MSV Life plc moves to gender neutral pricing
MSV Life plc will no longer use gender as a risk factor in calculating the cost of life insurance from December 1, the life assurance company said yesterday. All new policies issued on or after December 1 will be issued at gender neutral rates.
The measure follows a decision by the EU’s Court of Justice last March that, with effect from December 21, gender must not result in differences to individuals’ premiums and benefits for insurance and related financial services contracts.
“MSV is implementing the Gender Directive ruling before it comes into effect,” MSV Life chief executive David Curmi said. “From December 1, our individual life protection products will be quoted using gender neutral pricing. The change to gender neutral pricing will not affect policies that are currently in force provided that no mid-term changes are effected to the contract that are likely to render it a new contract.”
Mr Curmi added that MSV Life was committed to increasing the awareness of basic voluntary life protection. According to indicators, only around 36 per cent of the working population has some form of life protection, mostly as collateral against bank borrowings.
“Therefore, most families are either uninsured or inadequately insured against the death of their primary income earners,” Mr Curmi pointed out. “Fundamentally, MSV believes that insurance remains good value and will continue to play a vital role in helping people to protect what they have today and to plan for their futures.”