Young drivers may develop ‘unmanageable financial burden’

Young motorists could see a greater proportion of their car loan money spent on insurance costs if they are convicted of drink driving, it has been suggested.

According to figures released by uSwitch.com, drivers aged between 17 and 24 may find their insurance premiums rise by up to 55 per cent if found guilty of the offence.

However, with those in this age group already reported to pay more than twice the national average for car insurance a conviction could cause them to develop "an unmanageable financial burden" in which they face increased cover costs and struggle to make repayments on personal loans, credit cards and other forms of borrowing.

Head of insurance Aron Thompson said: "As well as the potential of having a ban imposed on them for drink driving, younger drivers will also be penalised by insurers for up to five years if they are convicted for a drink driving offence."

Mr Thompson added that in the first year after a conviction a young driver could pay up to about £1,000 more for their annual car insurance.

As a result, he advised consumers to take the time to shop around in an attempt to find a competitively-priced policy which is right for them.

Last month, a study by KwikGuides.com indicated that motorists may be spending more money from their motor loan on insurance, as a number of providers cash in on "hidden charges".

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