Car Insurance for Seniors in Michigan

What is Car Insurance for Seniors?

Car insurance for seniors is any car insurance policy for those 55 and older. In most cases, these policies aren’t too different from regular car insurance policies, except for senior discounts and the dropping of PIP in some cases.

Minimum Coverage in Michigan

If you’re buying car insurance as a senior in Michigan, first make sure you’re fulfilling the state’s minimum coverage requirements. Michigan requires liability coverage, which is made up of bodily injury coverage and property damage coverage, plus personal injury protection (PIP). You must get these liability limits at a minimum to drive on Michigan’s public roads legally:

Coverage Types

Here’s what those insurance coverages actually mean, along with some other coverages you should consider adding to your policy.

• Bodily injury coverage: Bodily injury coverage pays for other people’s medical expenses in accidents you caused. On the other hand, if you were injured when someone hit your car, their bodily injury coverage would pay your medical bills through a third-party claim.
• Property damage coverage: Property damage coverage works the same as bodily injury coverage, but it covers physical damage to someone’s vehicle or property instead of physical injuries.
• Personal injury protection: PIP covers not only medical expenses, but also any lost wages and child care costs caused by an accident. t. Since Michigan is a no-fault state, each party is responsible for their own medical costs, regardless of who caused the accident.
• Uninsured motorist coverage: If you lack uninsured motorist coverage, you’d be responsible for your property damages and bodily injuries out of pocket, or you’d have to sue the other party for these costs. This is why we recommend getting coverage equal to your liability limits.
• Collision coverage: If you cause an accident, you’ll be responsible for your own property damage costs unless you have collision coverage.
• Comprehensive coverage: Comprehensive coverage covers damages to your vehicle from events other than collisions, including vandalism, theft, and weather incidents like hail.

Car insurance in Michigan can look different for seniors in a few ways.

Senior Discounts

You may be eligible for discounts just for being an older driver, as we saw with Direct Auto. Other providers offering senior discounts include The Hartford (AARP), Nationwide, and GEICO.

Option to Drop PIP Coverage

Medicare Parts A and B recipients can drop PIP coverage, and instead depend on their health insurance to cover them for injuries caused by an accident.

Higher Rates

Often, older senior drivers experience higher-than-average auto insurance premiums (this is not the case in Michigan, however, where rates for seniors are actually lower than the statewide full coverage average). This is because drivers ages 75 and older are often considered statistically riskier to insure by insurance companies. Learn more senior driving statistics.

Still, teen drivers are the most expensive age demographic to insure—in Michigan, a teen driver typically costs $6,108 per year, with some providers offering average rates of over $17,000.

Here are some tips to drive safely, avoid accidents and tickets, and keep your rates low as an older driver.

1. Adjust your equipment or vehicle. If you’re shopping for a new car, look for cars with large dials that are easy to read, backup cameras, and other safety features that make driving much easier. Steering wheel covers can help make driving more comfortable.
2. Stay active. Go on walks, stretch, and practice sitting and standing repeatedly. This can help keep you comfortable when you’re driving.
3. Drive defensively. Defensive driving means leaving a safe distance between you and the vehicle in front of you, scanning the road ahead, and staying calm even if other drivers exhibit road rage.
4. Drive in good conditions. Ideally, you’ll only drive during the daytime and in good weather. If you can help it, avoid driving at night or in bad weather with low visibility.
5. Get regular hearing and vision checks. Monitor your hearing and vision with regular medical appointments to help you stay safe and alert behind the wheel.
6. Stay focused. Avoid distracted driving, like texting and driving or using any handheld device. Keep your eyes on the road.
7. Drive sober. Staying sober doesn’t just mean avoiding recreational drugs or alcohol before driving; you also have to avoid medications that cause dizziness or drowsiness before driving. Ask your doctor or pharmacist if you’re not sure how a medication will affect your driving.
8. Take a refresher course. Refresher courses are a good way to brush up on driving laws, and can even get you a discount on car insurance. Look for programs from AAA³ and AARP⁴.

In Michigan, the average cost of auto insurance for seniors is $2,301, which is slightly lower than the statewide average full coverage rate for adults. (This is not typically the case. In most states, senior drivers can expect to pay slightly higher than their statewide average.)

Seniors can lower their premiums by choosing a provider that offers senior discounts and maintaining a clean driving record. The best auto insurance providers in Michigan include AAA, State Farm, GEICO, Nationwide, Travelers, and USAA. Those who have Medicare part A and B can also opt out of PIP coverage to help lower their rates. No matter your age, it’s important to take care of your health, so you can stay comfortable and alert on the road. Always practice safe driving habits to maintain your clean record and keep your auto insurance premiums as low as possible.