially. However, cancelling your car insurance can be quite short sighted. Cutting out your car insurance may actually cost you more in the future, not only in premiums if you decide to sign up for cover later, but also if you meet in an accident with an uninsured vehicle and have to pay for the damages.
The best approach to finding car insurance for pensioners is not to cancel your existing insurance in the first place. Reconsider your budget and look at other monthly expenses that can be trimmed. But if you plan to be mobile in your car in your senior years, you should consider car insurance as a necessity, not an optional extra. In fact before you even consider cancelling your car insurance, take a look at cheaper cover with your current insurer. Comprehensive car insurance is the most expensive cover that you can buy but third party cover is often substantially cheaper.
Costs of Pensioner Car Insurance
Car insurance premiums are based on your risk profile. Age is one of the main factors that can alter your risk profile just as the location of your car when parked at night, your gender and even the type of car that you are insuring. Short term insurance providers base their estimates on your group risk profile and then take individual factors into consideration when pricing your car insurance. Senior drivers are considered to be a low risk group with under 25 drivers being the highest risk group based on age. As a pensioner you should capitalise on the age benefits and ensure that you have cover.
The costs of car insurance for pensioners varies on multiple factors. But you might be surprised to find that you can get a substantial discount after the age of 55 years. Although you are only considered a pensioner after 60 years of age and a senior citizen by most accounts after the age of 65 years, you are rewarded for getting older with cheaper car insurance for pensioners as early as 55 years of age. Criteria may vary between car insurance providers but it does not change substantially as insurers are competing for as big a slice of the South African market as possible.
Best Car Insurance for Senior Drivers
Now that you realise the benefits of car insurance as a senior driver, you may be looking for the best car insurance cover. The reality is that no single insurer can claim to offer the best product, or at least better cover, than another for the same price. Think about it carefully. If any company offered the best cover for the lowest rates than they would be the leader in car insurance for pensioners. All insurers essentially offer the same benefits in cover for the same price. Some may throw in a few additional benefits like car hire or roadside assistance for lower rates but the actual cover does not vary significantly.
You also have to look at what is the best car insurance for you car and driving habits. Old car insurance can be cheaper if you have not bought the latest vehicle on the market but rather kept your trusted 20 year old set of wheels. These days there are policies that base the insurance premiums on the distance that you drive. As a senior, you are more likely to be driving less than younger adults. And if you want to score on a joint policy, a combined motor vehicle and household insurance cover may be the best car insurance option for pensioners.