Young drivers’ guide to car insurance in the UK

Young driver insurance

If you’re a young driver looking for car insurance, it isn’t going to be cheap – whether you’ve just passed your test or not.

According to Uswitch, young drivers tend to pay more for their car insurance than their more experienced counterparts. But how much does the amount a young driver can expect to pay change as they get older? 

17-year-olds are quoted less on their car insurance than 18-year-olds. Young drivers who are 18 were quoted, on average, around £100 more than drivers who are a year younger.

It’s frustrating, but there are some things you can do to reduce your young driver car insurance quote.

Why does age affect price?

It all comes down to risk. Historical claim statistics show young drivers (17-24 years old) are at a higher risk of crashing than older, more experienced drivers.

That’s not to say you’re a risky driver. You could be the most careful, reliable and responsible young driver out there. It’s just that the stats are stacked against you. And, as a result, car insurance for young drivers in the UK is always going to be more expensive.

The same goes for new driver car insurance. As well as being deemed more likely to be in an accident, new drivers also suffer from not having had the chance to build up a no claims discount.

How to reduce car insurance cost for young drivers

Being a safe driver is key to reducing your young driver insurance quotes in the long term. But there’s other things you can try now to get a lower price:

1. Don’t assume third party is lowest cost
   Car insurance for young people is complicated, as is how it’s calculated. It pays to do your research and get quotes for fully comprehensive, third party and third-party fire and theft.
    
2. Choose a car in a low insurance group

   Looking for a car that’ll be cheap to insure? Each year AutoExpress compile a list of the most affordable cars. The cheapest cars to insure in the UK in 2024 are:

   1. Hyundai i10 (Group 2)
   2. Volkswagen up! (Group 2)
   3. Kia Picanto (Group 3)
   4. SEAT Ibiza (Group 3)
   5. Volkswagen Polo (Group 3)
   6. Skoda Fabia (Group 4)
   7. Toyota Aygo X (Group 5)
   8. MG3 (Group 7)
   9. Fiat Panda (Group 8)
   10. Renault Captur (Group 8)

3. Add a low-risk second driver to your policy
   Does adding a named driver reduce insurance? Yes, it can. An older, more experienced driver would be ideal – asking your parents is a good place to start. If not, ask your  aunt, uncle or someone else relatively sensible.
    
4. Build a no claims discount
   It won’t help you right now, but if you drive safely and keep your licence clean, you could get a discount when you renew. Some companies (including Sainsbury’s Bank) let you build a no claims discount as a named driver and then transfer the discount when you take out your own policy with them. Look for a quote that will give you cheaper car insurance for young drivers with no claims bonus.
    
5. Young driver excess car insurance
   If you agree to pay a higher voluntary excess, your monthly premiums may be cheaper. But bear in mind that you’ll have to pay more if you ever need to make a claim. And, as a young driver your compulsory excess could be quite high to begin with. 
    
6. Black box insurance for young drivers
   Telematics is a policy which prices your premiums on how you drive. The device, known as a black box, is installed in your car and tracks your activity. If you're a good driver you can save money. If you're not, your premiums could increase. This isn’t something we offer, but there are some insurers that do.
    
7. Pay in one lump sum
   Most insurers add on interest when you pay your car insurance in monthly instalments. If you can afford to pay in one go and it will reduce your young driver insurance quote.
    
8. Soup-up your security
   If you make your car more secure, insurers will see it as less of a risk. Consider adding an alarm and immobiliser system. Parking it in a garage instead of on the street can also help.

It’s also worth remembering a few other key things. Check multi-car insurance options with a family member and be honest, don’t exaggerate about anything – it’s not worth it in the long run.