There are plenty of accusations of ageism in our society, but when it comes to insurance there should not be. Take older drivers. The number of drivers aged 70 or over is rising by 10,000 a month and the number of drivers aged over 80 passed one million last year. The UK’s oldest driver is aged 107, born in the same year as the first Model T Ford – the world’s first mass produced car- was introduced.
Insurers want to help the rising number of older drivers to continue driving safely for as long as possible by providing competitively priced motor insurance. But when it comes to insuring older drivers there are inaccurate accusations that insurers are ageist.
Here are the facts. ABI data published today shows that while drivers aged between 86-90 were less likely to make a claim than 66-70 year-olds, when they did their average claim, at £3,690, was more than 50% higher than the younger group. And this is the point – it is not the likelihood of making a claim, but the value of the claim when it is made that makes the difference.
While the facts show drivers over the age of 86 tend to get charged more for their car insurance than those in their 60s and 70s, they still benefit from lower premiums than people under 30. That’s because age is only one factor and is definitely not the be all and end all – insurers will also take into account other factors like your address, type of vehicle, driving record and any motoring convictions. So the message remains the same whatever your age. Shop around to get the best deal, and usually you will.
Rob Cummings is Manager, General Insurance, at the Association of British Insurers (ABI)