By the year 2020, people age 50 and over will make up over half the population. Numerous companies offer a range of products to older people including life and general insurance. The choices of savings products aimed at the 50+ age bracket is unreal. The 50+ people are financially secure, almost retired, and enjoying their lives with travel and relaxation. Why are there so many choices when it comes to the financial aspect but not their car insurance?
Many of the older clients are not being offered the best choice from these financial companies who target the 50+ and retirees and should not restrict themselves. If they shopped around, they could find better rates elsewhere.
Car Insurance and Premiums
By going to general insurance companies specializing with the 50+ age, does not guarantee cheaper premiums, either does going to car insurance companies that focus on age 50 and over. The companies involved do not claim to be just competing on price, but also customer service and support.
Certain insurance carriers advertise specific packages to customers with certain interest. For example, if a couple likes to travel to the US often, and splits there living between the US and the UK, these 50+er’s need to find an insurance plan that fits their lifestyle. Most policies only cover the client for a maximum of 30 or 60 days in the US yearly. Why pay extra for something when it won’t be used?
Shopping around for price and features is not easy for the over 50 clients and feels there is not just one cheapest supplier of insurance.
Why Does Age Predict Insurance Premiums
With petroleum prices shooting up and the cost of buying cars also rising, hardest hit will be the 50+ who represent 2/3rds of private car owners. Due to this, it is more important today to shop around for the best insurance deal.
Unlike younger travellers, the over-50s car owners have a much greater choice. Even those in their mid-50s to 60s can also get much cheaper deals than motorists in other age groups. Not only are they usually experienced drivers, but they’re also deemed to be more responsible than younger drivers. Retirees also use less miles, which leads to a lower premium.
In the late 60’s, premiums do begin to rise because this group are most likely to be accident prone. In reality, each insurance policy should depend on each individual’s capability, not just their age group. Popular stereotypes claim this age bracket to have the most accidents, when in fact evidence has shown older drivers are the least likely to be involved in road accidents. Regardless, insurance companies still target age 50 and over.