Will Brexit affect insurance premiums for women after we exit the EU? It’s probably best to remember the background here to see how this COULD affect female premiums in future.
Back in December 2012 the UK Government was unable to fend off the EU Gender Directive which prevented UK insurers from rating insurance risk by gender.
The EU told us this was a matter of equality but I was never convinced because it failed to address the statistics confirming gender-related driver accidents and the fact that young male drivers were the greater risk by far.
Were I an insurer, I’d have wanted to rate my business prospects based on risk. So I’d have chosen to attract safer women drivers more than men.
Could it be that some insurers might see this as an opportunity to increase motor premiums for females (and hence profits), without reducing premiums (or profits) for males? Simply because they were able to!
Are Women Drivers Still Safer Than Men?
By now the gender mix is hard to unpick, comparison websites are the norm and black box technology means that those with safer driving tendencies will save money. And those driving erratically can be spotted and warned. These are good outcomes that aren’t gender based.
However, insurers can still rate by profession so they might, for example, favour midwives or primary school teachers over mechanics. There’s always a gender work around if you know your subject well enough.
FOXY Lady Insurance Favours Women
From FOXY’s point of view, our Club exists to raise awareness of motoring issues like car maintenance, tyre safety, confidence driving courses and garage standards – all these aspects have safety at the top of our agenda.
In our monthly e-newsletters we remind members about critical safety matters. We also provide free car safety fitness checks for members, get involved in an awareness-raising programme of ladies evenings, organise competitions to win tyre-related products, dash cams and much more. Finally we promote these activities and knowledge outside the Club – to UK women drivers in general, using our social media channels at Facebook and Twitter.
All these ingredients can be expected to inform and educate women about safety matters they mightn’t know about otherwise. So, in principle, most FOXY Lady Drivers are likely better informed and safer drivers than those that aren’t – all in all we’re a better risk for insurers when it comes to car insurance.
Women Drivers Get A Free FOXY Gift In 2017
Taking things a stage further, we are offering women who are not yet Club members a free gift membership of FOXY Lady Drivers Club if they register for an insurance quote with FOXY Lady Insurance in 2017.
Our ambitions are simple – to help women drivers run safer cars through better knowledge and support. And then to reward them for so doing. This is also the FOXY Lady Insurance proposition and by including men as named drivers on her policy they can share the benefits too.
Brexit And Car Insurance
Motor insurance premiums jumped by 7pc or £43 at the end of 2015, the largest quarterly increase in five years, and rose by 13pc over the whole year, equivalent to an increase of £78 to £672.
According to Confused.Com this is largely due to £2bn of annual whiplash claims which is being tackled by insurers this April when motorists may see a drop of c£50 per policy as a result.
Clearly we don’t know how Brexit might affect the gender underwriting strategy when it comes to car insurance for women. However, FOXY Lady Insurance is reserved for members of FOXY Lady Drivers Club who can legitimately only be women (like the WI) so our insurance portfolio can honestly be said and seen to exclude riskier boy racers and so we don’t have to pay for their accidents.
I have always thought this was a fairer option for younger female drivers, in particular, who may well have been paying over the odds simply because of the EU’s 2012 so-called equality ruling. This is because young women tend to take more driving lessons before passing their test (by and large, exceptions apply) and be generally more conservative and cautious motorists on our roads.
PS: Here’s where women can register for a car insurance quote and receive a thank you gift membership of FOXY Lady Drivers Club for so doing.
PPS: By all means comment on this blog at the Club’s Facebook Page or @FOXYTweets Twitter feed.