A new ‘gender equalising’ ruling by the European Union has seen the price of car insurance change dramatically since the new year – with some young women paying 50% more than before.
Drivers in the UK are seeing massive changes to their car insurance, after a new European Union ruling has banned factoring in gender when deciding insurance prices.
These changes mean European insurers will no longer be able to take into account a policy holders sex when calculating insurance premiums and benefits – a policy which has traditionally benefited female drivers.
The EU’s new gender equalisation rules will have young women seeing a 50% increase to their insurance premiums — while the premium for young men has decreased, dropping as far as -12% in some cases.
While this means some women will be paying more this year than in years past, car insurance premiums will still remain highest amongst young male drivers. The overall cost gap between average premiums will close, from the previous 14% difference to a mere 2% divide.
There have been lukewarm response to the EU’s ruling on gender equalisation, with some concerned “the relentlessly high premiums” could discourage young people to drive.