uSwitch.com: general insurance products for the over-50s from intune

In response to the launch of general insurance products for the over-50s from intune, the new financial services brand from Help the Aged, underwritten by LV= (Liverpool Victoria), Aron Thompson, Head of Insurance at independent online price comparison and switching service, uSwitch.com, said:

“With more than 20.3 million people over the age of 50 in the UK, it is no surprise that new entrants are coming to market to tap into this lucrative ‘grey pound’. Historically, the over-50s market, in particular the over-75s, has been a poor risk group for motor insurers, and as a result it has been badly served by the industry. According to a recent report, one in four people over 75 were unsuccessful in even getting a quotation for their motor insurance.

“For some time, SAGA has very much been the dominant ‘specialist’ in this market, so we fully welcome growth in this particular sector and hope that a bit of healthy competition will drive premiums down for older drivers without reducing the quality of cover.

“While the motor policies offered by intune and SAGA are very similar, intune feeds all profits straight back to the Help the Aged charity, which will no doubt appeal to this audience. Cover for driving abroad is likely to be a key policy feature for this age-group who may be more likely to take trips overseas and enjoy their retirement. SAGA’s policy is good with unlimited cover for driving abroad in the EU and Europe, while intune offers cover for up to 180 days duration.

“intune does reward safer older drivers with a higher no-claims discount than SAGA, albeit over a longer period (75% after five years, compared to 60% over four years). However, SAGA has the upper hand when it comes to paying for cover on a monthly basis by direct debit as they make no charge for this, whereas intune will charge an additional 16.9% APR. SAGA will also offer a greater online discount (20%) compared to intune (10%).

“We always urge consumers of any age to make sure that they look around for the best deal and find the insurance that is most suited to them. Older drivers should keep in mind that there are several providers that specialise in this area such as Castle Cover, Age Concern as well as SAGA and intune, so it’s worth shopping around. Car insurance is a highly competitive market and is dependant on many factors other than age – such as where you live and the type of car you drive.”