The job title a car insurance customers uses to describe themselves to their insurance provider can have a big effect on the price they pay for their premium, according to new research.
A study by Confused.com found that, in the most extreme instance, the difference could be as much as 33 per cent depending on what title was used to describe essentially the same job.
For example, on average drivers describing themselves as lawyers were charged £376, which went up by 22 per cent to £459 if they described themselves as barristers.
Similarly, bricklayers were quoted an average of £321, which went up to £374 if the driver described themselves as a builder.
The biggest difference was to be found between journalists and newspaper reporters , with the latter paying an average of £376 – 33 per cent higher than the average paid by journalists.
Debra Williams, managing director of Confused.com, explained that the different premiums are caused by “the fact that insurers essentially keep a record of claims history against specific job titles”.
She added that if an insurer “finds a glut of claims associated with a specific job title, anyone with that title is likely to be penalised with higher premiums”.
According to Ms Williams, car insurance customers are best advised to shop around to get the best deals.
In other news, 59 per cent of young professionals have no plans laid down for pensions or their retirement, according to a new study by retirement specialist Tomorrow.
© Adfero Ltd