Many insurance companies offer you a discount if you are a senior citizen who can pass a driving requirement test. The AARP Auto Insurance Program offers AARP members the chance to cut their auto insurance bills by as much as 45%.

To be eligible for this discount, you must complete an 8-hour AARP Driver Safety Program. You receive a course completion certificate which may then be presented to your insurance agent.

Many states now have a law which mandates an automobile insurance discount for anyone completing an approved driver improvement course. In some states, where the mandate is not applicable, insurance companies voluntarily provide such discounts to people of certain ages who complete the Driver Safety Program. In most states, an approved driver refresher course is recommended every three years for continued eligibility on the AARP discounts.

Private insurance companies, in conjunction with the AARP, underwrite the special senior citizen program. The program offers drivers a 20% to 25% discount for insuring multiple cars on one policy, a 10% discount for holding both a homeowner's and auto insurance policy with the same company, and up to 5% for being loyal to the company. Of course, all of these savings are given to you with the assumption that you have a clean driving record for the last 5 years.

These programs also guarantee drivers a stable premium, and their policies will not be cancelled due to increasing age, as long as you pass the refresher tests, pay premiums on time, and are not convicted of a DUI or lose your license.