car news

Price explosion for young people: car insurance significantly more expensive

January 31, 2024

Young people are extra expensive

Last year, premiums for all age groups rose an average of 9%, but young people are hit especially hard. Drivers aged 18 and 25 now pay almost 11% more premium on average. “Young people are already paying considerably more for their car insurance, but they have also been hit with the biggest premium increase,” says Amanda Bulthuis, money & insurance expert at

Why young people pay more premium

The fact that young drivers pay more for their auto insurance is because auto insurers consider them a high-risk group. “They still have little driving experience and are more likely to be involved in accidents. That’s why car insurers charge motorists up to 25 years old an extra premium surcharge,” Bulthuis says. “But a premium averaging €283 per month is obviously very high. This way, driving your own car is unaffordable for many young people.”

Car in parents’ name

Bulthuis also sees that young people often try to get out from under the high premium by insuring the car in the parents’ name. “We don’t recommend that, because it’s just fraud. If the car insurance company finds out that you drive the car most of the time and not your parents, it can cause big problems. You will then have to pay for any damage entirely yourself, and both you and your parents won’t be able to get car insurance just anywhere for the next few years.”

18-year-old driver pays €333 more per year

The comparison site examined how premiums evolved from month to month for over sixty different scenarios involving popular cars. “In doing so, we took into account different ages of drivers, numbers of claim-free years and places of residence,” Bulthuis explained. The figures show that drivers aged 18 paid an average of €255.35 per month for their car insurance in June 2022. This has since risen to €283.13 per month. So on an annual basis, 18-year-olds now pay more than €333 more. Drivers aged 25, meanwhile, pay more than €117 a year more. By comparison, premiums increased by an average of €85 per year across all ages.