People Seized On Insurance To Slash Down The Prices

According to the current financial climate people are tempting to cut down their rates on unnecessary spending in order to pay off the bills. However, more and more number of Brits is planning to preserve personal details on their insurance applications in order to obtain a cheaper deal.

It is becoming more extensive that the insurers filled false details while completing application forms in order to keep their policy premium at lower rates. New research by AXA has revealed that with one in 14 Brits agreed to doing so to cut down their financial outgoings. According to the study, 11 per cent of women have lied about their weight, while over one in 20 have hidden any previous or current feelings of sadness, in order to show the ‘perfect self’ to insurers and to hold the policy premium at low prices.

They feel that if they disclose such details to insurers, policy premiums will get high and leave them with less money to spend on other essentials. In order to spend money on other financial commitments taking out a loan can be the most appropriate option. As a result of opting for a loan other areas of payments may also not suffer.

In total, the research found that seven per cent of Brits who have bought insurance in the last year have hidden their lifestyle habits and previous medical conditions, in spite of the fact that some of these things will not necessarily affect their premium.

Iain Mallon, head of protection at AXA, said: “Most people quite rightly assume that insurance premiums are based on medical history and certain lifestyle elements. A loan may help them to pay off their insurance premium as well as take care of other spending like paying off bills on time effectively.

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