HMT: Gender neutrality to cut insurance sales

HMT also expects a reduction in insurance sales and cause greater reliance on state support and more intrusive underwriting processes including full health assessments and longer times to purchase products. It believes three key effects will result from the European Court of Justice's (ECJ) decision to outlaw gender based pricing from 21 December 2012. These are cross-subsidisation between genders, adverse selection increasing the cost of insurance generally and incentivising riskier behaviour and, with regards to motor insurance, worsening road safety. HMT issued the warning as pa...