Car Insurance: Young People Debate
Full Debate: Read Full DebateDepartment: Department for Transport
Graham Stringer
Main Page: Graham Stringer (Labour - Blackley and Middleton South)Department Debates - View all Graham Stringer's debates with the Department for Transport
Car Insurance: Young People
Graham Stringer Excerpts(7 years, 8 months ago)
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Steve Double
My hon. Friend makes a very good point. I am certainly not here to defend every insurance company or the premiums they quote to young people or anyone else. I am sure there is always room to do better and drive down those costs. We could talk about the insurance premium tax, which has perhaps contributed to the cost. Young people are unfairly penalised on that count because of the high premiums. We need to be realistic: this is about insurance companies assessing risk and charging according to that.
To put the matter into perspective, a typical insurance premium for a teenager is £2,000, which comes out at just over £5 a day. I am sure that many Members in the Chamber today have very nice vehicles. Would they give their car to a 17-year-old for 24 hours to drive however they chose in return for £5? I do not think many of us would do that. Although £2,000 is a very large amount of money for someone who is 17 or 18 years old—we acknowledge that—we also understand that for that money they are getting insurance cover not only for the vehicle, but for any third-party damage or injury that they may cause.
Graham Stringer (Blackley and Broughton) (Lab)
I am following the logic of the hon. Gentleman’s argument, which is that insurance costs are related not only to the experience of the driver, but to their age. We have been moving the age of responsibility up in lots of areas, such as for buying cigarettes, so would he agree with increasing the age at which someone can get a full licence from 17 to 18?
Steve Double
I personally am not of that view. If fact, if we look across the world, other countries allow young people to learn to drive at much younger ages. I certainly would not look to reduce the age. However, I think we need to give our young 17 and 18-year-olds more tuition and better experience, so that they become more capable drivers much quicker. That is where I would focus the attention, rather than increasing the age. If we increase the age, they will still be new drivers at whatever age they begin to drive.