Black and Asian folks are still getting smacked with higher car insurance rates

Looks like the car insurance industry is still playing favorites. A new study revealed that Black and Asian folks are getting ripped off yet again, paying an average of £250 more per year for car insurance than white people. And to make matters worse, it seems like the authorities are just twiddling their thumbs instead of doing something about it. Last year alone, a whopping one million people ditched their car insurance due to rising costs, with minorities three times more likely to bail than their white counterparts. Citizens Advice conducted the research and, despite raising concerns last year, the Financial Conduct Authority seems to be MIA. As Dame Clare Moriarty, who heads the charity, put it: "Seriously, it's been a year and still nothing from the FCA? This is messed up."

Hey, the FCA has given a nod to the new research from Citizens Advice about discrimination against people of color in the insurance industry. They said they'd talk to insurance companies about the issue, but didn't give us a clear-cut solution. Nevertheless, an FCA spokesperson emphasized that everyone should be treated equally when it comes to insurance coverage, regardless of ethnicity. They're on board with Citizens Advice's efforts to shine a light on discrimination, and will keep reminding insurance companies to play fair and follow the Equality Act.

Citizens Advice dug deep and found what we already knew - that car insurance companies need a wake-up call when they can't explain why there are differences in pricing based on ethnicity. The study also zoomed in on eight specific areas, comparing those with a big white community to those with a significant number of Black and Asian residents. Their conclusion? Clear monitoring and enforcement action is needed, like yesterday.

Living in a certain postcode means everybody has to fork over more cash for car insurance, no matter their background. But according to a research charity, if this happened everywhere, Black and Asian folks would be dishing out 13 times more money than their white counterparts. That's £213 million a year more! Even risk factors like high crime, poverty, and road accidents don't explain these racial price differences. Insurers insist they don't discriminate, but can't explain why this disparity persists. So, what do we do now? It's a topic we've all been debating with Citizens Advice, the FCA, and the industry. But for now, if two people of different ethnicities share a postcode, they'll pay the same premium if everything else is equal.

"Yeah, we get it - our industry needs to take a long, hard look at how big-picture problems could be affecting insurance rates. And trust us, our gang is all over that conversation.

But we're not just sitting around chatting about it - our peeps are also super aware that times are tough financially for a lot of folks. And we wanna do our part to help out. So, if you're having a rough go of it and having trouble ponying up for your mandatory auto insurance, reach out to your carrier and see if they can offer a hand."