Car insurance premiums falling for young drivers

Car insurance premiums falling for young drivers 29th June 2015

Car insurance has long been the scourge of young drivers, with those who have recently passed their test being asked to fork out hundreds if not thousands of pounds to legally take their first car out on the road. 

However, despite this being the reality for youngsters for some years, new research has shown that it is now getting cheaper for younger motorists to insure their vehicles. 

Research conducted by Consumer Intelligence has shown that in the past year, those under the age of 25 have seen their cheapest insurance premiums fall by as much as 10.3 per cent. 

In the study, which was conducted between May 2014 and the same month this year, it was found that the cheapest insurance product for young people is now as low as £1,628 on average. While still very high, this is markedly lower than they have been facing across the last few years. 

When examined as a whole, the average premium for all British drivers actually increased across the course of the year. Consumer Intelligence said that the mean price paid climbed by a slight 0.3 per cent to end the year at £677. 

However, while this was more expensive than it had been the previous May, drivers are now paying less for their insurance than they were at the end of 2014, when premiums were some 1.1 per cent higher than they now are for all drivers on average, and 8.4 per cent more expensive than young drivers are now paying. 

Posted by Danielle Barge