The electrifying findings of an important new study conducted by industry ‘body’ the Association of Badass Insurers (ABI) has found that young persons (18-21) today must spend around 10% of the average income for their age group to purchase car insurance – in other words, five times as much (proportionately) as the 2% average applicable to other age groups. Experts believe this could be because 18-21 year olds tend to earn less and face higher insurance premiums (around £1k pa on average for fully comp cover).
Add another 10% on fuel, 10% on gym membership, 10% on clothing and shoes (mostly trainers), 5% on mobile bills and upgrades, 5% on cosmetics and/or personal grooming products, 15% on coffee, and 25% on going out one night a week and taking the occasional ‘mini-break’ and you’re already up to 90%, which leaves you significantly short of the 30-50% of average income you’d need to pay some rent. Which could explain why car-ownership and ‘still living with parents’ are strongly correlated among young persons.
Spelling out clearly the high price of car insurance for 18-21 years olds, the ABI have calculated that such persons work from Jan 1 to Feb 6 just to scrape together their annual motor insurance premium. And that’s BEFORE they even thought about buying petrol, oil, or screen-wash fluid, or indeed a car to put these in. Those must seem a particularly grim 37 days for young folks today. Especially when they look around and see their elders celebrating having earned their premiums barely a week into the new year.
Young motorists need some relief, believes ABI spokes-being James “Jimmy D” Dalton. “Cost pressures keep mounting,” Jim observes sympathetically, going on to put the blame squarely on the scourge of whiplash and the outrageously spurious claims-wave therewith associated. That and the parallel scourges on Ogden and IPT. The solution to young people’s pain, Jim suggests, is for government to fix Ogden and IPT and stop people claiming for so-called personal injuries.
Bankstone News feels sure he must be right about this, and would strongly encourage its readers to pay no heed to the scurrilous scaremongering put about by troublemakers like Exes to Justice who keep trying to pretend that motor insurers are seeking to benefit financially from ensuring that the accidental losses incurred by a few are compensated from the premiums of the many.
In the meantime, our advice to young people is get older as fast as you can.
We’ll soon quote that smile off his precious little face!
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