Exemptions won from age bill

Junior equalities minister, Michael Foster will exempt insurers from the ban on age discrimination in the Equality Bill, the Guardian reports.

"We want the legislation to have the same effects in health and social care as in other sectors, that is: to eradicate harmful discrimination and to permit service providers to treat people of different ages differently where this is beneficial or justifiable or for good public policy reasons," Foster said in a statement to parliament.

The bill will also "ensure that when services deal with individuals, they focus on the individual, taking account of his or her age where it is appropriate to do so and where this helps to offer a personalised service".

Autumn consultation

The government will consult on the proposed exemptions in the autumn.

Foster said: "We will create a specific exception to allow financial service providers to treat people of different ages differently, but only where this is proportionate to risks and costs.

"Prices can still be varied by age, where this genuinely reflects risk or costs and is not an arbitrary decision."

The government said it had rejected financial services firms' arguments for a wider exception to the rules.

Angry Age Concern

Age Concern reacted angrily. It claimed half of motor insurers and a third of travel insurers automatically exclude people aged 80 plus seeking quotes, irrespective of their health status

“Refusing products to older people not only sends a harmful ageist message to people, it also places an unacceptable restriction on people's lives. Problems obtaining insurance cover can mean people are prevented visiting friends and family and enjoying holidays abroad,” it said.

Legal discrimination

Andrew Harrop, head of public policy at Age Concern and Help the Aged said: "Today's decision to allow insurers to continue legally discriminating against people on the basis of age is profoundly unjust.

“It defies belief that in 2010 a business is still able to refuse to deal with someone because of the date on their birth certificate.

"We accept age should sometimes be taken into account in pricing insurance, but automatic age limits completely undermine the message the Equality Bill is supposed to be sending.

“Our fear is that household name insurers will see the new law as a green light to shut their doors to older customers.

The charity said would take further action to tighten the exemptions to the Equality Bill.

Signposting

Maggie Craig, acting director general of the ABI, said: “The insurance industry is committed to providing competitive insurance for people of all ages. The Government’s own research shows that motor and travel insurance is available to all age groups.

“However, we recognise that some older people may experience difficulty finding the motor and travel insurance policies that are available to them. So we are developing a signposting solution that will direct older people to those insurers who can meet their insurance needs.

“We are keen to work with Government and age charities to ensure that this delivers real benefits to consumers.”