Young drivers are viewed as being a high risk to car insurers. Their youth, inexperience behind the wheel and historical track record of claims as an age group means that premium costs for young drivers car insurance can go through the roof.
Many young people pass their driving test, buy a car and then find that they can’t afford to insure themselves in any case. Are there ways that they can lower their costs? What can they do to try and make their premiums more affordable?
- 1 Get Cheaper Car Insurance by Choosing the Right Kind of Cover
- 2 How to Get Cheap Car Insurance for Females
Get Cheaper Car Insurance by Choosing the Right Kind of Cover
A lot of young people have no choice but to opt for the basics when it comes to buying car insurance. Basically, costs of premiums will rise according to how much cover is given. So, a third party policy will be the cheapest, followed by third party fire and theft. The most expensive cover, fully comprehensive, will be beyond the pockets of most young people.
Lower Car Insurance Costs by Buying the Right Car
The higher-spec a car is, the more it will cost the average young person in insurance terms. Those looking to buy a car may well want to check out car insurance sites to assess the differences in premium costs before choosing a model. Buying a lower spec or different model could shave some costs off their premiums.
Go Back to School to Get Car Insurance Discounts
The thing that worries insurers most about young drivers is their inexperience. This makes them more prone to having accidents. Those that take a Driving Standards Agency Pass Plus course will be taught some useful additional driving skills. Some insurers will see this as a positive and will give discounts for Pass Plus holders.
Look at Specialist Car Insurance for Young Drivers
There are signs that parts of the insurance industry are trying to make it easier for young people to cut the costs of their car insurance. There are now, for example, some specialist policies that may be worth considering as they offer discounts for young people who agree to certain conditions that make them less of an insurance risk.
This kind of system works by using a GPS tracking device which the insurance company has fixed to the vehicle. To get the discount, the young driver has to agree not to drive during certain night-time hours. These are the red flag accident hours for the young drivers age group. They can, of course, drive during these hours if they then wish but they will have to pay a one-off additional fee every time they are tracked doing so.
Shop Around for Cheap Young Drivers Insurance
It is still always worth shopping around to compare costs when buying car insurance. Given the high costs that many young drivers will face, this makes a cost comparison even more vital. Using an online broker to source quotes can also make this quick and painless.
Fronting is Not a Good Way to Get Cheap Car Insurance
Finally, it’s worth noting that there is one thing not to do here. It has recently become common for a parent or other older person to take out insurance on a car owned by a young person to get cheaper cover.
Known as fronting, this involves the older person fraudulently claiming that they are the car’s main driver to get a lower premium for the real owner/driver. If caught out (and car insurance companies are very good at finding this out) then both parties could be subject to costs, fines, bans and future problems getting any car insurance at all.
How to Get Cheap Car Insurance for Females
Taking out car or motor insurance coverage is a legal requirement under the Road Traffic Act for any person who intends to operate a motor vehicle. It is not a purchase that many lady drivers like making, so finding a way of getting cheap car insurance for females is high on the priority list.
Why is There Cheap Car Insurance for Females
AA car insurance has calculated that a 17-year-old male driving a three-year-old Ford Focus CL 1.4-litre five-door in Cambridge costs £3,462. However, the same quote for a 17-year-old female driver is just £1,810. At the age of 21, men are charged £565 and women £333.
Get Cheap Car Insurance for Females From Specialist Insurers
Underwriters have determined that claims by lady drivers are lower than that of men. Simon Douglas, the AA Insurance director, stated that the average claim for a 21-year-old male driver was £4,500. However, it was just £2,700 for a lady driver. Several specialist insurers, such as girlmotor.com and sheilaswheels.com, have emerged offering very cheap car insurance for women.
Ways to Achieve Cheap Car Insurance for Females
- Insurance deductible. Increasing the amount paid before a policy pays out is an excellent way for women drivers to reduce the cost of insuring their car.
- Credit history. Providers have identified a correlation between those who are careful with credit and those who are careful in their car. Maintaining a good credit rating is important.
- Annual payment. Whilst paying monthly is more convenient, most insurers will offer discounts on women’s car insurance to those who choose to pay annually. This is due to a reduction in administrative costs.
- Combined insurance. Discounts are offered by insurers for taking out multiple forms of coverage.
- Car alarm. The installation of an alarm system reduces the risk of theft. This normally means that premiums are reduced because there are fewer claims.
- Advanced driving course. Many insurers will charge less for coverage when the advanced drivers’ course has been passed. This is again due to fewer accidents and claims.
- Careful driving. Driving carefully and parking in safer spots will mean fewer claims.
It is possible to get cheap car insurance for females from specialist providers. Lady drivers are also able to realize further cost savings by employing one or more of the above strategies. Combining these simple, yet effective, ideas will help to achieve very cheap car insurance for women.