Information Matrix

In just over one year's time, insurers throughout the European Union will be prohibited from using a person's gender to price insurance risks.

Last week I wrote about the judgment by the European Court of Justice which bans the use of gender in insurance pricing after 2012.  An interesting aspect is the areas of insurance business which may not be affected. 

In a previous post we discussed the possibility of gender being banned throughout the EU as a rating factor for insurance pricing.  This has now come to pass — on 1st March 2011 the European Court of Justice ruled that gender may not be used in insurance pricing according to European law.  So what will happen now?

The Advocate General of the European Court has recently opined that "the use of actuarial factors based on sex is incompatible with the principle of equal treatment for men and women".