Before the 2010 Equality Act (which came into force December 2012) insurers could charge different prices on Life Insurance for men and women. The Equality Act states that from the 21st of December 2012 insurers can’t use gender as a factor to determine the cost of premiums for Life Insurance, or any similar type of insurance.
For example, a Life Insurance Policy taken out before the Equality Act may have been higher for a man because statistically men tend to live shorter lives than women, but now under the new Equality Act insurers will not discriminate against gender by charging a higher price, unless they can justify that the gender of the client will actually cause a higher risk.
Statistically this means that women buying life insurance have in some instances seen their premiums rise significantly while men’s premiums have fallen around 10% according to the Association of British Insurers.
So if you are a man and you took out a Life Insurance policy before the 21st of December 2012 then you could be paying a higher rate for your Life Insurance than if you switch to a new Life Insurance policy now that the Equality Act has come into force.
To read the section on sex discrimination with regards to insurance, scroll to Schedule 3 Part 5 in the Equality Act document.
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