It is true that men pay more car insurance for different reasons.

There are so many factors that influence how much you pay for your car insurance.  These factors include the kind of car you drive, your age, driving record and your neighbourhood. However, statistics have shown that men pay more for car insurance that their female counterparts.

Why is this the case?

Stats show that men have more serious, high-speed accidents than women. But this does not necessarily mean that men have more accidents than women, says Wynand van Vuuren, spokesperson at King Price.

However, the average cost-per-incident for male drivers is much higher than for female drivers.

According to Ernest North, co-founder for Naked Insurers, on average, the monthly premium for a male driver is 7% more than for a female driver with the same profile in every way besides gender.

Younger men (below 30 years) are at a significantly higher risk of a larger accident than women of the same age and this is reflected in their premiums.

However, 60-year old men and women usually pay similar premiums because their driving behaviour and risk profile are similar.

What can you do to reduce your premiums?

No matter your gender, there are some steps you can follow to decrease your premiums:

  • Get a comparative quote from one of your insurance provider’s competitors once a year to check whether you are paying a fair premium. If shown the competitive quote, your insurance provider will often reduce your premium.
  • Pause your accident cover when you are not driving. You’re still covered for theft, damage from weather or even a runaway airport trolley, while your cover is paused. The only thing you are not covered for is accident damage. If you want to drive again, you can switch your full cover on.
  • Drive cautiously to avoid losses, thereby building a better claims record.
  • You can also insure your car with an insurer that decreases your premium monthly as your car’s value drops.

Van Vuuren says that insurers are now able to process vast amounts of data and gain insights into individual risks.

“The ability of insurers to determine risk is evolving to a point of near perfection. This means that we’re fast approaching the point where all risk will be rated individually,” he says.

In other words, insurers can now base your premium on how, when and where you drive rather than on a risk profile derived from factors such as your age, gender, and credit record.

However, most insurance providers are using this driving data to reward good drivers with cashbacks and other incentives rather than to adjust their actual premiums.

With the holiday season upon us, it is now the perfect time for you to engage with your insurance broker for the necessary guidance and advice. This will ensure that you have sufficient insurance cover to meet your needs and take the necessary holiday security measures for travelling, says Marius Neethling, manager of personal lines underwriting at Sanlam.

This article has been prepared for information purposes only and it does not constitute legal, financial, or medical advice. The publication, journalist, and companies or individuals providing commentary cannot be held liable in any way. Readers are advised to seek legal, financial, or medical advice where appropriate.