Reducing the cost of insurance for young drivers

January 18, 2014, Paul Thompson

You’ve just passed you test and you’ve bought your first car. It’s a great feeling which is then dampened when you find out how much the insurance is going to cost you.

Don’t be tempted to get your parents to insure the vehicle for you and be a named driver, although this will reduce the cost of the insurance, you won’t gain a no-claims bonus and more importantly it’s illegal.

Here are some top tips on reducing the cost of insurance for young drivers

• Consider taking a Pass Plus course – Some insurance companies offer discounts or accelerated no claims bonus generation if you’ve completed a Pass Plus course. For more information on Pass Plus courses in Catterick Garrison and Richmond North Yorkshire Click here.
• Increase your voluntary excess – Some insurance companies have varying levels of voluntary excess on their policies. A voluntary excess it the amount you pay towards a claim in the event of an accident. The higher the voluntary excess you pay, the lower your premium will be.
• Shop around – Make sure you shop around for the best deal and utilise price comparison sites. Make sure you read exactly what each policy includes before committing as some of the cheaper policies may exclude motor legal insurance, uninsured driver cover and courtesy cars etc.
• Add an older named driver – Including an older named driver (maybe a parent or guardian) will help reduce the premium.
• Telematics or ‘Black Box’ Insurance – This involves having tracking equipment fitted to your car to monitor driving behaviour such as braking and acceleration, cornering, speed and what time of day the car is driven. This data is then used to calculate insurance premiums. Therefore the better/safer you drive, the lower your premium will be. Only a select number of insurance companies offer this though.

For more information on reducing the cost of insurance for young drivers check this article on moneysavingexpert.com