Much like the current shambles that is the commercial van insurance market, personal vehicle insurance in the UK is a right mess, especially for younger drivers: a new research study recently found that younger drivers pay nearly 6 times as much as pensioners do when it comes to their insurance cover.
Motorists between the ages of 18 and 21 were found to pay an average of £2,499 annually for comprehensive car insurance. This works out to almost one-fifth of the typical young Brit’s yearly salary.
However, pensioners are given massive discounts on their car insurance. Older drivers pay around £440 a year on average due to the fact that insurers consider them to be inherently safer drivers, as they tend to drive much slower and usually don’t take long trips by car.
It’s not so bad being adult to middle-aged either, the new research study found. Those between 36 and 50 years of age anywhere from £600 to £750 a year for their personal insurance, depending on their personal circumstances.
Personal circumstances are taken into consideration, industry experts say, as personal insurance providers, much like their commercial insurance counterparts, will use every last bit of information they can extract from a customer to raise rates in order to cover their risk. Statistical analysis incorporates factors such as how experienced the driver is, whether or not they have a clean driving record, where they live, and how expensive it would be to repair or replace the vehicle itself in the event of theft or an accident.