Car insurance for young drivers jumps to nearly £1,800 a year
The cost of car insurance for young drivers has increased by 50% in the past year, according to new research from price comparison website Compare the Market.
Young motorists are having to pay up to £594 more for car insurance.
Motorists aged under 24 now have to pay up to £1,792 compared to £1,198 last year, according to the survey of 1,628 UK drivers.
Compare the Market said there are concerns that driving is becoming increasingly unaffordable for many young people, with 51% admitting they may no longer be able to afford to drive.
The surge in car insurance costs is reportedly due to inflation in repair costs, as a result of the ongoing impact of the cost of living crisis.
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Car insurance now makes up 63% of the overall running costs for the average young driver.
Total car running costs increased by 19% to £2,863 this year from £2,400 in 2022.
Fortunately for drivers, the cost of petrol has fallen, with a yearly drop of £147, from £982 to £836, for the average young motorist driving 6,500 miles per year, according to Compare the Market.
"Many young drivers will be worried about the soaring cost of car insurance in recent months. When combined with the wider cost of living crisis, more expensive insurance premiums could mean that driving becomes prohibitively expensive for lots of young people,” said Julie Daniels, motor insurance expert at Compare the Market
“For those looking to save money on their car insurance, it is a good idea to shop and compare policies to see if there is a cheaper deal available. Switching to a telematics policy may also be a more affordable option for some young motorists.”
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