[Finance] Car Insurance for 17 Year Old

[KZNSeagull]

My son passed his driving test today - hoorah! Now for the insurance. Anyone used Marmalade? He will drive our car and they are quoting £750 for the year which seems pretty good. If we want to pay monthly, they say we have to take a loan out with Premium Credit - is that usual? Will this affect our own car insurance which is with Saga. Thoughts and advice most welcome. Thanks awfully.

 

[Driver8]

I don’t think you can have two policies on one car. You would need to add him to your insurance or take out a new policy covering all of you.

 

[Joey Jo Jo Jr. Shabadoo]

I don’t think you can have two policies on one car. You would need to add him to your insurance or take out a new policy covering all of you.

You can have two policies on a single car, but you can only claim on one of them in the event of an accident/theft etc.

https://www.comparethemarket.com/ca...d4FQX2Kol-yX-1wxg-hoCz4EQAvD_BwE&gclsrc=aw.ds

Strangely on the link above they don't really mention having a second policy for a younger driver to build up their own no claims as a reason for having a second policy on an already insured vehicle.

 

[Stat Brother]

Timely

Am I being naive in thinking all I have to do is call my insurers and tell them I'll be giving Jnr some Sunday morning top up lessons on my 'fully comp - a bazillion years of NCB' policy and everything will be lovely?

Or will it cost me an unprecedented amount of cash.

 

[Guinness Boy]

My son passed his driving test today - hoorah! Now for the insurance. Anyone used Marmalade? He will drive our car and they are quoting £750 for the year which seems pretty good. If we want to pay monthly, they say we have to take a loan out with Premium Credit - is that usual? Will this affect our own car insurance which is with Saga. Thoughts and advice most welcome. Thanks awfully.

RE the loan, car and home insurance are short term (typically one year) renewable, unlike life insurance which is long term (10 - 25 years or so) with typically fixed premiums.

This means all the premium is due at the start of the contract, but insurers understand that most people want to pay monthly and they need a monthly figure to appear on the PCWs (e.g. Compare the Market). I suspect here that the finance company will pay whoever the underwriter and capital provider is the full premium and your "monthly premium" will be paying back the finance company for the loan. 12 lots of monthly premiums will typically be more in total than one annual because of the interest and extra admin incurred.

 

[pasty]

Timely

Am I being naive in thinking all I have to do is call my insurers and tell them I'll be giving Jnr some Sunday morning top up lessons on my 'fully comp - a bazillion years of NCB' policy and everything will be lovely?

Or will it cost me an unprecedented amount of cash.

A couple of years ago when I finally agreed to driving lessons, we added me, as a learner, to Mrs P's insurance so I could practice in her car, and her monthly premiums went down !

 

[KZNSeagull]

Timely

Am I being naive in thinking all I have to do is call my insurers and tell them I'll be giving Jnr some Sunday morning top up lessons on my 'fully comp - a bazillion years of NCB' policy and everything will be lovely?

Or will it cost me an unprecedented amount of cash.

My wife has just had a very interesting conversation with Saga who we currently insure with. They say "it is illegal to have 2 policies on one car" - no it isn't. They quoted us £4000 per annum to stick him on our insurance. Our current premiums are under £350pa.

You can have 2 policies on 1 car. You can only claim on 1 obviously. We used Marmalade for Leaner driver insurance as you can pay by the month if desired. What Marmalade say is: "Cover is only provided under this policy for you, a secondary driver who is not named on the main insurance. The main insurance covers the vehicle and named drivers - therefore it does not cover the same risk as the main policy." It is fully comprehensive insurance. My main concern is "The main insurance covers the vehicle" - does this mean that if there is a crash and he is driving, the vehicle is not actually covered and they may not repair it?

 

[KZNSeagull]

RE the loan, car and home insurance are short term (typically one year) renewable, unlike life insurance which is long term (10 - 25 years or so) with typically fixed premiums.

This means all the premium is due at the start of the contract, but insurers understand that most people want to pay monthly and they need a monthly figure to appear on the PCWs (e.g. Compare the Market). I suspect here that the finance company will pay whoever the underwriter and capital provider is the full premium and your "monthly premium" will be paying back the finance company for the loan. 12 lots of monthly premiums will typically be more in total than one annual because of the interest and extra admin incurred.

Yup, thanks.

 

[timbha]

A couple of years ago when I finally agreed to driving lessons, we added me, as a learner, to Mrs P's insurance so I could practice in her car, and her monthly premiums went down !

Don’t know why but that made me lol and spit out my beer!!

 

[GT49er]

My wife has just had a very interesting conversation with Saga who we currently insure with. They say "it is illegal to have 2 policies on one car" - no it isn't. They quoted us £4000 per annum to stick him on our insurance. Our current premiums are under £350pa.

That's Saga for you! All the insurance companies seem to have their own niche markets, and Saga's is for older people - they just don't want to deal with younger drivers. I tried to put my youngest (25) on to mine so she had back-up if her car (needed for commuting) packed up.
I'd have almost needed to re-mortgage!

Adding other drivers often reduces the premiums - other daughter benefitted considerably by adding a 70 year old with a 50 years plus clean driving record. Last year I added my ex-wife for a one off emergency (to help her move 300 mies away - it seemed worthwhile!) - but when I went to renew the policy this year they wanted an extra £90 to take her off it!

Shopping around is the only answer! Incidentally, in reply to the OP, £750 for a 17 year old lad is bloody marvellous!

 

[zefarelly]

That's Saga for you! All the insurance companies seem to have their own niche markets, and Saga's is for older people - they just don't want to deal with younger drivers. I tried to put my youngest (25) on to mine so she had back-up if her car (needed for commuting) packed up.
I'd have almost needed to re-mortgage!

Adding other drivers often reduces the premiums - other daughter benefitted considerably by adding a 70 year old with a 50 years plus clean driving record. Last year I added my ex-wife for a one off emergency (to help her move 300 mies away - it seemed worthwhile!) - but when I went to renew the policy this year they wanted an extra £90 to take her off it!

Shopping around is the only answer! Incidentally, in reply to the OP, £750 for a 17 year old lad is bloody marvellous!

Agreed, zef jr is 17 in Sept, 750 is half most of the quotes he's had so far.

 

[Harry Wilson's tackle]

Don’t know why but that made me lol and spit out my beer!!

I know why.

We all know why.

 

[Super Steve Earle]

A couple of years ago when I finally agreed to driving lessons, we added me, as a learner, to Mrs P's insurance so I could practice in her car, and her monthly premiums went down !

Don’t know why but that made me lol and spit out my beer!!

Me too. Cracks me up every time people type practice instead of practise

 

[WATFORD zero]

You really need to shop around when the drivers on a policy change. If you got the best deal for one or two middle aged drivers on a normal family car, then you can almost guarantee adding a teenager halfway through the year will cost you an arm and a leg.

As for insuring kids, adding a black box nearly always makes a big difference and keeping engine size down. Don't forget that when they go from provisional to full licence (if they can actually get a test ) the insurance will go up, not down.

If you want to add a learner, be prepared to shop around and cancel your current policy and also check what it will increase to when they become full licence holders

 

[KZNSeagull]

Agreed, zef jr is 17 in Sept, 750 is half most of the quotes he's had so far.

Is that for their own car or for driving your car?

 

[zefarelly]

Is that for their own car or for driving your car?

His own.

I may get a quote for him to drive a mk1 Cortina out of interest . . . Although not with an 1800cc racy engine in it!

 

[Driver8]

His own.

I may get a quote for him to drive a mk1 Cortina out of interest . . . Although not with an 1800cc racy engine in it!

Have you tried adding yourself and your wife as named drivers on his policy? That usually brings the price down.

 

[drew]

If he's got his own car then £750 is a good price. My daughter passed last Nov and is with Ticker for £790 for her 12 plate Yaris. I'm a named driver on her policy and that brings the premium down. We tried to add her to my wife's 1800 SRI Zafira and the price quoted meant we didn't.

 

[KZNSeagull]

If he's got his own car then £750 is a good price. My daughter passed last Nov and is with Ticker for £790 for her 12 plate Yaris. I'm a named driver on her policy and that brings the premium down. We tried to add her to my wife's 1800 SRI Zafira and the price quoted meant we didn't.

The £750 is for him on a separate policy on our car. Am going to try a company called Adrian Flux who also do young drivers insurance and see what they say.

 

[WATFORD zero]

His own.

I may get a quote for him to drive a mk1 Cortina out of interest . . . Although not with an 1800cc racy engine in it!

I'm sure he'll be happy in a 1600, as long as it's got the green stripe

My daughter has been trying to get insured on my mid life crisis ever since she passed her test. Apparently when she says 4 litre V8 they say they'll get back to her