Younger drivers spend as much as 18% of their salary on car insurance, a recent report has revealed.
The research, carried out by Towers Watson and Confused.com, has revealed that drivers aged 18-21 pay as much as £2,499 for comprehensive cover, while drivers aged 66-70 pay just £440.
The cost of insurance is likely to be higher for men, with cover for an 18-21 year old male averaging £3,635, while women in the same age group pay just £1,869. However, new legislation comes into force in December 2012 which will prevent insurance companies using gender as a factor when calculating premiums.
Gareth Kloet, Head of Car Insurance at Confused.com, said: "Each age group is costed by their statistical risk and this includes the value of the car itself, the experience levels of the driver, past history and where they live among other factors. Younger drivers are hit significantly harder than more experienced motorists but Confused.com is working hard to find ways to help young drivers bring down the costs, such as working with telematics providers who offer a discount for drivers who can prove that they are safe on the road."
Details of the average cost of car insurance for each age group can be found below:
Age of driver |
Average cost of car insurance |
|
17-20 |
£2,499 |
|
21-25 |
£1,411 |
|
26-30 |
£915 |
|
31-35 |
£679 |
|
36-40 |
£597 |
|
41-45 |
£674 |
|
46-50 |
£733 |
|
51-55 |
£680 |
|
56-60 |
£533 |
|
61-65 |
£446 |
|
66-70 |
£440 |
|
71+ |
£436 |
