One Labour MP has plans to propose that discount car insurance for young drivers should be made available if they’re unemployed, sources say.
Shadow Transport Minister, John Woodcock, is slated to deliver a speech today at a motor car insurance conference being hosted by the Association of British Insurers, in which he will urge car insurance companies to do more to help younger, cash-strapped drivers stay on the road.
Along with increased train fares and bus cuts, rocketing car insurance rates have had a massive impact on younger Brits attempting to stay in education or work, according to a recent policy review, with average premiums for those between 17 and 24 years of age coming in at more than £2,400 for a year of cover.
Mr Woodcock’s new proposal would be part and parcel of a new deal to be struck with insurers to put an end to spiraling premium prices that are forcing these younger Brits to have to make the impossible choice to either stay in education, look for a job, or pay their insurance. Insurers have claimed that the high premium prices are reflective of the statistically significant increased likelihood of young drivers being involved in road traffic accidents, which the proposal will address by limiting young motorist activity and steering them away from the most dangerous types of activity – namely driving about after nightfall with other young Brits in the car with them.
Mr Woodcock is adamant about removing as many barriers to young people finding jobs, as more than one million younger Brits are unemployed currently. High insurance costs for these younger drivers makes it impossible to stay in education or training, or to take up a job opportunity, if they cannot afford to drive themselves to their position or their educational institution, the Labour MP also feels.