Youthful Driver Insurance: Why is it More Expensive?

In the UK, young drivers are often charged more for insurance than other age groups. The reasons for this are many, but a major factor is because young drivers are statistically more likely to be involved in accidents. This article explores why younger drivers face higher insurance premiums and how they can reduce their costs.

Why is young driver insurance more expensive?

Young drivers are considered a higher risk by insurers because they lack experience on the road. According to the Department for Transport, drivers aged 17-19 only make up 1.5% of UK licence holders but are involved in 9% of fatal or serious accidents. Due to this increased risk, insurers are more likely to pay out on claims made by young drivers, which in turn increases the cost of premiums.

Additionally, younger drivers are more likely to make claims for smaller amounts due to incidents such as small bumps or scrapes. These relatively minor claims still add up when an insurer is calculating a driver’s risk profile.

Finally, younger drivers are more likely to modify their cars, increasing the risk of accidents. Insurers often charge higher premiums for modified cars, regardless of the age of the driver.

How can young drivers reduce their insurance costs?

While young drivers will typically pay more for insurance, there are a number of steps they can take to reduce their premiums:

1. Choose the right car

Insurers categorise cars based on their safety rating, cost to repair, and likelihood of theft. Young drivers should research the insurance group of a car before they buy it as this can have a significant effect on the cost of insurance.

2. Build a no-claims bonus

No-claims bonuses reward drivers who don’t make a claim on their insurance policy. Building up a no-claims bonus can result in significant savings on premiums over time.

3. Increase the excess

The excess is the amount the driver pays towards the cost of any claim. By choosing a higher excess, drivers can lower their premiums, although it’s important to bear in mind that they will need to pay more in the event of a claim.

4. Add a named driver

Adding a more experienced driver to the policy can reduce premiums for younger drivers. However, it’s important to ensure that the named driver is actually going to be using the car as a named driver just for the purpose of reducing the premium is known as ‘fronting’ and is illegal.

5. Pay annually

Many insurers offer discounts to drivers who pay their premiums annually, rather than monthly. Paying annually can save drivers a significant amount of money over the course of a policy.


What is the average cost of young driver insurance?
The average cost of car insurance for a 17-20 year old in the UK is around £2,000 per year. However, premiums can vary widely depending on a number of factors.
Why do young drivers pay more for insurance?
Young drivers pay more for insurance because they are statistically more likely to be involved in accidents, which makes them a higher risk to insure. Insurers pass this risk on to drivers through higher premiums.
What can young drivers do to reduce their insurance costs?
Young drivers can reduce their insurance costs by choosing the right car, building a no-claims bonus, increasing the excess, adding a named driver, and paying annually.
What is fronting?
Fronting is when a more experienced driver is named as the main driver on a policy to reduce the premium, even though the actual driver of the car is a younger, more inexperienced driver. This is illegal and can result in the policy being invalidated.
Do all insurance companies charge the same for young driver insurance?
No, insurance companies use different formulas to calculate premiums so costs can vary widely. It’s important for young drivers to shop around and compare prices to find the best deal.


While young drivers face higher insurance premiums than other age groups, there are steps they can take to reduce their costs. Researching the right car, building a no-claims bonus, increasing the excess, adding a named driver, and paying annually can all help to lower the cost of insurance for young drivers. It’s important to shop around and compare prices to find the best deal.