Women are being to urged to renew their life insurance policies ahead of the introduction of the EU Gender Directive on December 21st.
The new rules will mean that insurers are no longer able to factor gender into premium calculations, potentially bringing to an end the lower premiums that women have traditionally enjoyed over men as a result of their longer life expectancy. To ensure that your financial future is protected, you can compare life insurance policies with Money Expert.
However, estimates suggest that the introduction of the Directive could act to drive up life insurance premiums for women by as much as 20%.
A third of life insurers have already introduced gender neutral rates ahead of the so-called ‘G day’, a fact that means women should “act now” to secure the most competitive rates, according to Ian Hughes, chief executive of Consumer Intelligence.
He said: “Insurers are split over how to react to G-Day but we are starting to see major brands changing and big differences in pricing across the market.
“This is creating opportunities for some consumers to secure more competitive deals now than will be possible after December 21 when all providers will have to be entirely gender neutral.
"Women should act now if they are intending to buy life insurance or car insurance in the next few months as everything will change by Christmas, whereas men would benefit from waiting and getting a better price.”
Despite fears that the Directive will push up premiums, the Association of British Insurers (ABI) has recently moved to reassure consumers that the introduction of gender-neutral insurance pricing next month, won’t affect the competitiveness of insurance products.
The ABI argued that although gender will no longer be factored into premium calculations from December 21st; insurers will still use other factors to assess price premiums and benefits.
To ensure that your financial future is protected, you can compare life insurance policies with MoneyExpert.