Women get a better deal on their car insurance…until they’re 40
There are many areas in life where women lose out to men. Women still have to contend with lower pay than their male counterparts and eventually end up with a smaller pension because they take time out to bring up their children. However, there is one significant saving that young women can make, and that is on their car insurance. When women come to insure their cars they find that they can save up to 45% more money than male drivers. This is because young women are statistically less likely to be the cause of a car accident.
Women now make up 45% of the UK ’s driving population, so many car insurance companies are promoting female only car insurance which can save women lots of money. Surprisingly though, the trend for cheaper car insurance reverses once a woman reaches 40. Statistically the amount of accidents caused by women aged 40 and above, increases above the amount of accidents caused by men. This means that once a woman has been driving for an average of 22 years her premiums are likely to increase even if she has her no claims bonus intact.
This phenomenon is all down to risk. Insurers charge according to the level of risk that their customers pose. If women are statistically more likely to be responsible for an accident after the age of 40 then they will be charged more than male drivers who become less likely to cause an accident as they age.
The good news is that rates for car insurance for women do vary according to your no claims bonus, the make and model of your car, whether you park your car on the road or in a garage at night and the amount of security you install in the car. The market varies considerably so it is worth shopping around to find the best deal you can.