What Is The Best Policy If You Are Under 25 Years Old?

Having car insurance is more uphill for the youth population. In fact, a driver between the ages of 18 and 30 can pay up to three times as much as an adult. The best policy if you are under 25 years old does not seem to be able to be measured by its cost, but by other types of variables.

Insurance companies just don’t trust the young driver. Unfortunately, statistics show that this is the most reckless and accident-prone segment of drivers. Some companies even have a minimum limit to ensure the age of 25, even if it is legal to drive from 18.

A young man in his twenties can pay more than 150% for his insurance policy, compared to drivers who are 30 or 40 years old. Many of the insurers are not willing to take risks, or to offer a quality service for young people. This makes it more difficult to answer the question of what is the best policy if you are better than 25.

Young people: study very well how to invest your money

According to a study by the consulting firm Kelisto, young people pay an average of 1,580 euros to insure their car. Being so much money for a person who just goes through their first jobs, they must be very astute when making their financial decisions.

The first thing is that they may need to start with an inexpensive, low-displacement vehicle. A cheap first car will allow them to save enough money to pay for the insurance without falling too short. In this case, the strategy is to moderate in your selection.

And, in fact, the first insurance should also be the least expensive possible. With regard to this, the only solution is to opt for basic insurance. After all, it is known that statistics suggest that young people behind the wheel suffer mostly from minor accidents. The really priority will be to be aware when you are behind the wheel.

Beyond the position of most companies, the market will offer various proposals and it is important to weigh them all with a clinical eye.

The best policy if you are under 25 years old: Market of opportunities

In recent years, despite their reservations , some insurers have begun targeting young driver products. There are many combinations of policies and coverage, which have become a business opportunity.

For all of the above, we have seen the creation of plans and services that seek to improve the quality of coverage, while still shielding ourselves against loss. This is the case of MAPFRE’s YCAR plan, which measures the behavior of the young driver and, based on this, contractual improvements are granted.

The company does this through bonuses for good conduct while driving and fuel cards. These premiums are personalized and try to measure each driver by their own abilities.

Policies with full coverage are difficult to pay

Determining which is the best policy if you are under 25 is much more difficult to verify for “fully comprehensive” services. In this case, the average payment is more than 3,600 euros for young people between 18 and 25 years old.

In fact, there are several companies that avoid giving this type of contract to young drivers. Only three insurance companies offer quotes to this population: MAPFRE, Pelayo and Allianz.

That is why the hiring of a basic service is recommended until reaching 26 years of age . After the age of thirty, you already experience a quite juicy price drop in terms of personal savings.

Explore new options

Another option is to analyze the market for small, foreign and new insurers. Some such as Balumba, AXA, Línea Directa have begun to present products for this population.

In these cases, we will find quite creative plans and with some conditions that we will have to take into account. This is a way to attract customers while avoiding collateral damage.

Everything seems to indicate that the companies themselves are beginning to see the young driver with different eyes. Failure to do so will lose a significant number of new policyholders who will remain loyal to those who did give them opportunities. But the pitfalls are still considerable, and the only way to achieve something is to study well the few existing proposals.