Young drivers usually have higher car insurance than older or experienced drivers. People who have passed their driving tests recently are all familiar with higher car insurance premiums. Higher premiums are mainly due to the increased risk of accidents on roads.
Many people say that car insurance goes down at the age of 25, meaning they have to pay less for their policies from that time. However, this is a misconception. There is no specific age when the car insurance premium goes down because it varies from company-to- company. Each company has its own criteria for increasing and decreasing premiums.
Age and Car Insurance – What are Facts?
There is no specific age rule that lets you know when the car insurance premium decreases. However, most insurance agents say that people can expect to pay more for their car insurance when they are under the age of 25. Once you are over 25, you may find that your car insurance price decreases. However, this depends on your insurance provider.
Premium rates in the UK are more expensive for young drivers. It means people between the ages of 30 and 40 will pay more than those who are 40 to 50 years old. Drivers aged 50-60 usually pay the lowest premiums because they have more experience on roads and do not get involved in accidents more often.
On the other hand, once people are above the age of 60, they tend to pay more. Although this does not mean a drastic increase, people at 60 and above have premium rates equivalent to drivers between 40 and 50.
Moreover, the increase and decrease of premiums depend on the number of claims you have made within the previous 3-5 years. For example, if you have been driving your car for a few years and building-up on the “NO Claims Bonus,” your insurance provider will steadily decrease your premiums from time to time.
How to Get Lower Premiums?
There are several ways young drivers can cut the cost of premiums. For example, you can store your vehicle in a garage at night instead of parking it on the road to increase its security. Besides age and experience, the insurance company also considers the car’s security methods.
If you do this for some time, you can decrease your premiums. Another way to lower your premiums is to look for alternative options, such as telematics or black box insurance. It requires you to install a device in your car. The device monitors driving safety, meaning if you drive safely on the road, you can adjust the premiums accordingly.
Moreover, shop around to find inexpensive premium rates. Some insurance companies in the UK provide reasonable rates to young drivers. Get quotes from multiple companies and compare them to choose the one that best fits your needs.
Final Words
Car insurance rates start to fall with increasing driving experience, fewer claims in the past 3-5 years, and low accident risks. Remember, even if you have 20 years of driving experience but have been making claims after claims, don’t expect to see a decrease in your premium. Likewise, if you are 35 years old, building-up on your “No Claim Bonus,” and follow the rules, you will see a steady decrease in your premiums.
