Co-operative Launches New Car Insurance for Young Drivers

Co-operative insurance has launched a new product, which is aimed at young drivers who value their money and life.

Premiums, which will be based on the driving behaviour of 17-25 year olds, will be low provided that the driving behaviour of the policyholder is safe.

As such, this pay-as-you-drive insurance deal will be cheaper than similar products offered by other insurers by £330 on average. This will make car insurance affordable to 82% more young UK drivers.

Under the terms of the new Co-operative product, young drivers' behaviour will be assessed every 3 months. Those, who behave well, will be awarded with a Safer Driver Discount, which amounts to up to 11% of the annual premium.

Commenting on the launch of the new product, Mr. Neave of Co-operative, said that "to ensure we do not end up with an entire generation priced out of car ownership we are giving them a chance to prove themselves as responsible drivers, and dispel the assumption that all young drivers will drive badly and have accidents."