Rising Cost of Car Insurance for Newly-Passed 17-Year-Olds: Average Premium Hits £3,075
Are you a 17-year-old who has just passed your driving test? If so, you may be in for a shock when you see the cost of car insurance. According to data from Compare the Market, the average cost of car insurance for a 17-year-old has risen to £3,075, a significant increase from last year’s average of £2,004.
But don’t worry, you’re not alone in facing these high insurance costs. The research found that new drivers who are slightly older also face steep premiums, with 22-year-olds paying an average of £2,503 and 27-year-olds paying £1,986 for their first year of car insurance.
So why are insurance costs so high for new drivers? According to Julie Daniels, a motor insurance expert at Compare the Market, the increase in cost is due to the fact that new drivers are no longer being supervised by experienced drivers. However, there is some good news – after a year of driving experience, the cost of insurance typically drops by £771.
If the high cost of insurance is putting a strain on your finances, there are options available to help reduce your premiums. One option is to consider a telematics policy, which can lower your premium if you can prove that you are a safe driver.
The Association of British Insurers (ABI) also acknowledges the challenges that young drivers face when it comes to insurance costs. They recommend speaking to your insurer to explore options such as telematics or approved driving courses to help manage your insurance expenses.
While the cost of car insurance may be high for new drivers, it’s important to remember that insurance reflects the risk associated with driving. By taking steps to demonstrate that you are a safe and responsible driver, you may be able to lower your premiums over time.
So don’t let the high cost of insurance deter you from getting behind the wheel. With some careful planning and smart choices, you can navigate the world of car insurance as a new driver and enjoy the freedom of the open road.