been hunting for car insurance for your teenager? Yes, this won’t surprise you then: the UK’S youngest drivers are paying 149% more on their car insurance than the national average.
A survey of 750 drivers aged between 17-24, commissioned for The Young Driver Rip-Off Report, has been released to mark the launch of car insurance app, honcho.
The report reveals that young drivers are paying a staggering £1,176.80 on their annual insurance premiums – compared to the national average of £471*.
The research shows that the average 17-24 year old earns only £77.99 more than this per month, and it’s therefore unsurprising that more than 1 in 3 have to turn to the bank of mum and dad for help, in order to pay some or all of their premiums.
‘With the fleet car insurance you’ll get insured for your multiple vehicles including cars, vans. bus or taxis. This is a big advantage when you have a business that involves vehicles.’
Additionally, almost half (42%) admitted they have downgraded or been tempted to downgrade their cover to a less comprehensive cover, such as third party, fire and theft, in order to bring their premium down.
Gavin Sewell, CEO of honcho, comments: “Young drivers have been getting ripped off on their car insurance for far too long. Many 17-24 year olds are already faced with expensive university fees and living costs or are starting out in the world of work and trying to make ends meet on a young person’s salary. With so many expenses to juggle the last thing young people need is to be faced with extortionate insurance premiums in order to be on the roads.
“However, the implications of higher insurance premiums for the younger generation go way beyond the purse strings. Many youngsters rely on being able to drive to get to and from their place of work or to meet with peers to socialise. It’s not right that they should be penalised for their age, but especially at a time when mobility is so key in their development.
“A significant percentage are also being forced to put themselves at greater risk by taking out less comprehensive cover, which could come around to sting them when trying to make a claim.”
honcho is the UK’s first online reverse-auction marketplace for financial services, which is revolutionising the way people buy car insurance, saving them time and money.
A reverse-auction is where consumers receive bids and become the focus of the auction. Companies compete against each other to win consumers’ custom, which is how honcho thinks it should be.
honcho is free to download from both the Apple App Store and the Google Play Store. To find out more about honcho, please visit gethoncho.com.
30 December 2020
Hi Guys I was reading about the young drivers being ripped off,
My Son recently passed his test and I was going to put him on my insurance as a named driver after quotes of £2000+ I have not been able to do it.
This has left everyone in the house upset and infuriated but I do not have that sort of money nor does he as he’s at University.
My son also holds a Motor Sport licence and is totally capable of driving my ford focus diesel around without killing everyone on the road.
Not sure where to turn now I now understand why some kids drive with no insurance (This i would never condone)but totally understandable,
At my wits end to be honest if you are able to point me in a direction I would appreciate it,
I told him to set up a fund me page it didn’t go down well,
I can only imagine that there is alot of young drivers and their parents in exactly the same position.
This is a rip off that we should no longer tolerate driving experience makes the better driver..
Really feel strongly about this now and a campaign I am seriously considering.
Thanks for your time
Mr Peter Foster.