Car insurance for young/first time drivers!

bigbeamer

Would you be happy for your own Insurance premiums to increase to subsidise the premiums of the young drivers?

Yes I would if it meant a reduction in the number of young uninsured drivers on the road. The fact that young drivers premiums are increasing at an incredible rate or refusing to quote, only serves to compound the problem in my opinion.

My youngest son's quoted premium was more than double than his brothers in little over 4 years, which equates to an annual increase of 28% a year.

What also concerns me is that quality insurers are either rufusing to quote, or quoting astronomical figures, leaving the consumer with little choice of going with the poorer operators.


It seems all " male young drivers" are collectively percieved as wreckless, when I know many sensible young drivers. We scanned our eldest son's school photo a while ago, to see how many of his mates had actually been in accidents, since driving. Including my son, a total of 14 had cars and not one has had an accident to date to our knowledge.

My youngest son sensibly decided to wait 2-3 years, as it's more economical to travel by taxi, based on his mileage.

Although he'll be regarded as more mature and cheaper to insure, does he not represent more of a danger, having not driven for 2-3 years.

If the problem is as serious as is reported, than surely it is an issue that should be taken up by the Government.

dacouch

Insurance is the UK is the most competitiive in the world, if there was profit to be made in young male drivers then believe me there would be competition for the business. What tends to happen is an Insurer sees how expensive the premiums are and decides there is money to be made and goes into the market for young male drivers. They then attract a lot of young male drivers and then the inevitable claims and pull out of the market (This is why most of the quality Insurers actively price themselves out of the market).

Young male drivers have a huge amount of claims, their claims are not like other drivers claims as well as being very frequent they are also for very large amounts of money. Young drivers tend to have accidents a lot of accidents at night time with a car full of passengers. So when they have an accident the Insurer receives a lot of very expensive injury / death claims from the passengers and normally big damage and injury claims from anyone else / thing they hit.

If you look at what companies were competitive for young male drivers three years ago, five years ago so on you would find few if any that are still competitive for young drivers. This is because its a part of the market that is normally uneconomical, of the Insurers I have discussed the matter with who have dipped their toes in the market they have all lost very very large amounts of money in this part of the market.

With regards to the government, they have tried the Pass Plus Scheme and also withdrawing new drivers licences if they receive a certain amount of points. They also encouraged a few Insurers to try the pay as you drive type schemes which were run by black boxes in the cars. The Insurers who offered this have all (To my knowledge) with drawn from this after receiving a lot of claims and also found the technology expensive.

With young drivers the costs to the Insurers are all in the liability claims.

Razkazz will probably have better knowledge than me on the claims ratios etc on young drivers as he is an underwriter and will have access to the data on young male drivers

Davidboy

Also can I suggest "multicar" depending on which company your parents are using and whether you are still living at home, but for my daughter I put her on multicar with Churchill and that brought the premium down loads.

D

muffinhead87

Me and my sister have always found Bell to be the cheapest for us

pastra

You would be best to do the pass plus as it will get discounts of 10/20% and also look to join a rapid bonus scheme . Insurers will price rapid bonus policies cheaper as they know they will have your business for at least 27 months.

bigbeamer

Me and my sister have always found Bell to be the cheapest for us

They came out one of the dearest. Over £6K for a 1 litre Corsa.