The European Court of Justice (ECJ) has passed a ruling that insurance premiums can’t be rated on gender. Coversure Insurance Services explains what a European decision might mean to drivers in towns and cities up and down the UK.
“Now that the ruling has been made insurance companies will be furiously re-calculating their premiums to underwrite based on different criteria. As well as drivers own claims history and experience, insurers will take account of postcodes and occupations.”
“No one really knows what this will mean to insurers, but it is pretty clear that the biggest changes will be seen by young drivers who statistically make most claims.”
According to Graeme Trudgill, BIBA Head of Corporate Affairs, insurance statistics show that men under 21 are twice as likely to have an accident as women under 21. Moreover, the average claim for a man under 18 is £4,400 compared to £2,700 for a woman.
Talking about how this might affect the way we buy insurance a spokesperson for Coversure was very bullish about the role that local insurance brokers will play in the future. “Your local broker will have access to specialist schemes and will know which insurers are most likely to suit which clients. This new ruling will mean that clients – particularly those who are most affected by the changes – are more likely to need good advice on which policy suits them most.”
If you’re concerned about how these changes might affect you, contact your local insurance broker