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ABI responds to Citizens Advice report

Citizens Advice has today published its report on ‘Discriminatory pricing: Exploring the ‘ethnicity penalty’ in the insurance market.’

James Dalton, ABI Director, General Insurance Policy, says:

JamesDalton500x500.jpg“Insurers never use ethnicity as a factor when setting prices and our members comply with the Equality Act. All other rating factors being the same, two people of different ethnicities who live in the same postcode will pay the same premium for their car insurance.

“Insurance is priced on individual risk levels and there are many different risk related factors that are used to calculate the price of a car insurance policy which, as Citizens Advice recognise, should not be looked at in isolation but ethnicity is not one of them. As the report says, the research ‘was exploratory, and therefore cannot definitively identify what is driving this trend.’

“However, we recognise this report raises an important public policy debate. Like everyone, our sector has a role to play in addressing inequalities that exist in wider society and it’s an issue that we will continue to engage on constructively as an industry.”


Further information:

ABI Press Office

Last updated 22/03/2022