One in five driving without insurance

As many as 250,000 young people between the ages of 17 and 20 are estimated to be driving without insurance, according to figures released today by the Motor Insurers' Bureau (MIB). This group is four times over-represented in claims to the MIB and highlights the significant proportion of young people with a driving licence (about 1.25 million) causing accidents without any insurance cover. Many young people incorrectly believe that insurance is based on the value of a car, as opposed to the risk profile of the person driving.

No-claims bonuses and other discounts can lower premiums by as much as 65% and young drivers should start to build up a record of safe driving from the outset. Furthermore, research for the MIB shows that one in ten young drivers are not aware that motor insurance is a legal requirement.

The police are being more successful in taking uninsured vehicles off the UK road network - as many as 500 a day - and the penalties for driving without insurance are serious: the police seize the uninsured vehicle, the driver will get a fine and a minimum of 6 points on their licence. To have the vehicle returned, the registered keeper will still need to buy motor insurance.

Ashton West, Chief Executive of MIB said: "Britain has one of the worst records in Europe for driving uninsured - around 5% of the population. Young people make up a significant number of uninsured drivers and with one in five newly qualified drivers having an accident in the first year of driving, they need to make choices based on the consequences of driving without insurance and not just on price alone. While we recognise the financial pressures for drivers taking to the roads for the first time, it is also a criminal offence to drive without proper insurance cover. More than £500 million in funds from law-abiding motorists are used every year to compensate people for property damage and personal injury as a result of uninsured drivers."