New drivers car insurance news - Young driver insurance problems

Vehicle cover news - Honest young driver insurance holders pay for lawless

A study undertaken by the Motor Insurers' Bureau (MIB) into uninsured driver numbers in the UK has revealed that in some areas of the country almost a third of all road users are not insured.

Some of these motorists should have young driver insurance and others have years of experience behind the wheel, but altogether these offenders are reportedly costing claims companies about £500 million each year and add an average of £30 to every honest motorist's premium.

The MIB, which provides the victims of uninsured or untraceable motorists with compensation, has compiled a list of the places in Britain containing the largest concentrations of uninsured drivers, using statistics collected during the years 2008 to 2010.

Out of the top 20 uninsured hotspots, 10 places are held by Birmingham postcodes and five are held by Bradford postcodes. The other spaces are held by two areas of Manchester, and one each in Halifax, Wolverhampton, and Romford, Essex.

Worryingly, the MIB's research also shows that one in ten 18 to 35-year-old motorists, some of which should have new driver's car insurance, do not realise that having vehicle cover is required by law.

The organisation's chief executive states, "We cannot stand by and let uninsured driving continue. Otherwise, the honest motorist will keep paying the bills for the injury and damage caused to people and property."

As a measure to tackle the problem, Jack Straw, Labour MP for Blackburn, has suggested that the removal of the so-called ‘post code' lottery as a rating factor in car insurance would prevent ‘discrimination' for young drivers in some areas of the UK.

However, Road Safety Minister Mike Penning has said that the government is working towards dealing with the problem of uninsured drivers, while also improving the safety record for road users with young driver insurance.