Insurers must justify dropping drivers over 70
Motor insurance companies must now document their reasons when terminating coverage to people aged over 70, under a law passed by the House on Thursday.
Tabled by Volt MP Alexandra Attalidou, the bill aims to end discriminatory practices by insurance companies against senior citizens.
Companies must inform in writing elderly customers of their intention to terminate their motor insurance coverage. If they do not, they are subject to fines.
Customers must be notified at least three months prior.
Attalidou took the initiative after a report by the ombudswoman – issued last April – noted that insurance companies were refusing coverage to drivers aged 70 and above.
In her remarks, the MP said: “People who today are being penalised due to their age, these are the generation who supported the social and economic fabric of our country.
“We cannot ask them to take medical examinations so that they are able to keep driving, and we cannot leave them without guaranteed access to mandatory insurance coverage.”
Attalidou cited data showing that drivers aged over 70 are actually involved in few accidents – meaning also that compensation claims are low.
The MP stressed her proposal does not aim to end age-linked risk assessment for insurance purposes.
But at the same time, it was heard that some insurance companies jacked up their premiums to €700 for elderly people.
On this, Diko MP Zacharias Koulias commented that, since elderly people do not get into accidents often, in fact their premiums should go down rather than up.
For his part, Akel’s Aristos Damianou – who voted for the bill – dismissed concerns that the legislation interferes with the freedom to contract.
The law, he said, addresses “natural justice”.
The MP urged President Nikos Christodoulides not to challenge the law on constitutional grounds.