Keeping insurance premiums down for young drivers
It is one thing passing that driving test, but what happens when you come to insuring your first car?
|
Kayte Platts Wednesday 16 February 2011 |
Not so long ago, my son reached that moment in his life when he passed his driving test. Having already acquired a vehicle, we were left with the dilemma of sorting out all the other things in order to put him on the road.
One of the major costs for the young driver is the car insurance premium. Statistically, young drivers are more likely to be involved in an accident than older drivers and this means their insurance premiums will cost more. When young drivers buy car insurance there are several things that need to be considered.
Car insurance premiums are calculated depending on the probability of the driver being involved in an accident and the cost of the claim if that happened. As well as the increased likelihood of having an accident, young drivers will pay more for their insurance, as they have not had the chance to build up a no-claims bonus.
We decided to shop around and obtain quotes from different providers. The difference between the cheapest and the most expensive varied by hundreds of pounds. There were insurers that specialise in younger drivers, and there were others that have special products designed for drivers under the age of 25.
The question was what type of cover should we go for? The obvious choice was comprehensive as it covers both your car and other vehicles. Amazingly. third party fire and theft was not always the cheaper option.
In the end, we found an insurance policy that suited him and because my son’s car was only a 1000 cc engine, this helped considerably in keeping the costs down.
Putting your son or daughter on your own insurance as a ‘named’ driver may seem appealing but is detrimental as they do not build up their own no-claims bonus.
So, passing your test is just the beginning of a very long and expensive road!
| Comments | Post a comment |
|
Mrs Peters, Aberdeen 26 February 2011, 01:26PM | |
It is just crazy what we have to pay to insure young drivers. My son only has a small 1.2 litre VW and his premium is beyond his means and his father and I have to help him out. Someone is making a lot of money out of the young and it is just not right. | |
| Rating (0) | |
|
Jacklyn Brown, Southampton 27 February 2011, 02:25PM | |
We have to have my son on our insurance policy as we simply cannot afford to put him on his own. What with the Tax, MOT and running costs it is just impossible to fund it. I think it is also unreasonable to make a gender preference too. Ok, statistics say that girls are at less risk from having an accident, but my son is a very careful driver. | |
| Rating (0) | |
|
Kevin, Leeds 14 March 2011, 02:19PM | |
This is not anything new. I remember 23 years ago when I had my first car and the insurance was sky high. There is a reason for it, inexperienced drivers are more likely to have accidents! | |
| Rating (0) | |
|
Rita, London 24 March 2011, 01:54PM | |
Car insurance premiums are calculated depending on the likelihood of the driver being involved in an accident and the cost of the claim if that happened. Unfortunately young drivers are statistically more likely to be involved in an accident than someone over the age of 25. As well as the increased likelihood of having an accident, young drivers will pay more for their car insurance as they haven't had the chance to build up a no claims bonus. | |
| Rating (0) | |
|
Verity, Kent 24 March 2011, 01:58PM | |
My daughter recently passed her drving test and in order to try and keep her premium as low as possible she took an | |
| Rating (0) | |
|
Betty, Sutton Valance 29 March 2011, 02:10PM | |
It is proven that young drivers are higher risk drivers than others; therefore premiums are going to be higher. That has always been the case and I imagine it always will be. Hopefully it encourages young drivers to drive more carefully, although most idiotic drivers I see on the roads are young, I rest my case. | |
| Rating (0) | |
|
Jennifer Caxton 18 April 2011, 02:45PM | |
This anti-discrimination thing is getting out of hand. The insurance companies do not offer lower prices for female drivers, they charge higher prices for young make drivers because that is where the risks are. | |
| Rating (0) | |
|
DMR® is a registered trade mark of DMR Limited. About us | Contact us | Advertise | News archive | Articles archive | Privacy policy | Legal | Print |