You are here: Home - Insurance - News -

Insurance premiums up 50% for young women drivers

Written by:
Young female drivers are paying the price for equality, according to new research.

One month on from the EU gender directive, which ruled that car insurance premiums can no longer be differentiated by gender, 17 and 18 year old female drivers have seen premiums jump by a staggering 50%.

There is good news for men, however. Premiums for male drivers have dropped by 12% since the ruling was introduced, according to data from, the independent price comparison and switching service.

The data, based on quotes of over 20,000 drivers before and after the rules were introduced on 21 December, shows that car insurance premiums for female drivers have so far risen by an average of 8% across the board, less than the industry prediction of 25%.

But young women are witnessing rises that are twice as high as this prediction. Average premiums for 17 and 18 year old female drivers have gone from £1,307 to £1,965 – a 50% increase. 19 to 21 year olds have also seen a jump of 13%, taking their average premium to £1,098.

Overall premiums for male drivers have dropped by 6%, with 19 to 21 year olds seeing one of the biggest decreases of 12%. Male drivers over the age of 71 have also seen their premiums drop by 12%.

All in all, the gender gap has significantly narrowed, from 14% to 2%, showing that insurers have jumped on the new legislation. However, across every age group except the over 71s, men still pay more; the average premium for men is £619, compared to £529 for women.

Michael Ossei, personal finance expert at, says: “There’s not quite cause for young men to jump up and down in celebration. Despite the shock hike in female premiums, 17 and 18 year old men still pay the most for their car insurance. It’s our hope that the relentlessly high premiums do not discourage young people from learning to drive.”

Tag Box




Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

After an award-winning health insurance provider?

Winner of best online health care provider in the Awards 2015

Guide to valuations and surveys

Do you need a vanilla valuation or a survey with a fringe on top? Martyn Stones explains the different types o...

A guide to picking the right credit card

To mark the 50th anniversary of Britain's first credit card, here's a handy guide to help you figure out which...

A guide to choosing a children’s savings account

Whether you want to get your kids into the savings habit or just want to start building up a nest egg, there's...

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Five fund tips for a 0.25% interest rate environment

With interest rates stuck at a record low 0.25% and expectations rates could fall to close to zero, here are ...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Investing your money

Alliance Trust Plc gives you smart insight into how to invest your money

Money Tips of the Week

Read previous post:
Monday newspaper round-up: Barclays, RBS, Fuel poverty…

Barclays executive 'suppressed' damaging report; RBS to be hit with hefty Libor fines; Britain heading for fuel poverty crisis.