An unfortunate factor of young peoples car insurance, especially in the Under 25 and Under 21 year old age brackets, is that premiums are higher for the equivalent policies to that of drivers in older age brackets.
The main reason for this is due to the statistical likelihood of a claim being made on a young persons policy which is higher due to their driving inexperience which means they are more likely to be involved in an accident. In addition to this is the fact that young drivers tend to have older cars which are badly maintained and increases the number of accidents.
Though it is advised that any new policy holder looking to renew their car insurance should shop around, this is especially true for young and new drivers. Young peoples car insurance can vary massively in both coverage and premiums paid.
There are many specialist insurance companies who pro-actively seek policies for certain niches within the sector and this is true for young people’s car insurance. A provider dedicated to serving young people in this field would yield a high number of policies in for this particular group of driver in this high risk category. They would therefore be able to offer a lower rate of premium in general compared to a standard insurance company for their target market, which in this case is young drivers.
Young people car insurance is made up from the following users:
Furthermore and as is always the case regarding car insurance; a young male driver is likely to incur a higher premium to that of the same-aged female for similar cover. An alternative to a single car insurance policy for a young person is to be included as a second driver on a mature policy, i.e. family members, where no claims and lower premiums reward the young driver to be added at a cheaper rate in comparison to adding a new policy.