Did you know your age can affect your auto insurance premium? Most insurance companies offer the best rates to drivers between the ages of 25 and 65. While this might seem unfair, different age groups are associated with different risk levels. Here’s a closer look at why certain peer groups typically end up with higher insurance rates.

The two age groups that are most affected by premium price differences are young adults (including teenagers) and seniors. For teens, the biggest issue is with their lack of experience because it results in a higher risk for collisions. According to the Centers for Disease Control and Prevention, teen drivers between the ages of 15 and 19 cause more than $10 billion in accident-related damages every year, including medical costs. This enhanced risk results in most insurance companies charging more for drivers under the age of 25.

The standard rule for insurance costs is that they decrease with time, and this is mostly true until you reach a certain age. After reaching the age of 65, the risk for health-related issues begins to rise, like heart attacks, strokes, and healing and vision impairments, which can reduce on-the-road awareness. Senior drivers are also more likely to experience a decline in the cognitive areas of the brain, which negatively impact decision-making skills.

Fortunately, if you fall into either age group, you can help combat rising auto insurance costs by taking advantage of discounts. For younger drivers, enrolling in a driver's education course can earn you a big reduction in your monthly costs while older adults should consider defensive driving classes. Many insurance companies also offer discounts for retirees, as well as owning vehicles with high safety ratings.

For affordable car insurance policies, regardless of your age, turn to Aaron Insurance Agency in Dothan, AL. The independent agency will work to understand your personal situation and find discounts for which you qualify to reduce your overall out-of-pocket costs. They offer a wide range of auto insurance policies, including SR-22, RV, and motorcycle plans. Request your free quote today online or by calling (334) 712-0777.