Young drivers ‘priced off’ roads by Motor insurance premiums.

96 per cent of young drivers believes they are being priced off the road because of high motor insurance premiums, according to a new survey.

The Transport Select Committee has been working with Young Marmalade (young driver insurance specialists) in collecting research from young drivers about their views on Motor insurance.

In the survey, 21 per cent of youngsters said they even considered the desperate act of driving without insurance because of the high premium costs.

Another 30 per cent considered altering their given information to insurance companies in order to secure a lower quote. Not to mention 15 per cent who considered the illegal act of ‘fronting’ by changing the main driver of the car.

However, many are unaware these ‘solutions’ can invalidate an insurance policy or actually be illegal.

In addition, more than 57 per cent of young drivers were unaware that, after an accident, insurance firms often pass personal details to a solicitor, car hire firm or garage in return for a referral fee.

In reaction to this survey, there have been many comments of concern.
Committee chair Louise Ellman MP said: “I am extremely concerned about these results, which show that young drivers think they are being priced off the road because of the high cost of motor insurance.

“It is shocking that so many young drivers are considering breaking the law – by driving without insurance or changing the details they provide to insurers – in order to get a cheaper premium”.

The chief executive of IAM (driving road safety) Simon Best said: “Many young people need a car to get to work. There are serious implications to the economy if they can’t afford to drive, and to road safety, if they simply choose to forgo insurance.”

In-light of these survey results, Mike Penning, under-secretary of state for transport, proposed an idea to lower premiums.

Penning said: “We know that the cost of insurance is a problem for young drivers.

“That is why we are making changes to the driving test to make sure it better prepares drivers for real life on the road, and introducing a new ‘pass plus’ qualification to help improve the skills and knowledge of young drivers so that insurers then have the confidence to offer them lower premiums.

“In addition, we have introduced a new offence of keeping an uninsured vehicle, helping us to take targeted action against uninsured driving, which contributes to higher premiums.”

So what is the answer? There is not a lot drivers can do to combat rising insurance costs. However, there are some things to lessen the cost of insurance, as we explain here on our guide to keeping down insurance costs.