Insurance company LV= has scrapped its upper age limit on motor insurance, allowing motorists to continue to drive for as long as they are fit and able.
The company used to refuse to cover drivers who were over the age of 86 unless they were already on its books as policyholders, but it removed the rule last week.
"LV= was one of the first insurers to remove the upper age limit on its travel insurance policies and now we are extending this to our car insurance customers," says LV= car insurance managing director, John O'Roarke.
"People are living longer and driving until much later in life and now they have peace of mind that they can continue to find cover with LV=."
A recent parliamentary report revealed that the number of older drivers on the roads has exploded over the past 40 years.
In 1975, only 15% of people over the age of 70 held a driving licence, but in 2010 the figure was almost 60%.
Age UK has welcomed LV='s decision.
"We believe that people should be able to drive no matter what age they are, including and above the age of 100 years - ability is what matters," says Gordon Morris, managing director at Age UK.
"For many older people driving is a way of remaining independent and mobile. This is why it's so important that there are insurance policies which have no upper age limit."
Many insurers have upper age limits. However, insurance companies Saga and RIAS don't.