It has been found that young motorists are likely to see the cost of young drivers insurance increase by far more than the rate of inflation.

Research carried out by young drivers insurance provider The Co-operative Insurance shows that premiums for young drivers have rocketed by almost four times the rate of inflation during 2008.

The figures show that young drivers insurance premiums rose by 11.5% during 2008 for drivers under 25, whilst the rate of inflation was only 3.1% The average cost of car insurance for drivers under 25 is now £1,463.

The Co-operative Insurance’s research also reveals that the number of uninsured drivers on the roads in the UK is on the increase.

The Co-operative Insurance director of general insurance, David Neave said: “With this continuing trend, which directly reflects the increased risk posed by young drivers, a whole generation could become uninsurable, adding to the already growing problem in the UK.”

However, the Environmental Transport Association (ETA) believes younger motorists could find cheaper young drivers insurance. An ETA spokesperson said: “Certain policies now offer young drivers cheaper premiums if they agree to avoid driving late at night, which is when most of their collisions take place.”

Young Drivers Insurance always includes some exclusions and limitations which should be checked carefully. If in doubt you should check your car insurance policy wording carefully.

Visit www.car-insuranceuk.com regularly for the latest car insurance news and links to young drivers insurance providers. Please follow the links on this page to obtain your own personalised young drivers insurance quote and make your own comparison.

© February 2009