A motor insurance company has paid compensation to a man to whom it would not give a quote for car insurance because he was under 25 years old and has, the Equality Authority heard, now changed its policy on not quoting those under that age.
The Equality Authority today welcomed the settlement, the full details of which have not been disclosed, in a case involving First Call Direct.
The authority said the settlement involved a case of "potential discrimination" on age grounds in relation to the provision of motor insurance to a person under 25.
According to a statement released by the Equality Authority today, the claimant contacted First Call Direct in November 2001 for a motor insurance quote. He was 23 years old at the time and the company refused to quote him because he was under 25.
The authority pursued the matter and the case was listed for hearing by the Equality Tribunal.
The body said the refusal of service by First Call Direct had no relationship relating to any previous history relating to the insurance claims or accident record of the man's car.
On the day of the hearing before the Equality Tribunal, the company's representatives said it had now changed its policy and removed the lower age limit for quotations. The claim was settled and the company paid the man compensation.
The Equality Authority said that, currently, 21 of its casefiles relate to the motor insurance industry. They include claims in relation to the failure to provide service on grounds of age, gender and disability.
Mr Niall Crowley, chief executive officer of the Equality Authority said: "This is an important settlement in further developing the application of the Equal Status Act to the provision of insurance. It sets a lead in relation to the removal of age limits which we hope will be followed across the industry.
"These cases raise the issue of age limits being used to exclude particular groups of people, young and old, from insurance. It is important that insurance companies ensure that the manner in which they seek to manage risk does not rely on irrelevant factors or characteristics. Recourse to such factors all too often leads to discrimination and exclusion."
ireland.comhas contacted First Call Direct, now Allianz Direct, seeking its comments on the case, but was unsuccessful.