CMI data by age and gender: income protection insurance

Document description

When underwriting insurance policies, insurance companies base their premiums on a wide variety of factors that may affect the claims cost they observe among their customers. One factor is gender. From 6 April 2008, the Sex Discrimination (Amendment of Legislation) Regulations specify certain conditions under which insurance companies are allowed to differentiate premiums based on gender. One condition is that the use of gender as a factor in the assessment of risk for individual policies is based on relevant and accurate statistical data. A second condition is that this data must be compiled, published and regularly updated in accordance with guidance issued by HM Treasury. This bulletin illustrates differences in claims experience between men and women for income protection insurance written in the UK.