Why do the young people in the photo look so happy? Because they have a huge problem. If you’re between 18 and 20 years old, just got your driver’s license and are eager to buy your first car, insurers would rather not have you. Premiums for young drivers are terribly expensive. Almost 2.5 times more expensive than for older drivers.
On average, young motorists (between the ages of 18 and 20) pay about 2,200 euros per year for their car insurance, researched comparison site Geld.nl. That equates to an amount of exactly 181.60 euros per month. That may not be that much money for an older person with a steady and decent job, but it is for a young person just out of high school.
Insurance premium for young people almost 2.5 times higher
In short, owning a car is not an option for many young people. The difference in premium is huge. The average premium for a car in the Netherlands is 82.27 euros per month. Young drivers have to cough up almost 2.5 times as much at 181.60 euros per month. Motorists between 21 and 24 years pay an average of 119.94 euros.
Young drivers have less experience and are more likely to suffer damage
The reason that young people pay so much more premium for their car is simple. They have less experience and more damage. They are also more likely to be involved in an accident. And that risk is passed on by the insurers in the premium.
Putting a car in the name of parents entails a risk
Driving is very expensive and really unaffordable for young people. Some choose to insure their car in their parents’ name. Please note: if your parents do not register you as a regular driver, you are actually committing fraud and this can cause serious problems for both you and your parents.