From 21 December 2012, product providers will have to provide unisex rates for annuities and life assurance following the announcement last year by The European Court of Justice. It ruled that basing the price of insurance on gender would be classed as discrimination.
The effect of this is that there will be an expected premium price-rise on protection contracts for women, and a small reduction in annuity terms, as it is not expected that insurers and pension providers will cut male rates to match their female counterparts.
If you believe you will be buying long term contracts such as life cover or a pension annuity soon, you may wish to commence the plan before December to take advantage of potentially lower costs. However, December should not be seen as the cut off date as certain cases will still need to be underwritten and this could take some time.
If you would like us to prepare illustrations on a personal basis, or provide you with a protection planning review, please contact us >>