Beyond the driving test

4 myths about young driver insurance

1. All young driver insurance policies cost the earth and you may as well give up

   Don't give up! You may have started to consider a second mortgage on the house and pondered how much your great-grandmother's silver would fetch on Antiques Road Show, but there is hope.

   Telematics insurance lets a young driver pay for their insurance how they actually drive - not how the scary statistics say they might drive. The black box in their car sends data to us, which we use to give the driver feedback on their speed, acceleration, braking and cornering. If all goes well and their driving score out of 100 is in the green, they'll be on track for a discount of up to 21% off their premium.

   The average young driver saves £500 when they go for an ingenie policy. 70% of our customers have then gone on to receive a discount for good driving, so it's clearly not a massive ask! We also see our average driver's premium come down by around 45% when they renew for a second year.

    
   

   Knowing that the price would drop after driving well was a real incentive for me. I’ve had a discount at every stage possible.

   
   Danielle, 18
   £130 discount after just 3 months

   Find out more about what our customers think of black box insurance.

2. Cheapest is best

Your son or daughter's insurance is going to cost more than your insurance, there's no 5 ways about it. But jumping at the lowest quote you can find could end up costing more money in the long run.

Not all policies are created equally. Sure, this one from LowCostCarz.com may be £1,000 lower than anything else you've seen, but there's probably a reason for that. Comparison sites have changed the way we shop for insurance but not always for the best.

Be fussy

I'm going to add to your dismay: not all telematics policies were born equal either. While all black box insurers promise discounts in exchange for good driving, their approach is what matters. For example, we focus on feedback and give extra support to the drivers we can see need more help from their driving data. It’s helped us lower our community’s risk of crashing by 40%.

Make sure you check if ongoing education is part of the deal as well as what kind of discount is on the table. Your child also needs to comfortable with what they're signing up for - don't gleefully choose a restrictive policy they're going to want to rebel against. That does rather negate the positives of telematics insurance.

No one company is going to be the cheapest (or most suitable) for everyone, so be open minded and consider smaller name brands.

3. It's wise to add a young driver on a parent's policy

   For now, maybe, it will save you a buck. But your child won't be building up their own no claims discount, which can save a lot of money over the years.

   However, if you're occasionally driving their car, you should add yourself as a named driver. Provided your licence is clean, you can usually do this for a low cost - and sometimes it can even bring down the price of your child's insurance.

4. Getting them their own car but putting yourself as the main driver will save money

   This is commonly known as fronting. If you tell an insurer that your child isn't the main driver when they actually are, you're breaking the law.

   You'd save some cash - until the time comes when your little darling backs their car into your garden wall and you need to make a claim.

   Not only does fronting mean the insurance policy is invalid (which is illegal in itself) and your insurer would probably refuse your claim; you'd also be risking a fraud charge. And they're not cheap.