Insurers exempt from Equality Bill
The British Insurance Brokers' Association (BIBA) and the Association of British Insurers (ABI) have both welcomed the new Policy Statement from the government's Equality Office. Proprosed new measures will help to ensure that customers can obtain the insurance they require and which is right for them. It is hoped that the proposals will enable older travellers with medical conditions to find cover more easily. Under the terms of the proposed new laws, it will become compulsory for insurers who decline to provide cover (based on age or infirmity) to refer customers to a more appropriate source, such as a specialised insurance broker, or to a signposting system. According to BIBA, "Signposting will greatly benefit customers who may be considered as non-standard risks, such as younger drivers [or older travellers]. Currently, when these customers are refused cover by an insurer, they are left to continue their search alone, without knowledge that insurance is available or where to obtain it. The signposting/referral system will be of particular help for motor and travel insurance, as these are the areas identified where some people have difficulty finding an insurance policy." The ABI has also welcomed the changes, with acting director general of the organisation Maggie Craig saying: "The insurance industry is committed to providing competitive insurance for people of all ages. The government's own research shows that motor and travel insurance is available to all age groups." She continued: "However, we recognise that some older people may experience difficulty in finding the motor and travel insurance policies that are available to them. So we are developing a signposting solution that will direct older people to those insurers who can meet their insurance needs. We are keen to work with government and age charities to ensure that this delivers real benefits to consumers." It is a relief for travel insurers that they will still be able to rate risk based on the age of the person applying for cover.
The British Insurance Brokers' Association (BIBA) and the Association of British Insurers (ABI) have both welcomed the new Policy Statement from the government's Equality Office. Proprosed new measures will help to ensure that customers can obtain the insurance they require and which is right for them. It is hoped that the proposals will enable older travellers with medical conditions to find cover more easily.
Under the terms of the proposed new laws, it will become compulsory for insurers who decline to provide cover (based on age or infirmity) to refer customers to a more appropriate source, such as a specialised insurance broker, or to a signposting system. According to BIBA, "Signposting will greatly benefit customers who may be considered as non-standard risks, such as younger drivers [or older travellers]. Currently, when these customers are refused cover by an insurer, they are left to continue their search alone, without knowledge that insurance is available or where to obtain it. The signposting/referral system will be of particular help for motor and travel insurance, as these are the areas identified where some people have difficulty finding an insurance policy."
The ABI has also welcomed the changes, with acting director general of the organisation Maggie Craig saying: "The insurance industry is committed to providing competitive insurance for people of all ages. The government's own research shows that motor and travel insurance is available to all age groups." She continued: "However, we recognise that some older people may experience difficulty in finding the motor and travel insurance policies that are available to them. So we are developing a signposting solution that will direct older people to those insurers who can meet their insurance needs. We are keen to work with government and age charities to ensure that this delivers real benefits to consumers."
It is a relief for travel insurers that they will still be able to rate risk based on the age of the person applying for cover.