Car Insurance For 17-Year-Olds

But there are ways you can find the best insurance for you and minimise the cost of expensive premiums. We cover this below. First, here is what our spot check found to be the most suitable insurers for three different 17-year-old driver profiles – find out more in our methodology.

We carried out a general quote check (19 July 2023) at our car insurance comparison service for three driver profiles with three different cars. All are 17 years of age, live with their parents and have carried a licence for five months. Here’s some more detailed information on each.

Driver one: is insuring a Fiat 500 Lounge Twinair 105 (2018, 875 cc petrol, three-door, manual) with a market value of £5,000. They are a full-time student who lives in Brentwood, Essex and uses the car for social purposes only. This 17-year-old drives around 5,000 miles a year on average.

Driver two: is insuring a Ford Fiesta ZETEC 79 (2017, 999 cc Petrol, three-door, manual) with a market value of £7,000. This 17-year-old is a coffee shop assistant living in Blackburn, Lancashire and uses the car for social purposes only. They drive around 4,000 miles a year on average.

Driver three: is insuring a Mini Cooper (2016, 1499 cc Petrol, three-door, manual) with a market value of £8,000. They live in Dundee, Scotland, and use the car for social and commuting purposes. This 17-year-old drives around 10,000 miles a year on average.

In all cases, we’ve assumed that the vehicle is parked on the road at the driver’s main address, has had no modifications and is without a dashcam. No other drivers are named on the policy.

We searched for fully comprehensive pay-monthly insurance entering voluntary excess of £250.

The gender of the driver has not been specified. This is because an EU Directive back in December 2012, ruled that UK insurers must charge the same price to men and women for the same insurance cover.

All results were correct at the time of writing but premiums can change frequently according to market conditions – even for the same driver. Our research is for indicative purposes only.

Car insurance costs a lot for 17-year-olds, at least compared to drivers with more years’ of driving experience.

On average, drivers aged 17 and 18 will pay 75% more than the national average premium, according to data from insurer Admiral, with an average premium cost of £1,414.

The actual sum you’ll pay is unique to you and depends on a range of factors including the car you drive, where you live, where you keep the car when you’re not driving and what type of cover you need, among other things.

Insurers set premiums according to how likely you are to make a claim. Statistics show young drivers are more likely to be involved in accidents and to make claims, so insurers charge these drivers more for cover to offset the extra risk.

As a 17-year-old you’ll be offered the same types of car insurance as older drivers. They fall into three categories of cover:

Third-party only – This type of insurance covers you against the cost of damage caused to another person, their car and their property should you get into an accident for which you are to blame (this includes your passengers).

However, you will not be covered for damage to you or your own vehicle. This is the minimum level of cover you are required to have by law. Remember that it’s illegal to drive with no insurance.

Third-party, fire and theft (TPFT) – This type of insurance covers the policyholder for damage they cause to another vehicle or another person (including their own passengers). It will also cover the cost if the car is stolen, damaged during an attempted theft, or if it is damaged by fire.

Fully comprehensive – This type of car insurance covers damage caused to another person, their car and other property as well as your own repairs and medical costs should you be responsible for an accident.

Statistically, drivers who take out third-party only or TPFT policies are at higher risk of claiming, which has caused insurers to bump up premiums on those policies, so don’t assume that fully comprehensive will always be the most expensive.

Car insurers want to know about you (your age, occupation, address, and driving history, for example), your car (its age, make and model), and how you intend to use it (such as for social use, or for a daily commute).

All this information will determine how much risk you carry and how much premium you will be charged as a result.

Insurers charge 17-year-olds higher premiums for being new to the road and a proven higher risk. But there are ways you can cut the costs:

• Choose your car strategically – insurers group cars based on their size, performance and safety, among other factors. The fastest or flashiest can be the most expensive to insure
• Keep your car safe – the safer your car is, the better. Consider getting a car with enhanced safety and security devices, such as automatic emergency braking and a tracking device. Also, keep your car parked off the road, in a garage or on a driveway, if you can
• Offer to pay more in voluntary excess if you can – your excess is an amount you pay towards the cost of any claim you make. Contributing more in excess suggests will be rewarded with a lower premium
• Avoid modifying your car – modifying your car essentially changes the car specification. The modified parts could be hard to find, in the event they ever need replacing. Also, making your car speedier can increase risk, which can also bump up your premiums
• Consider telematics or black box insurance – if you have a black box installed in your car or an app on your phone, you may be offered lower premiums in return for proven responsible driving.

A no-claims discount can reduce your premiums if you don’t make a claim during the 12-month insurance period – and the discount increases each year you don’t make a claim.

The full NCD available varies according to the insurer, but can reach up to 70% after five years without a claim.

You will be able to drive someone else’s car if your insurance includes a DOC (drive other cars) clause, but insurers are unlikely to offer this to drivers under the age of 25.

Alternatively, you can be added as a named driver to someone else’s policy, but bear in mind that their insurance will be affected by any claims you make, including their NCD.

Another option is to take out temporary car insurance of typically up to 28 days. Insurers will state a lower and upper age limit. The cover can be set up in a matter of minutes, won’t affect the car owner’s own insurance policy and can be purchased multiple times.

In addition to car insurance, there are several other costs you’ll need to budget for:

• Car tax (officially known as vehicle excise duty) – car tax must be paid on an annual basis for all cars used and parked on UK roads. The amount payable depends on the model of your car and when it was registered
• MOT you will need to pay for a compulsory, annual MOT (Ministry of Transport) test for a car that’s more than three years old to make sure it is safe to drive and environmentally-friendly. Reckon on paying £45 – £60, depending on the garage
• Servicing you should get your car checked every now and again to make sure everything is in working order and to spot problems early. Servicing is more thorough than an MOT and costs more, so you could face a bill for several hundred pounds
• Minor repairs you may not want to claim on your insurance for minor repairs, perhaps so as not to lose your NCD or stump up your excess, in which case you will have to pay for them upfront.

In general, cars that are less valuable, less powerful and have more security features are the cheapest cars to insure for 17-year-olds, or any driver.

Cars are organised into groups for insurance purposes. There are 50 groups and it is likely to be much cheaper for a 17-year old driver to insure a car in Group 1 than one from a higher group.

Below are the top 10 cheapest cars for young drivers (17-25 years) to insure according to motor insurer Admiral. The average comprehensive insurance premium quote for drivers aged 17-25 is given in brackets:

1. Ford Puma (£665)
2. Vauxhall Mokka (£685)
3. Skoda Citigo (£691)
4. Peugeot 108 (£727)
5. Volkswagen Up (£743)
6. Volkswagen Tiguan (£769)
7. Fiat Panda (£805)
8. Suzuki Alto (£816)
9. Hyundai i10 (£825)
10. Citroen DS3 (£830)

Lots of drivers spread the cost of their insurance over the year, paying in 12 monthly instalments. There’s a premium to pay for doing so, but it can make cover more affordable.

Responsible use of a 0% purchase credit card is another way to spread the cost, and there’s no premium to pay. However, mishandling credit can make it more difficult to afford cover in future.

Excess is a contribution you make to get a car insurance claim started. There’s compulsory excess, which is what a policy charges in excess, and voluntary excess, which is the sum you agree to pay on top of compulsory excess to make a claim.

Agreeing to a higher voluntary excess figure can bring your premiums down, but if you can’t afford to pay it in the event of a claim, you’ll have to pay for any damage yourself. You should choose a policy with a combined compulsory and voluntary excess sum that you can realistically afford.

The Driving Standards Agency’s Pass Plus course can help you to lower your premiums but only with insurers that recognise and incentivise it. Discounts or not, advanced driving courses can make you a better driver and could reduce your chances of having to make a claim.