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Legal & money

Ageism in Motor Insurance?

(2 Posts)
Grandmaval Thu 02-Jun-11 22:01:27

>Some years ago my husband insured me with Help the Aged. A week or so ago,
>I had a letter from ageUK the organisation formed by the amalgamation of
>Help the Aged and Age Concern. This told me that the company which had
>provided my insurance for some years was no longer doing it and referred me
>to another company which had taken over their business - part of the new
>ageuk so far as I can make out.
>
>I had been paying around £340 for several years. The quote I was first
>given was for £520. I said I felt that was a ridiculous figure. She asked
>me to hold on a few minutes and came back with a quote of £445.16p and asked
>would I accept that. I said I would not and that I would look around.
>
>Today my daughter and I went on-line and I now have the same cover for £260
>- half what I was first quoted yesterday!
>
>Out of curiosity, I went on-line and tried to get an on-line quote from
>ageuk. I gave up. Their website was so complicated, I am sure many would
>also give up trying to get an on-line quote.
>
>There is one button on the ageuk website titled something like Pricing
>Ageism. It warns people against being taken for a ride by unscrupulous
>companies. Ha! Ha! Ha!
>
>It suggests enlisting the help of TV consumer programmes - I am tempted to
>try contacting Anne Robinson!
>
>Thought I would try gransnet first!
>
>Grandmaval

JessM Fri 03-Jun-11 07:51:54

I don't think this is ageism. I have found that motor insurance quotes vary a great deal between companies.

I guess they have complex computer programs that work out premiums based on a whole list of risk factors and that the weightings they give these factors vary. Postcode, type of car, age etc

It is worth shopping around as often you can save this kind of money. Just by changing sometimes, as some companies offer better deals to new customers and rely on the inertia of existing ones.

Price comparison websites - go compare, compare the meerkat etc are useful but hard work as the cover from different companies varies. Other companies say that you won't find them on these websites. Big Sigh. It is a case of bracing yourself that if you spend a morning working on getting quotes you will probably save £100 or so. It's work JIm, but not as we know it.

Very annoying recent European judgement in March that it is unfair to charge men more than women. This will affect younger women in particular as they are much less risky drivers than young men. Looks to me as if this is fair to young men but not to young women! They have to pay more to cover the terrible driving of the chaps.

The difference will hopefully even out with age but the insurance companies will all be re-writing those computer programs. So no more preferential rates for women. But age should work to our advantage because older drivers more cautious and experienced. Here is a link to the article about the judgement:

http://www.bbc.co.uk/news/business-12606610