Young drivers facing high costs.

Speed cameras
*There are 33.8 million drivers in the UK (Census data, 2001) and according to the YouGov findings 16 per cent of all motorists hold penalty points on their licence and of these three per cent are currently three points away from losing their licence and 14 per cent are six points away from losing their licence. Direct Line research reveals that despite 93 per cent of motorists claiming they have a sound knowledge of speed limits, in reality only half of all UK motorists are unable to correctly identify the limit on a dual carriageway (70mph). Read more...

No Claims Discount
Female, 38, been driving on husband’s policy for seven years would get a 65% discount. Named drivers of any age can benefit from the policy and it is expected to be of particular interest to young drivers who often struggle to take out their first insurance and consequently drive their parents car for the first two or three years of driving meaning with any other insurer they are simply postponing the problem. Read more..

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Young Drivers Facing High Costs.

Young drivers facing high costs.

High costs of driving causes downward trend in young drivers getting their own wheels. 26/05/2006 - DirectLine Car Insurance
It’s not just the housing market that young people are being priced out of - the car-ladder is also proving to be a struggle for Britain’s younger generation, according to Direct Line.
The spiralling cost of motoring is one of the main reasons four in 10 (43 per cent) non-driving 18-25 year olds are without a licence and a quarter of drivers who have passed their test do not have their own set of wheels – with the majority of these blaming the high costs.
With the cost of buying and running a car nearing £5,700* in its first year, joining the car-ladder is out of reach for many wannabe motorists, with university costs (21 per cent of those who can drive but do not own a car), debt (12 per cent) and low wages (42 per cent) as the top three unavoidable expenses preventing them from getting a car of their own.

Wasting money
Today’s homeowners are still paying the price for design fads from previous decades, with pebble-dash and stone-cladding both estimated to reduce the value of a property by up to 5 per cent. Commenting on the findings, Direct Line Home Insurance Spokesperson Simon Ziviani said:. Read more...

High costs of car-ownership are also causing young drivers to consider alternative ways to buy their first motor. One in 10 (11 per cent) have considered buying a vehicle with friends, with a quarter (25 per cent) agreeing it’s a good way to share costs. An eco-friendly 45 per cent of these youngsters also believe buying a car with friends is better for the environment. Statistics reveal that over 20,000 ** 18-25 year olds currently share a car with friends.
The first ever Young Drivers’ Poll from Direct Line, the UK’s largest private car insurer, reveals that despite the high cost of driving, three quarters of young drivers now own a car, with many (25 per cent) of these being given one by their parents to help them get onto the car-ladder.
As for those whose parents haven’t supplied them with a car one in 10 (eight per cent) have financed their motor by paying for it on credit, 13 per cent have taken out a loan from a bank and 10 per cent have borrowed money from a family member or friend.
Emma Holyer, Direct Line’s Motor spokesperson, said:

“It’s expensive for anyone getting on the road for the first time and we see many youngsters driving their parents car for the first few years. So to help young drivers Direct Line now allows named drivers on all policies to build up their own No Claims Discount (NCD) which should help to reduce the cost of insurance when they take a policy out in their own name meaning insurance costs are one less thing for them to worry about.”
And it’s not just financial pressure that young drivers who have access to a car face - 17 per cent feel required to run a taxi service for their non-driving friends. Close to one in five (18 per cent) young drivers sometimes feel so pressurised they dangerously overcrowd their car, despite four in 10 (41 per cent) admitting it’s difficult to concentrate due to passenger interruptions.
Emma Holyer, added:
“With fewer first time drivers owning their own car there can be increased pressure on those with one to drive all their friends around. We’re calling on all drivers and especially young drivers to avoid overcrowding cars and ensure all passengers are wearing seatbelts at all times.”

Lack of driver education
This lack of confidence is causing a serious problem on the UK roads. In poor visibility leave at least a four-second gap · Frequently use your mirrors when driving on the motorway because of the higher traffic volumes · Always use the left-hand lane where possible. Direct Line offers 17 - 20 year olds a 20% discount, 21 - 24 year olds a 30% discount and 25 year olds and above will receive a 40% discount. Direct Line Motor spokesperson, Emma Holyer said:. Read more...

For more information, log on to Direct Line Car Insurance.
Notes:
The research was carried out on behalf of Direct Line car insurance by YouGov Plc. A sample of 1,048 drivers between 18-25 were questioned online between 28th April to 2nd May 2006. A sample of 289 non-driving 18-25 year olds were questioned online between 5th and 8th May. Results are unweighted. YouGov is a member of the British Polling Council.
*According to the YouGov findings young drivers on average spend £4,212.76 on buying their first car and spend £129.72 per month on its running costs £129.72 x 12 = £1,556.64 + £4,212.76 = £5,769.4.
**According to the YouGov findings one per cent of young drivers have bought a car with friends which equates to 21,350. There are currently 4,994,229 young people between 18-25 in the UK and of these 57 per cent drive (2,846,710). 75 per cent of young drivers own a car (2,135,032) therefore 0.01 x 2,135,032 = 21,350.

Parents are a cause for conecern.
In a bid to help their elders, one in 10 of the country’s grown up children (eight per cent) make sure they are with their over 60s parents when tradesmen carry out repairs, with 11 per cent conducting their own regular house checks. Seven per cent have forked out money to help their parents with home maintenance, shelling out over £363 million in the last year alone. A fifth of Britons (21 per cent) said they worried about their parents’ sub-standard housing because of damp, unsafe heating and old-fashioned security. Read more..

Industry Leading Step
They are three times more likely to have been convicted of driving without due care and attention, and ten times more likely to have been convicted of drink driving than the average motorist. If these specific few motorists are causing this problem insurers should think about specific underwriting rules rather than removing the cover for all motorists.” Direct Line is highly proactive in protecting its customers against uninsured driving, and is the only insurer that does not penalise its customers who are hit by uninsured drivers. Read more...

Dognapping epidemic
Chris Price, Business Manager at Direct Line Pet Insurance, said:. Awareness of this pet crime is at an all time high, particularly following the recent suspected theft of Liz Hurley's puppy, Emily, and Engelbert Humperdink's German Shepherd, Charnie. Dog owners are prepared to offer an average reward of over 450 to get their stolen dog back. The lengths dog owners would go to reflect the bond they have with their four-legged friends. If their dog was taken though it would seem that money is no object when it comes to its safe return. Read more...

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