Younger drivers present insurance challenge, says MGA
The growing trend for young motorists to drive high-performance supercars is a new challenge for underwriters, according to Aqueduct Underwriting.
Aqueduct Underwriting head of Aurum Ashley Cole said that the firm had seen a gradual but significant demographic shift in recent years.
Cole attributed the trend to the rapid depreciation of supercar prices, the economic downturn not affecting many buyers and an influx of wealthy buyers from abroad.
Cole said: “Ten years ago a typical supercar owner was over 40 years of age, a professional, or independently wealthy, and used their valuable pride and joy during dry weekends.
“Fast-forward to 2013, and we are increasingly seeing requests from petrol-head entrepreneurs who are much younger, who may have moved to the UK from overseas and use a second-hand and vastly depreciated Aston Martin as daily transport.”
He added that this demographic shift did not mean insurance was unobtainable for the younger supercar driver, but that it stressed the importance for bespoke underwriters and brokers to secure the right cover.
Cole said: “The wider demographic ownership of supercars is part of a wider trend we have noticed across Aqua’s high net worth (HNW) underwriting business, where clients are generally purchasing more passion assets, such as yachts, jets, priceless art, numerous homes and luxury cars.”
Aurum is a HNW and specialist motor product.
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