‘Stone Age’ male drivers have more expensive accidents
Car insurance claims by men are costlier than claims by female drivers because they often act like ‘stone-age’ men behind the wheel, according to research by online car insurer swiftcover.com. That’s why men usually face higher insurance premiums despite claiming to be better drivers than women.
swiftcover’s own data reveals:
• Male drivers accounted for 52% of the total claims costs in 2008, despite actually making fewer claims
• Women accounted for 48% of total claims costs, despite making 52 % of claims
Women tend to make lower value claims for small knocks and scratches, whilst men claim more for larger more expensive incidents. As a result men can pay almost £504 more for their insurance compared with women of the same age, vehicle and personal circumstances.
Men are more likely to make more costly claims because evidence shows they take more risks on the road, according to research collated by swiftcover.com.
• Men are twice as likely to speed in a 30mph zone1
• Men are three times more likely to speed on motorways and rural roads1
• Men are four times more likely to be convicted of speeding offences2
• Men are nine times more likely to be convicted of driving offences2
A study by Oxford academics3 suggests that the reason male drivers take more risks is because they are more aggressive due to survival instincts developed by stone-age man; these behavioural traits are still evident today when men defend their territory – their cars – from other drivers on the road.
Craig Staniland, underwriting director at swiftcover.com explains: “Insurance data never lies! Even though men reckon they are better drivers, the reality is that they have more expensive insurance claims, are more likely than women to speed, and are responsible for many more traffic convictions than women – which pushes up the cost of insurance.
“The solution is simple – calm down behind the wheel and drive more safely and responsibly. You will have fewer claims and clock up a bigger no claims bonus that will help bring your insurance costs way down. Driving aggressively means that you will always be out of pocket when it comes to your motoring expenses.”
A study by the Oxford based Social Issues Research Centre, entitled ‘Sex Differences in Driving and Insurance Risk’3, makes the link between the aggressive behaviour of male motorists and stone age survival traits.
In addition the report says that the difference in risk between male and female drivers is greater amongst younger men because for many a car is their first independent space away from home and they are more likely to defend it with aggressive and potentially dangerous behaviour. The difference in risk between men and women lessens as men get older.
This theory is borne out by figures that show that men are responsible for more driving and speeding offences than women, whilst male drivers are far-more likely to break the speed limit than female motorists.
Brake’s Road Safety Research, 2009
Men Women
1 in 3 drive at 35mph or faster in 30mph zones 1 in 7 drive at 35mph or faster in 30mph zones
1 in 5 break the speed limit on motorways 1 in 14 break the speed limit on motorways
1 in 5 drive over 60mph on rural roads 1 in 16 drive over 60mph on rural roads
2Ministry of Justice Statistics for 2006
Men Women
Responsible for 80% of speeding offences Responsible for 20% of speeding offences
Responsible for 90% of driving offences Responsible for 10% of driving offences
Why are men are considered a higher risk?
• Men are more likely to take risks – research shows there is a positive correlation between sensation seeking and testosterone levels, which could explain why men tend to take more risks when driving3. According to the road safety charity Brake1, men admit to much more risky and sensation seeking patterns of driving.
• Men break more rules - Government statistics show that men are responsible for more traffic offences and rule breaking on the roads2, leading to an increased risk of accidents and penalty points, both of which can push up insurance premiums.
• Young men are most at risk – According to Brake’s research1, those under the age of 21 are ten times more likely to die on the road than other motorists.
• Young men have more convictions – Although males aged between 17 and 20 make up just 3% of drivers, they account for a third of dangerous driving convictions2.
• Young men see their car as their space – As it’s their first independent space away from the family home, they are therefore more likely to defend it with dangerous or aggressive behaviour3.
• Men have higher mileage – Annual mileage for men is 9,335, seven per cent higher than women at 8,711 a year. Simply put, the more you drive, the more likely you are to make a claim, so the risk and insurance premium increases.
4Male premiums compared with female premiums for drivers aged 27 with the same circumstances driving a Ford Focus, with a full no claims bonus
Location Male Price Female Price Price difference
Aberdeen £220 £197 £23
Birmingham £468 £419 £49
East London £371 £333 £38
Liverpool £439 £393 £46
swiftcover.com is the UK’s only fully online insurance company without time-wasting call centres, so it is able to provide quotes in 60 seconds and keep insurance costs down.
-ENDS-
For press enquiries please contact:
Joshua Van Raalte or Paul Beadle
Brazil (PR agency for swiftcover.com)
01865 556 000
swiftcover@agencybrazil.com
£60 billion debt refinancing ‘time-bomb’ could scupper recovery
Despite the Chancellor’s predictions of a return to growth “by the end of the year”, international law firm, Pinsent Masons, is warning that continued tightening of credit terms offered to British companies by UK banks could delay economic recovery significantly.
As many as a third (31%) of companies say that they have seen the terms and conditions upon which they borrow become less favourable, whilst a quarter (26%) expect their banks to tighten borrowing terms further over the next six months. With some £60 billion of corporate debt needing refinancing in 2009 and 2010 alone, Pinsent Masons is warning that many may not get the finance they need to work through the current rough patch.
Pinsent Masons undertook an exhaustive survey of leading businesses in March and April. It believes that most companies do not yet appreciate the scale of the re-financing threat to their businesses.
Martin Bishop, Head of Banking and Finance at Pinsent Masons, says, “We’ve seen a significant contraction in the number of foreign banks that are happy to lend to UK borrowers. That means that the weight of the primary loan market is resting even more with UK banks, which will become even more selective in deploying capital. Businesses need to consult their lead banks well in advance of any re-financing needs and we anticipate that even some long-term customers may struggle to get the finance they need.”
The survey also found widespread feeling amongst companies that the government’s fiscal stimulus package, including bank recapitalisation, is not working – with 62% saying that it either wasn’t working at all or wasn’t of much benefit.
Similarly, the reductions in the Bank of England base rate have failed to deliver much benefit to businesses on the ground – with 56% saying they either haven’t impacted or have impacted very little on their business – although they’ve been more beneficial than government measures.
Longer-term, the survey found significant support (79%) for the idea of increased regulation of the banking and financial system – agreeing it was a “price worth paying” for increased stability.