Singles pay More for Car Insurance
Do you think single people regularly get the short end of the stick? In terms of car insurance at least, it would appear that that school of thought isn't too far from reality. While marital status has no bearing on the cost of taking out extended Car Warranties, it would seem that is not the case when it comes to trying to find cheap car insurance, according to consumer watchdog Which? A new study carried out by the watchdog claims that divorced and single drivers sometimes have to pay up to 25% more on their motor insurance than their cohabiting or married counterparts, with as many as eight out of 12 companies charging the unmarried higher premiums.
"We were surprised to find marital status affects what a driver would pay" says a spokesperson for Which? "The confused messages we got during our research make it all the more important to shop around for car insurance quotes and think carefully when filling in the quote forms."
Shoppers seemingly must disclose their marital status when applying for car insurance and many insurers do utilise this information when calculating the premiums. The report also discovered that one company added an extra £2 to the yearly premium when a claimant ticked the "Not Disclosed" box rather than reveal their marital status.
It is believed that such tactics are used with insurance companies based on their own claims experiences, though car insurance comparison site Tiger notes that not all companies use this arguably dubious method.
published: 07/11/2011 11:00:01