Car Insurance: Young People
Debate between Andrew Jones and Calum Kerr(7 years, 8 months ago)
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Andrew Jones
Not right now, but who knows where the future will take us? We have some idea, but the detail will still need to be filled in. Opportunities will certainly arise and that may well be one of them.
I want us to get to the point where individuals are assessed according to their risk and where the Government do all we can to de-risk driving and incentivise safe driving. Motor insurers use a wide range of criteria to assess the potential risk associated with a quotation, including the age and driving experience of the applicant, the type of vehicle and where it is kept. The level of premiums is a commercial matter for individual insurers, because they use their own funds to underwrite the policies they issue. It is critical that the insurance industry takes such decisions for itself; the Government should not seek to control that market. However, I confirm to all who signed the petition, and to Mr Parker, its originator, that I am extremely sympathetic to their point. I hope that the explanations of our actions that I have given demonstrate our commitment to making progress.
Calum Kerr
I realise that the Minister is probably reaching the end of his speech, but there is one thing that I would like to ask him. I do not doubt the sincerity of his desire to improve the situation. Does he see a role for the Government—I appreciate that it would not be his Department—in introducing more formal qualifications to the school curriculum that could help to improve skills and create the outcome that we all desire?
Andrew Jones
It is important to capture people young and to instil road savviness among younger people. The hon. Member for West Aberdeenshire and Kincardine (Stuart Blair Donaldson) mentioned doing his cycling proficiency test at primary school. That scheme is now called Bikeability—we have Bikeability Plus, too—and it is thriving. We have protected its budget throughout this Parliament because it plays a critical role. The education of younger people in this area is important in making progress.
We have had a very positive debate. I am grateful to my hon. Friend the Member for St Austell and Newquay for introducing it, and to all hon. Members for their contributions to our stimulating discussion. I recognise that the cost of car insurance is important to young people. We are tackling fraudulent whiplash claims and making our roads safer for all drivers, including younger drivers. The motor market, including the motor insurance market, is among the most competitive markets in the UK. I trust that the insurers themselves have strong incentives to innovate and to deliver products targeted at younger drivers at a price that they can afford.
We are not at all complacent about this. We will continue to look at what we can do to address the cost of car insurance for younger drivers head on. It is right to tackle the issue by reducing risk. The Government are doing what we can to help our younger people to get about and get on.
Oral Answers to Questions
Debate between Andrew Jones and Calum Kerr(8 years, 5 months ago)
Commons ChamberRead Full debate Read Hansard Text Read Debate Ministerial Extracts
The Parliamentary Under-Secretary of State for Transport (Andrew Jones)
Transport is vital for creating the northern powerhouse, connecting northern regions and supporting jobs, which helps to rebalance the UK economy. Work towards delivering an improved, integrated transport system is well under way. In 2014, we created Transport for the North and we have committed to spending a record £13 billion on transport in the north.
Calum Kerr (Berwickshire, Roxburgh and Selkirk) (SNP)
T6. Since it was reopened by the Scottish Government last year, the Borders railway has been a remarkable success. In the first six months of its operation, passenger forecasts were exceeded by 22% and the Scottish Government have committed to a feasibility study on restoring the line to its historic route to extend it to Hawick and Carlisle. What dialogue has the Secretary of State had with the new Scottish Transport Minister on the matter and does he support the principle of a new cross-border rail connection?