Judgement came today from the European Court of Justice finding it discriminatory for insurance companies to discriminate between the genders when calculating car insurance premiums. From 21st December 2012, insurance companies will no longer be able to charge a young man a higher car insurance premium based on the fact that he is a man, and accordingly a young woman will not benefit from her gender’s driving record to pay a lower rate.
The ruling is to affect pensions as well, as currently a woman generally receives less in pension payments from the same value pension pot as a man, because statistically a woman lives longer than a man. So this will affect the amount of pension we can expect from a pension, and it is reasonable to expect that both men and women will be affected as annuity companies adjust their rates. Annuity rates will inevitably fluctuate over the coming months as the industry adapts.
So too will pension settlements on divorce be affected, as the fair distribution of a pension asset will again be impacted by the changing market. Keeping abreast of the changes affecting reasonable settlements is crucial to ensure that the outcome of divorce proceedings represents a fair and reasonable settlement for both parties.
If you would like further information, please telephone us on 01992 892214.
Townsend Family Law Solicitors
Divorce & Family Law Specialists
