Van - Young Drivers
It’s no secret that young drivers’ insurance can be painfully expensive. Sadly, this is also true of young drivers’ van insurance. It’s not all bad news though. There are a few things that under 25s can do to find cheaper van insurance.
Before we start going into detail about getting cheap van insurance for young drivers, let’s talk about the different types of van insurance policies available. There are three main types of policy for van insurance, as with standard car insurance. They are:
- Comprehensive (often called fully comp)
- Third party, fire and theft
- Third party
Comprehensive – comprehensive insurance is, as the name implies, the most thorough insurance cover available. A fully comp policy insures you and your vehicle in the event of an accident, even if you’re responsible. That means the cost of any repairs, or even replacing the van if it’s beyond repair, can usually be claimed on a fully comprehensive policy. It also covers other types of damage such as fire and flood damage, or theft of your van
Third party, fire and theft – this type of policy covers exactly what you might expect… you got it! With third party, fire and theft van insurance, you and your van are covered for any claims from a third party (that means another person or vehicle) in the event of an accident that you caused. Plus, your own van is insured against fire and theft.
But you won’t be covered for damage to your own vehicle or property if it’s not due to fire and theft. Here’s an example: say you reverse into another vehicle in your haste to get home after a long day’s work, you’re only insured for the loss caused to the other person if they claim against you for their vehicle. You’re not insured for the damage to your own van.
Third party – these policies only cover third parties against damage caused by you in your van. There is no additional cover to you or your vehicle at all. This is the minimum insurance cover required by law, for all road using vehicles. Even if your vehicle isn’t in use you must have insurance, unless you have sent a SORN (Statutory Off Road Notification) declaration to the DVLA.
So now we know about the different policies, let’s talk about what they cost. Put very simply, the insurance companies calculate a premium, by working out how much of a risk you are to insure. Or, in plain English, how likely you are to make a claim. Claims cost insurers money, so the higher the risk you pose, the higher the premium you’re going to pay.
The truth is that young drivers between 18-25 are statistically more likely to be involved in an accident, and then make a claim. And that’s why their insurance premiums are higher than other age groups.
Cutting the cost of van insurance
But don’t despair, there are a few things you can do to help bring your premium down. Our top tips are:
- Compare. By shopping around you can nearly always save money. Try using our van insurance pageto compare different policies. Just click on ‘get a quote’ and enter your details and we’ll provide you with a range of quotes, listed in price order, starting with the cheapest.
- If there is another person that will be driving your van and they are older with more experience and a good driving record then add them as a named driver to your policy. By adding another named driver with a low risk occupation you could lower your premium. Try comparing different named drivers to see what difference they make to your premium. Sometimes it can reduce your premium even further if you add a third driver. But any named drivers you add must genuinely drive your van.
- Reduce your risk. There are a number of ways you can do this:
- Think about security. Alarms and immobilisers will all increase the security of your van and lower the risk of it being stolen.
- Where you park your van overnight can make a big difference. Street parking is often higher risk than using a private drive or garage.
- Can you reduce your annual mileage? Less miles equals less chance of an accident!
- Look at your voluntary and compulsory excess. Most policies have will have a compulsory excess, which is decided by your insurer and is the amount they state you must pay, in the event of a claim. Voluntary excess is the amount you can contribute (in addition to the compulsory excess) towards any claim. If you are prepared to increase the voluntary excess on your policy, it could lower your premium. But make sure you consider the pros and cons of this; that is, the pro of having a lower premium against the con of paying more in the event of a claim so make sure you can comfortably pay the total excess if you do need to make a claim. This is often a way to reduce insurance premiums for higher risks such as young drivers.
Just a few more things to consider before you start comparing prices:
Don’t just pounce on the cheapest van insurance for young drivers. There are some other things to consider. Think about any additional cover you may need. Some policies include extra benefits like a courtesy van, breakdown cover or tools cover. Tools in transit cover may be particularly useful if you keep important equipment in your van, as they’re often targeted for theft. Tools left in a van overnight are often not covered so check with your insurer directly to find out exactly what is covered within your policy. If not automatically included in your policy, tools cover can often be added to your policy as an extra for an additional cost.
Finally make sure your details are correct. Don’t be tempted to give inaccurate information in an effort to reduce your insurance premium. If you’re found to have given misleading information, at best your cover will be invalid and any claims rejected, but at worst you could face criminal prosecution.
So now you’re armed and ready with the knowhow to compare van insurance and find a great value deal for you, so it’s time to get cracking… and saving.