What kind of insurance should I be getting at 20yrs old?

Ch4rlie

Hi, 
I'm interested to know what kind of insurance everyone would recommend for a 20-year-old, please?
I know that fully comp' covers 'everything' but it's more expensive so I'm wondering what the best alternatives might be/ what you guys recommend. 

neilmcl

All insurance is going to be expensive for a 20 yr old. You'll probably find TPFT to actually be more expensive than fully comp.

Ch4rlie

neilmcl said:

All insurance is going to be expensive for a 20 yr old. You'll probably find TPFT to actually be more expensive than fully comp.

Could you tell me what TPFT is, please? -- is it worth looking into at all?

AdrianC

The difference between TPFT and FC is simply whether your insurance will pay for your car if you're at fault.

That's not what worries insurers about young, inexperienced drivers. Even the cost of a brand-new car is relatively small compared to the cost of the third party payouts, including for long-term serious injuries.

Ch4rlie

AdrianC said:

The difference between TPFT and FC is simply whether your insurance will pay for your car if you're at fault.

That's not what worries insurers about young, inexperienced drivers. Even the cost of a brand-new car is relatively small compared to the cost of the third party payouts, including for long-term serious injuries.

Ahhh I see, that makes sense -- So TPFT isn't really worth looking at? Unless my car isn't worth much?

Are there any insurance providers that you'd recommend? (keeping in mind the cost, coverage, black box/no black box etc for a 20 yr old, please)

Mickey666

Putting an experienced driver with a good NCD record (eg a parent) on the insurance as a named driver can reduce the premium.  Be careful they are only a ‘named driver’ and not the main driver, to avoid ‘fronting’ issues.

EssexExile

Ch4rlie said:

neilmcl said:

All insurance is going to be expensive for a 20 yr old. You'll probably find TPFT to actually be more expensive than fully comp.

Could you tell me what TPFT is, please? -- is it worth looking into at all?

Third party, fire and theft. It pays for damage to other people's cars, but not yours, in the event of an accident.

theoretica

Have you read this? https://www.moneysavingexpert.com/insurance/car-insurance/

Ch4rlie

Mickey666 said:

Putting an experienced driver with a good NCD record (eg a parent) on the insurance as a named driver can reduce the premium.  Be careful they are only a ‘named driver’ and not the main driver, to avoid ‘fronting’ issues.

I've just tried that and my quotes are definitely lower -- really appreciate the tip, thank you!

Sandtree

RTA Only - you wont find for personal lines
TPO - Third party only - covers only damage you do to others
TPFT - third party fire and theft - covers TPO plus damage to your car due to fire or theft (inc attempted theft)
Comp - aka fully comprehensive - as TPFT but adds accidental damage to your own vehicle

Legal Expenses - an add on to any of the above that assists in recovering your uninsured losses from a third party in the event of a non-fault claim.

In theory TPO should be the cheapest and Comp the most expensive but in practice the reverse is often true due to a) the types of drivers that buy lower coverage are typically worse experience and so actually average claims are higher despite no own vehicle cover and b) not all insurers offer the lower grades of policies so less commercial pressure on premiums.

You will find similar things with Excess... on paper bigger should be cheaper but because of negative selection there is actually a sweet spot normally nearer the lower end after which premiums start going up again.

Ch4rlie

theoretica said:

Have you read this? [link]

This is great, thank you!