This thread is all about young drivers car insurance rant. But really, why bother being able to pass your driving test at the age of 17 when insurance premiums for young drivers are sky high! How are young drivers supposed to be able to afford this?
Anyway, moving on to the point i'm trying to get across. I currently own a Volkswagen Polo 1litre and I'm currently paying £2400/year (£200/month) FOR A ONE LITRE, third party fire and theft. I pay the most for insurance out of all my friends, my postcode is a class c like all my friends (this hardly makes a difference, i've checked it against class a addresses. Class a was more expensive than mines) I have constantly searched high and low to try and reduce my premium and the lowest I could get without using this telematics technology was £2000+. I'm currently studying at College and struggle to afford this £200 a month. The only other way to get this cheap is by putting the car under your parents name, i.e they are the owner/registered keeper and main driver of the car which is of course illegal if you are the owner and main driver, no wonder there is a lot of insurance fraud. Just a little addition, big insurance company Aviva quotes me £5500 for insurance. I would be around £1200 for a telematics box but that would mean restricting me to 6000 miles, increasing my premium for driving at night, increasing my premium for accelerating hard/braking hard.
I have friends who are now 19 that when they passed their test had cars at 17 and only paid ~£1000 for insurance for their first car, it just shows you how times are changing and that insurance companies are getting away with it so they will bump up the premium.
Statistics APPARENTLY show that young drivers are the most at risk on the road. I TOTALLY disagree with this statement. In the news recently there was a young lad from Bromsgrove who was with Co-operative insurance (telematics technology insurance) and is now known to be 'one of the best young drivers in the country' and has only recently just passed his test. I'd also like to add that most of my friends that have currently passed their test have not crashed their cars except from two. Two out of about fifteen. NONE OF THEM HAVE MADE ANY INSURANCE CLAIMS. So how are these statistics adding up?
Insurance premiums are affected how other people drive and this really pisses me off. Why should we suffer for other peoples collisions? It also infuriates me that female drivers get cheaper insurance than males, don't say this has stopped because it hasn't. I've checked.
So insurance companies take into account:
How many collisions in your area
How many of the car you own have has been written off
How many thefts in your area
That's all that comes to mind just now. All these facts here can increase\decrease your premium.
I hope the government do something about this, insurance is a f****ing scam.
What are your opinions?
Last edited by davidelliott294; 29-05-2012 at 23:37.
This part of your post is rubbish. Just because you can deduce from statistics that young people are more of an insurance risk does not give you the right to tar them all with the same brush (or at least it shouldn't). The same applies to gender. Imagine the uproar if insurance companies started using race or nationality as a statistical factor in determining insurance premiums; just because - for instance - blacks happened to - statistically - cause more accidents than whites. Clearly - and rightfully so - there would be legal suits being filed all over the place. Age discrimination is equally flawed from a moral perspective, as is gender discrimination. That the law doesn't protect the younger drivers from these horrendous charges is only really because these younger drivers are comparatively vulnerable, and won't defend themselves legally. Insurance premiums should be based on the car you drive and your previous record behind the wheel.
(Original post by Sync)
The "innocent until proven guilty" idea also doesn't work as it would cause insurers to make an even larger underwriting loss. In 2011, for every £100 insurers took in premiums, they paid out £106 in claims
. They made an underwriting loss...so how much more can you expect them to reduce your premiums? In fact, if anything, insurance is underpriced...
How do you presume the government could step in:
"Excuse me Mr. Insurance Company, can you please reduce your premiums as the electorate appear to believe driving is a fundamental human right. I know you already pay out more than you take in, but there are children who find driving very expensive. Won't somebody please
think of the children"
That's a bit like asking the government to make sure that Apple reduce their prices because "I really want a new MacBook".
Government intervention in free markets doesn't work and invariably ends in tears.
As expensive as insurance is at that age, it isn't some sort of massive unfair conspiracy concocted by insurance companies and aimed at young people. The premiums are fair I'm afraid...just be reassured that it does get better as you get older!
If insurance companies are not able to cover their outgoings then they should increase their prices across the board to compensate - not discriminate based on some arbitrary boundaries.
Your condescending response to the expense of drivers is laughable. Are you a driver? Are you aware of how much our economy relies on cars to get people to work? Drivers are already taxed to hell. We even have to pay tax on our tax when we go to fuel up! Not to mention that our road tax is not being fully used to improve the roads, so it's essentially just a stealth tax that's going elsewhere. If everyone decided to stop driving tomorrow as a protest, I think you'll find the government would need to do something very rapidly to persuade them to start driving again, or the economy would collapse very rapidly. So people don't see it as a "right", they see it as fundamental to their daily life, and consequently fundamental to the country as a whole.
Last edited by Tycho; 30-05-2012 at 12:24.
Basically, Sync's right. Young, inexperienced drivers present a much greater risk for an insurance company, and so their insurance is expensive. Ability to pay or the relative size of the premium to the value of the car aren't factors they take into account. There are also a number of myths about insurance, such as being older automatically reduces your premium - it has an effect, but I'm nearly 25 and didn't see a big drop after the magical age of 21, and I doubt I'll see one at my next renewal (25 supposedly being the next milestone). In fact, my premium has been pretty steady the last couple of years, despite increasing experience and no claims bonus. Indeed past 60 or 65 premiums tend to go up again.
As for being innocent until proven guilty, you are - you don't even want to think what your premium will be like after you've had a major accident or a driving related conviction (other than maybe a minor speeding fine).
As for why insurance is so expensive at the moment, there's a number of well documented reasons, main ones being the rise in personal injury claims, greater use of courtesy cars, claims handling companies, and the stock market. Insurers' costs have been rising faster than premiums.
I'll also say now I doubt any 18 year old driver fresh from the test centre will be saying in 10 years time they'd be happy to see their premiums treble or worse to subsidise the new crop of 18 year olds
Last edited by CurlyBen; 31-05-2012 at 01:13.