Vulnerable pensioners feel the pinch as petrol prices rocket

01/07/2008

Rising petrol prices are having a significant impact on older drivers as thousands are at risk of being cut off and isolated, according to new research published today by Intune Motor Insurance, set up and owned by Help the Aged.

With petrol prices costing an average of 118.6 pence per litre and predicted to continue rising, many drivers over the age of 60 have admitted to having to cut back on essential purchases such as food, gas, electricity, and insurance policies.

More than 8 million people over the age of 60 hold a driving licence in the UK - and four out of ten (41%) are finding it difficult to run their cars due to the cost of petrol. Almost half have already, or will need to cut spending in other areas (48%) if prices stay as they are or continue rising. Nearly one in six (15%) are now at risk of being isolated and stranded as they are considering stopping using their cars altogether due to increasing fuel costs.

Stuart Castledine, Managing Director of Intune, says: “For many older drivers their car is their lifeline enabling them to carry out essential daily tasks such as food shopping, hospital and doctor’s appointments and visiting family and friends.  Many older drivers pride themselves on remaining independent, but if they have to give up their cars they will no longer be self-sufficient.  It is essential that the Government looks at ways of curbing these costs and considers reducing fuel tax.”

Over two thirds (72%) of those that have, or are looking at cutting their spending are considering limiting the amount of gas and electricity used in order to reduce bills, and over a third (42%) will be reducing the amount they spend on food.

Others will cut luxuries such as alcohol (46%), socialising (60%) and holidays (50%). Worryingly, one in five (16%) will be leaving themselves hugely exposed by cutting insurance policies, which would be a false economy if the unexpected should happen.

Two in five older drivers are considering changing their cars to one of the new breed of cars that doesn’t use petrol at all or uses very little petrol such as the hydrogen filled Honda, a Toyota Prius (a hybrid electric car) or an all-electric car.

Intune provides motor insurance with no upper age limit and a discount of up to 75 per cent if the policy holder has at least five years of no claims. It also offers a budget account option to help spread the payment.

For further information on Intune’s motor insurance and other products, visit the website linked below or call the motor insurance telephone number on 0800 030 4841.