Statistically, it has been proven that younger drivers are more likely to make a claim on their insurance than older drivers. For this reason their car insurance premiums tend to be higher. Accident figures for young drivers are not encouraging. Research by BRAKE, the road safety charity, found that while only one in eight drivers on Britain 's roads where under the age of 25, a quarter of drivers killed in traffic collisions were in this age group. In fact, research by the insurance industry has shown that teenage drivers are 10 times more likely to be killed or seriously injured while driving than motorists over 40. While serious accidents and road deaths in Britain are on the decline overall, they are going up amongst young people. From the perspective of car insurance companies, young drivers are not a safe bet.

According to some reports, young drivers are paying up to 132% more than the national average on their car insurance. That works out to about £545 million extra paid out to insurance companies. Young drivers present a higher risk for insurers and this is of course reflected in their premiums.

It is young males in particular who are most likely to claim on their insurance (and as a result pay higher premiums than young women), with one in three writing off a car in the first year of driving. Many are stereotyped as ‘boy-racers' – driving around at excessive speeds in modified cars. This, unfortunately, is not so far from the truth. The Association of British Insurers conducted a survey into the risk of accidents involving young drivers and discovered that young, usually male, drivers were more likely to have accidents driving at speed or around bends on weekend nights without any other cars being involved, but while carrying passengers. It was also found that young males were more frequently at fault for their accidents than female or older drivers.

If you don't want to be tarred with the same brush, then it may be worthwhile taking the Driving Standards Agency's Pass Plus course. The intensive course helps new drivers gain extra experience and will certainly show you to be a more responsible driver in the eyes of the insurer. Many car insurance companies will offer discounts of up to 35% to those who have passed the course.

There are other steps you can take to lower your car insurance premium. Consider carefully the car you buy. Many youngsters go for older cars as they are cheaper, but many of these tend to have bigger engines and lack the extras found in modern cars, such as power steering and anti-lock brakes. Try to choose a small car with a low engine size as this will lower your premium. If your car is old and not worth very much, it might be an idea to purchase third party insurance – it is the most basic insurance available and does not cover theft or damage to your car. There is little point having fully comprehensive if your car only cost £300. Avoid making modifications to your car. They will increase the cost of repairs/replacements and so increase your insurance premium. Always check with your insurance company before modifying your car as some alterations can invalidate your insurance policy.

Always shop around for your car insurance. By comparing quotes, you could make considerable savings, particularly if you are a young driver. Buying online will usually get you further discounts on your car insurance. Paying a higher excess will also lower your premium. However, if you are young and don't have much money, you should consider whether or not you could afford an excess of £600 in the event of an accident. Paying your premium in one lump some is often cheaper than paying in instalments. If you pay monthly, your insurance company may charge you interest. Again, how you choose to pay will depend on your financial situation.

Some young drivers are tempted to put their car insurance policy in their parent's name with themselves as a named driver – often a cheaper option. This is fine if you only drive the car occasionally, however, if it is you, and not your parent, who is the main driver, what you are doing is in fact illegal. The practice is known as ‘fronting' and if you are found out your insurer may refuse to pay out on a claim. You could then be treated as uninsured and end up with a fine of hundreds of pounds and six penalty points on your licence (resulting in an automatic ban if you are a new driver). Your parent could loose their no claims discount and there may even be a charge of fraud to answer. A far better option would be to add a named older driver to your car insurance policy. This can lower your premium, while having your own policy will allow you to start earning your no claims discount.