Anyone concerned about the spiralling cost of insurance might want to think about buying a new car in a cheaper car insurance band
Macclesfield, UK (PRWEB UK) 26 December 2012
The UK’s leading car finance experts, Car Loan 4U, comment on the introduction of the new EU Gender Directive which is set to have a significant effect on car insurance policies.
Under the new EU ruling, insurance providers are not allowed to use a driver’s sex to set prices. This means that women, who typically pay much lower car insurance rates than men will see their premiums rocket to match their male counter parts.
The new regulation comes into force on 21st December meaning the price of car insurance could soar very soon for millions of people across Europe. Some insurers have already made the changes.
Car Loan 4U Co-Director Ryan Dignan comments;
“The view that women pay less than men or the other way round just because of their sex was seen as discriminative by the EU and now the same rules will apply to both sexes. Men, particularly young men, are deemed the biggest risk to insurer, which until now has meant that they pay far more to have their cars insured than their female contemporaries.
“These new changes are likely to have a considerable effect on what women pay for their car insurance premiums from now on. This means that young female drivers could see their premiums sharply rise, adding hundreds of pound to the cost of motoring.
“Anyone concerned about the spiralling cost of insurance might want to think about buying a new car in a cheaper car insurance band. Not only are new cars typically more economical to run, they are often cheaper to insure too. Cheap car finance is available from car finance experts Car Loan 4U with rates starting from just 7.9% APR.”
Figures show that the difference between the car insurance premiums of men and women is a massive 41% with an even bigger gap for teenage drivers; young men pay almost double those of female motorists.