Insurance Guides

Women drivers’ car insurance

By Madeline Thomas editorial@consumerchoices.co.uk

A new breed of car insurer has come along in the last five years; one determined to attract the female market. But does using one mean lower premiums? (3/8/09)

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Sheila’s Wheels, Diamond Insurance and Diva Insurance are just some of the names of women-focused insurers desperate to attract savvy female drivers.

But will women drivers always get a lower quote from these specialists? This guide will tell you when it's worth choosing them, and when to widen your search.

• Is women drivers’ car insurance just a marketing ploy?
• Will women drivers’ car insurance cut my premiums?
• Do women-friendly insurers come out on top?
• Women drivers’ insurance - recommendations

Is women drivers’ car insurance just a marketing ploy?

“Essentially, targeting women drivers is a branding exercise; it’s a great marketing tool,” says Will Thomas, head of car insurance at comparison site Confused.com.

“Even so, they do offer some benefits for women that could be worthwhile such as handbag cover, child seat cover and even counselling for those who’ve had an accident.”

Handbag cover typically pays up to £300 to cover the bag and its contents, a potentially worthwhile move for girls with a penchant for designer leather on their arm, yet it may be more of a gimmick than a necessity.

Many household insurance policies would cover the loss of a handbag while out and about so girls could end up paying twice. So its worth checking the small print on the existing policy first before electing to choose a women only brand of car insurance for the benefits.

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Will women drivers’ car insurance cut my premiums?

The logical question to ask is whether women-focused insurance companies offer cheaper deals to women drivers than mainstream insurers. It depends, so women should search the whole of the market for a decent deal rather than assuming that a female brand will automatically give them good value.

Confused.com looked at the cost to insure one type of car for a 20-year-old, 30-year-old and 40-year-old man and compared those to the costs women would pay under the same circumstances.

Each of the top 10 providers for each age group offered the women cheaper deals. The variance was greater in the 20-year -ld category because young men under-25 are statistically the most likely to crash.

Based on this example, it can cost a 20-year-old man around £500 more to insure himself to drive a Beetle than his 20-year-old twin sister.

That makes sense too when figures from the Department of Transport show that, statistically, one in three male drivers will have a crash by the time they’re 21.

Furthermore, 82% of those convicted of speeding and 86% of those convicted of careless driving over the last five years were men.

Looking at the other end of the spectrum – those drivers aged over 80 – women are still a safer bet than men. Despite outnumbering men 2:1, women in this age group still have fewer crashes.

All insurers are, of course, wise to the difference in driving quality and their quotes reflect this. So, women looking at the whole of the market will always get cheaper quotes than men.

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Do women-friendly insurers come out on top?

Among 20-year-old women in this insurance query, only one woman-centred insurance company - Diamond - was among the top 10 cheapest providers. It came in 9th with a quote £277 more expensive than the leader, Swift Cover.

However, based on this example, as women drivers get older, women-centred car insurance could provide greater value. Sheila’s Wheels was the second cheapest quote for the 30-year-old driver and the cheapest insurance provider for the 40-year old.

“Although specialist insurers may appear to be an attractive option for female motorists they do not always provide the best value.

Motorists could find themselves paying on average £497 for annual cover, compared to £390 on average from traditional providers – an increase of £107,” said Steve Sweeney, head of motor insurance at moneysupermarket.com who ran his own analysis.

He added that girls should, “weigh up whether these additions are actually worth the extra money – it shouldn’t cloud their judgement on getting the best value motor insurance.”

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Women drivers’ insurance - recommendations

So the moral for women drivers, is always check the whole of the market before choosing a car insurance quote, no matter how catchy the advertising jingle. This certainly seems to pay off for the younger female driver, in particular.