If you’re asking ‘do women get cheaper car insurance?’ you may be asking the wrong question. Really, what you need to ask yourself is ‘how do I get the best and fairest price for my car insurance?’ Because regardless of whether you’re a guy or a gal, the answer rests on not one factor (like being a woman), but several.
Your insurance premium is determined by factors like what car you drive, where you live, how many claims you’ve made, and yes, your gender too. Car insurance and any insurance for that matter can and should be highly personalised to suit you.
So if women pay less for car insurance (which they sometimes do), here’s why…
Do women get cheaper car insurance? Let’s explore
Insurance premiums are calculated on a risk basis. What this means is that if you’re a safer driver, have fewer claims, don’t share your car with other drivers, park in a secure space, etc., you’re lower risk. And you’ll pay less on your premium.
Another way of looking at it is that your insurance provider will carry your risk according to your driving habits, lifestyle and history as they stand when you purchase or renew your policy.
On the other hand, if you fall into a high risk group, your premiums will be higher too. Not much higher, but enough to justify your insurance provider giving you the type of financial protection you’ll need if you incur enormous bills.
Whether you fall into a low risk or high risk group is determined by a combination of factors including your personal insurance history and the national statistics.
Low risk drivers
If you’re looking to be a low risk driver you’re on the right track. It means you’re thinking about the safest driving habits along with the lowest possible premium. There are several ways to approach this, which we’ve listed here:
Drivers’ lifestyles change, and your risk profile can too. Remember to always let your insurance provider know when your circumstances change and read why a car insurance endorsement could save you money.
High risk drivers
Studies show men are nearly three times more likely to be killed in a car crash than females and those under 25 years of age even more so. These statistics play a role in how premiums are determined. But they’re not the only factors that feature.
Statistically speaking, men have higher rates than women for all crash types and there’s also an increased risk of crash for men as they get older and gain more driving experience. This indicates that men are higher risk drivers at certain times in life. It also highlights that being a capable driver is not always what’s at issue, but rather the act of risk-taking.
As mentioned, another high risk group is young drivers. That’s because young drivers are over-represented in road accidents. Find out more about car insurance for young drivers.
Insurance providers in Australia take these factors into account to arrive at fair and balanced premiums. What’s important is to find an insurer that’s flexible and fair. Insurance premiums should change and adapt as you do. For example, if you build a great track record for being a claims-free driver, some insurance providers reward you with a claims-free discount.
Do women get cheaper car insurance? Sometimes
So do women get cheaper car insurance? The answer is yes, sometimes, but not always. For example, a man with a low risk insurance profile may pay less than a woman with a high claims history.
Let’s just say your premium won’t automatically be higher just because you’re a Jack rather than a Charlotte. Your risk profile and your premium are calculated according to a precisely calibrated underwriting process, also known as a risk calculating algorithm.
Here are some factors that help the algorithm assess individual risk profiles:
- Location and garaging situation
- Car make and model (read ‘are older cars more expensive to insure‘)
- Your age and gender
- Your driving history
- Extras and excess (read how to choose your excess)
- Mileage and service history (read how to make a high mileage car last longer)
- Market value vs agreed value (here’s the difference)
Affordable online car insurance for girls and guys
So do women get cheaper car insurance? With PD Insurance everyone does because our comprehensive car insurance is designed to be fair and affordable for men and women alike.
We’ll give you a great price on your premium for a broad range of cover. We’re all about fast, fair and equitable insurance that’s tailored to who you are – we care about our girl and guy customers and want to deliver the best premium for the biggest cover.
Why not get a quick quote today?