‘Give young driv­ers fairer deal on car in­sur­ance’

Stop dis­crim­i­na­tion, says politi­cian

7 Days in Dubai - - FRONT PAGE - By Is­mail Se­bug­waawo @is­mailsebu is­mail@7days.ae

Driv­ers who have just passed their test should be treated the same as other mo­torists by in­sur­ance firms, a mem­ber of the Fed­eral Na­tional Coun­cil (FNC) has said.

Ha­mad Ahmed Al Ra­houmi, a mem­ber for Dubai, yes­ter­day told a FNC meet­ing that some in­sur­ance com­pa­nies were mak­ing it hard for new driv­ers to in­sure their cars by charg­ing them ex­tra, while oth­ers even refuse to in­sure cars for peo­ple un­der 25.

“All driv­ers should be treated the same way by in­sur­ance com­pa­nies,” he said. “Why is it that new driv­ers have to pay much higher pre­mi­ums for in­sur­ing their cars as com­pared to ex­pe­ri­enced ones? I think this is un­fair and it should stop.”

Al Ra­houmi has raised the is­sue with Sul­tan bin Saeed Al Man­souri, Min­is­ter of Econ­omy and Chair­man of the In­sur­ance Au­thor­ity.

Al Ra­houmi added: “In some in­stances, driv­ers be­low 25 years of age find dif­fi­cul­ties to have their cars in­sured. Firms don’t want to in­sure cars for th­ese be­gin­ner driv­ers.” In a writ­ten re­sponse to Al Ra­houmi’s ques­tion, Al Man­souri said in­sur­ance firms are restricted by law from dis­crim­i­nat­ing. “Mo­tor in­sur­ance firms are sup­posed to be trans­par­ent. They should treat all cus­tomers the same way,” Al Man­souri wrote. “All driv­ers - new, young or old, fe­male or male - must have their cars in­sured by the in­sur­ance firms with­out dis­crim­i­na­tion.”

The min­is­ter said firms can only refuse to in­sure some­one if the per­son has a very long record of ac­ci­dents or traf­fic vi­o­la­tions.

Al Man­souri said peo­ple who feel they are be­ing dis­crim­i­nated against can com­plain to the In­sur­ance Au­thor­ity.

He added that the au­thor­ity re­ceived 3,942 com­plaints last year from cus­tomers.

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