The material on this website is for information only
and is not intended as any recommendation or endorsement of any products or companies mentioned. We are not licensed by the FSA to give financial advice, and none of the material on this website constitutes or is intended to constitute financial ...
The GuardianHomebuyers pay less than renters in a third of UK towns and citiesThe GuardianDan Wilson Craw, policy manager at Generation Rent, said: “In areas where renting works out cheaper month-to-month than paying a mortgage, housing costs still take up a large chunk of the average household's income – and that money isn't paying off an ...The places where renting is CHEAPER than buying – and where it's really 6 news articles »
Weekly Money: the stories we noticed 5 to 9 OctoberThe IndependentThe move is designed to simplify things for customers but Hannah Maundrell of said: “I will be interested to see if anyone actually sees their bill going down as a result of this”. Call rates are also changing with the connection fee for ...
AOL Money UKHorrifying ignorance among teachers on money mattersAOL Money UKGavin Oldham, Chairman of The Share Centre, said: "While the inclusion of financial education on the curriculum is a huge step forward, it's clear many teachers still lack the confidence to explain basic personal finance issues. This means pupils may ...and more »
Money ObserverHow to build a pension portfolioMoney ObserverHowever, if you have another 15 to 20 years until retirement and you don't invest your money where it can grow in real terms, your pension pot may end up being worth much less than you had hoped. .... He says: 'This type of fund provides a solid base ...and more »
How to Save Money -- 9 Money Saving Tips for AnyoneHuffington PostIf you have credit card debt and the interest payments are crushing your ability to pay off any principal, try to negotiate a lower interest rate with your credit card company. If your card issuer refuses to help you, transfer your balance to another ...and more »
Have you met...
Latest Members:


Kathryn Moore



debra barnes




General News

Email this story to a friend:

Young women drivers to pay more for insurance following EU ruling

The European Court of Justice ruling will bring to an end the use of gender in insurance pricing. This will have a significant impact on customers and the insurance industry and is almost certain to mean that young female drivers will see an increase in their motor insurance premiums from December 2012.  01-03-2011

Insurers will no longer be able to use the exemption for insurance to base female driver premiums on statistics which show that they have lower accident rates and costs.  The average 18 year old male claim cost is £4,400 compared to the average 18 year old female claims cost of £2,700. 

 Insurance companies will have to re-evaluate their pricing models for implementation by December 2012.   Younger female drivers renewing their motor insurance after this date are likely to see a significant change.

 Steve Foulsham, BIBA Technical Services Manager, said:

“Unisex rates will have to apply for motor insurance with the likelihood of an increase in premiums for females which could typically be up to 25% but in some cases more than 50%.  However it’s unlikely that premiums for male drivers will reduce much as their risk is still considerable.”

 Graeme Trudgill, BIBA Head of Corporate Affairs, said: “The ruling will have a significant effect on the insurance industry which has used the system of risk based pricing to award discounts to lower risk drivers like young females who are statistically safer drivers.  Male drivers under 21 are twice as likely to have an accident than a female under 21.  The industry will have to change its model and effectively females will now pay a cross subsidy for males on their insurance premiums.”

Advice for consumers is to ensure cover is appropriate for their own requirements. Contact a local broker who can search from a panel of insurers. BIBA’s Find a Broker helpline is available on 0870 950 1790 or via website

Advertise with us  |  Privacy  |  Terms & Copyright                                                                                     Website maintained by USP Networks