Saving money on young driver insurance may seem like a contradiction in terms – cover is notoriously expensive for young and inexperienced drivers, with some insurers simply decline the business altogether.
Wariness on the part of many insurers boils down to their assessment that a younger driver represents a greater risk. Insurance is all about risk, of course, and these insurers take the view that young drivers are more likely to be involved in accidents and therefore face claims from third parties or make their own claims for accidental damage.
There are other insurers, however, prepared to adopt an altogether more relaxed attitude and positively welcome proposals for cover from younger drivers.
At GSI Insurance, for instance, we take the view that younger people also need to have the opportunity of the freedom and independence that running your own car provides. Therefore, we are able to offer policies specifically tailored to young drivers – at a cost that is unlikely to break the meagre bank balances of many such youngsters.
Money saving tips
Finding a specialist insurance provider, however, may be just the beginning of your search. There are a number of ways you might still save money on the cost of your premiums. A selection of such tips may be found on the website of the Money Saving Expert and include the following:
- remember, for instance, that the car you choose may affect the price you have to pay for insuring a vehicle in a more expensive group;
- although there may be room for manoeuvre when it comes to choosing the appropriate level of insurance, bear in mind that third party cover only is not always or necessarily the cheapest;
- any insurance offered to a younger driver is likely to attract a high compulsory excess but you might also want to consider taking on an additional voluntary excess in order to reduce the cost of premiums – remembering, though, that in the event of a claim you need to be able to afford to contribute the whole of the excess to which you have agreed;
- other ways of minimising the risks that an insurer needs to assume also include your taking greater responsibility and might involve the fitting of intruder alarms or immobilisation devices and safe off-street parking for your car;
- in your quite understandable quest to cut the cost of motor insurance premiums, you must nevertheless avoid any temptation to lie or to be otherwise economical with the truth when it comes to making your application;
- this extends to disclosing whether you are the main driver and not trying to hide behind a policy naming an experience, more mature driver as the principal user – an insurance fraud known as fronting and one that is likely to render your policy entirely null and void.
There is no escaping the fact that young driver insurance is likely to prove more difficult to arrange and to cost more – at least until you have demonstrated that you are a reliable driver through several claims-free years. But all is not lost and there are some specialist insurance providers who make a particular point of arranging such cover – at a competitive price.
Further reading: Young Driver Insurance Guide.