Why is Car Insurance so expensive?

Once upon a time, a famous man named Oscar Wilde once spouted the most famous insurance quotes of all time: “Experience is one thing you can’t get for nothing”, and when it comes to experience behind the wheel, young drivers certainly pay for it”.

Most likely the highest costs of car insurance premiums of any age group, young drivers might feel a little scapegoated when it comes to the cost of cover. In actual truth, very recent research has told me that young drivers think the insurance industries are “thieves and day light robbers”

But if you think about it, it’s no lie that young drivers’ car insurance are so overpriced. You will never get cheap car insurance if you’ve just recently passed your driving test and below the age of 23, and the hindsight of it is that you can’t get more experience until you actually get on the roads – forcing young men to cough up for heavily priced insurance.

Things could potentially revolutionize in the future as the government could take steps to bring young drivers’ insurance costs down but in the interim, here’s a short briefing on why Insurance is so expensive for young drivers.

Statistics

In 2011, close to 1/5^th  of people killed or seriously injured on the UK’s roads were aged between 17 and 23 years old, according to the DfT.

Some other information I researched that I got back was that the DfT (Department for Transport) in 2011 found that on average an 18 year old driver is potentially three times as likely to be involved in a crash as someone who is older than the age of 40.

A few years ago, research by the DsA (Driving Standards Agency) found that one in five new drivers  are involved in some sort of accident within their first six to 12 months of driving, which is a staggeringly high statistic but is also a very flawed way of looking at it.

In my opinion I tend to find statistics like this drag on and you can look at statistics in many ways  like how old drivers are more likely to cause incidents for others by driving way under the average speed limit on a 30 mile an hour road but this goes heavily unnoticed.

It’s obvious though, that insurers charge younger drivers more for cover because there’s a greater chance they’ll have to pay out for a claim, and have a general perception of young drivers to be “fast and furious” type drivers, but they could potentially find many ways to alter this to reduce the premium .