Student vs disabled - why the difference?

Ames

I've been looking at car insurance. I'm a disabled student. If I put my occupation as 'not working due to disability or illness' the quote comes in at around £1250. If I put it in as 'not working due to full or part time education' it comes in at around £850.

I'm just stumped as to why there's such a difference? I'd have expected it to be the other way round, and a student to be the higher risk.

I'm 31, and the car I've got my eye on is a twelve year old banger. The cost is so high because I live in a terrible area. It's just the big difference that's surprised me.

eddddy

Hi Ames

I suspect it is mainly down to claims experience. The insurance co has probably found that in the past, people who class themselves as 'not working due to disability or illness' have had more/bigger claims than people who class themselves as 'not working due to full or part time education'.

The ins co may have no idea why people 'not working due to disability or illness' have a worse claims experience - they just rely on the statistics, and set the premiums accordingly.

dacouch

You may find they have "Mature Student" as an occupation, this is often cheaper than plain old "Student"

lisyloo

It's down to claims experience or so we are told.
There may be no logical or intuitive explanation, but simply that the insurers statistics shows one group have more accidents that another.

As above the insurer won't look for a logical explanation simply charge more for the group that has higher claims.

Of course some people do not trust that explanation as getting the proof is like getting the receipe for Coca Cola so some people are cynical, however that's the official explanation - simply that the disabled group have cost more in the past than students.