Insurance cycle: Retired

If there?s one good thing about ageing gracefully, it?s the range of cost savings available to older citizens.

Public transport, cinemas, pharmaceuticals - even boxes of doughnuts: you name it, someone out there will have an over-60s discount.

But are the elderly treated any differently when it comes to car insurance? Given that younger drivers are seen as bigger risks when it comes to road accidents, you would hope so.

Older drivers can also have very different driving patterns, especially if they have retired from work and aren?t doing the daily commute. It all means that insurance companies can view retirees differently to other customers.

Generally, it?s all good news. Despite what the young and impatient on the roads might think, older drivers are less likely to be involved in crashes.

A study by one of Australia?s major insurers in 2007 revealed that drivers aged 55 and over made fewer claims, and those that were made were for lower amounts that those aged between 31 and 50.

The over-55s were also less likely to speed, were more patient with other drivers, and less inclined to be texting their mates about last night?s MasterChef episode while driving.

So not only do insurance companies see low-risk drivers as good for business and consequently award them lower premiums, the elderly have one other big advantage over younger drivers: a driving history.

If you can prove you have had years of accident free motoring, have never copped a speeding fine or being caught doing a burnout outside McDonalds, any sensible insurance company should welcome you with open arms ? and a discount off your premium. If they don?t, go shopping for one that will.

Not all older citizens are good drivers, but unlike poorly skilled young ?uns, can rightly blame slower reflexes and other physical ailments that creep up with age. So there?s an argument that insurance companies could slug them for higher premiums.

But if you?re a retiree who is fighting fit, in possession of all your marbles and have a doctor?s certificate to prove it, don?t hesitate to let your insurance company know. And ask for a discount.

Most insurers have some sort of system in place that reduces premiums for drivers who use their cars less. This can apply to plenty of retirees who, presumably, can?t wait to put their feet up and watch The Young and the Restless.

Others, of course, find they are busier than ever, getting out far more than they did when stuck in an office or joining the hordes of Grey Nomads plying Australia?s highways with their 4WD and caravan combo.

Finally, look for a policy that rewards car owners who would never let one of those risky under-25s behind their car?s steering wheel.

Even if the grandchildren beg you for the keys to the Volvo, there are savings to be had for those who just say ?no?.