Younger drivers save a whole bunch after the car insurance "blip" – Liverpool Echo
The cost of car insurance for young people has fallen to its lowest level in six years due to an "outbreak".
Car insurance for 17-24 year olds is down £ 536 year over year due to lower fuel and insurance costs, results from Comparethemarket.com show.
On average, young drivers now pay £ 1,737 to keep a car on the road for the first year. This is the lowest annual operating cost since the insurance comparison website researched it in 2015.
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Insurance is 61% of that total at £ 1,062, but the cost is down £ 120 year-over-year.
However, the drop in prices is likely to be a rash in the context of the pandemic, and young drivers still have to pay the highest premiums of any age group.
The drop in premiums is likely due to how few people have driven since the pandemic began, consumer protection agency What?
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They said, "During the initial Covid-19 lockdown, some – if not all – insurers offered discounts to their customers to reflect the fact that they weren't traveling as much as they estimated when calculating their premiums had.
"We advised drivers to consider contacting their insurers to reduce their annual mileage estimates and receive a potential premium reduction or discount."
This year, young drivers are assured that they will drive an average of 3,541 miles, which, according to market comparisons, is more than 50% compared to 7,347 miles the previous year.
Halving that average distance will have contributed to the reduced insurance premiums and fuel costs that young drivers have experienced this year.
With the end of lockdown restrictions, however, drivers can expect these costs to rise again as more cars are back on the roads.