Archive May 2019

Huge price difference car insurance young people

The difference between the cheapest and most expensive price differences in car policies for young people is huge. To insure an eleven-year-old city car, an expensive company charges almost four times as much as a cheap insurer. On average, a young car owner pays around 1000 euros per year for third-party coverage. In 18 months, young people pay just as much in premium as their car is worth. This is according to research by the independent comparator Good Finance.

Difference between cheapest and most expensive insurer

Difference between cheapest and most expensive insurer

An 18-year-old motorist pays more than twice as much for his third-party insurance than someone who is over 24 years old. Insurers charge much higher rates for young people, because they have a higher accident risk than older drivers. Research by SWOV has shown that this risk is four times greater. However, the difference in premium between the cheapest and most expensive insurer is more striking.

For example, third-party coverage in Veenendaal for a Peugeot 205 from 1999 at Gaeon Bank costs 168 euros per month, while at Bruns ten Brink it is also possible for 40 euros.

Price difference for WA car insurance per month per municipality

Price difference for WA car insurance per month per municipality

The price differences were calculated on the basis of the following data:

  • 18 years;
  • 0 claim-free years;
  • Peugeot 205 (’99);
  • 8000 km / year.
  Cheapest car insurance Most expensive car insurance Price difference per month Magnification factor
Amsterdam Real: € 53 Gaeon Bank: € 181 € 128 3.4
Veenendaal Bruns ten Brink: € 40 Gaeon Bank: € 168 € 128 4.2
Franeker Bruns ten Brink: € 38 Gaeon Bank: € 147 € 109 3.9

Car insurance costs

Car insurance costs

In addition, Good Finance investigated the relationship between the current market value of the car and the costs of third-party insurance (ie by far the most chosen cover). 24,900 premium calculations show that the average annual premium for 18 and 19-year-old car owners amounts to 981 euros. This amount is equal to 66 percent of the current value. “Assuming that young people have their cars for more than a year and a half, this means that they often have to spend more for their car insurance than for the purchase costs,” said Erik Hordijk, director of Good Finance.

Car insurance in the name of parents?

Car insurance in the name of parents?

“It often happens that young people try to put the car insurance in the name of one of the parents. As a result, the premium is considerably lower, but this is strictly prohibited, “warns Hordijk. “It may seem difficult to check for an insurer who is actually the regular driver. But when in doubt, the insurance company can conduct a fraud investigation. And then the child and parents are further away from home. Moreover, a young person does not build up damage-free years in this way. ”

Smaller difference, premiums increased enormously

Smaller difference, premiums increased enormously

Update 07-03-2017

Good Finance did this test again in 2017, with the following data:

  • 18 years;
  • 0 claim-free years;
  • Peugeot 206 (’00);
  • 7,500-10,000 km / year.
  Cheapest car insurance Most expensive car insurance Price difference per month Magnification factor
Amsterdam Alli € 114.32 Overal € 311.32 € 197 2.7
Veenendaal Genz € 99.91 Overal € 284.04 € 184.13 2.8
Franeker Genz € 83.72 Overal € 244.34 € 160.62 2.9

We can see here that the premiums have increased enormously compared to 2010, in most cases they have more than doubled. The difference in euros between the cheapest and most expensive insurance has also increased, while the magnification factor has actually decreased.

4 events in which credit is essential

There is a sudden leak, its heating stops working, or you just can’t stand your old surfaces anymore. Home insurance will cover the cost of some repairs, but it does not always cover all of them. Having access to credit will allow you to make any repairs and improve to the standard you really want.

Sick pet

Sick pet

They are our best friends and contribute a lot to our lives, but pets can have a lot of expenses. In addition to the cost of pet insurance, animal medical bills can also add up. Although basic insurance will cover some of the costs, it may not cover everything. If your insurance only gives you a few thousand, then this could cover emergency surgery, but subsequent treatments, long-term medications and possible additional surgeries add up. Nobody wants to have to say goodbye to your pet ahead of time, so access to credit will ensure you can take care of your pet for longer.

Weddings and anniversaries

Weddings and anniversaries

Weddings and anniversary parties are increasingly extravagant, with trips abroad, stag and hen parties, and the pressure to buy new clothes is becoming normal. These expenses can arise out of nowhere and the use of savings that were not intended for anything else can take away a special occasion from enjoyment. Using a small loan to cover expenses can mean that you will enjoy the event and pay it in several months or even years.

Car failures

Car failures

Another time when many of us assume that our basic insurance will cover any problem and then we panic when the numbers do not add up. Having access to a loan means that you can repair or replace your car when you need it and if your job depends on a car, this is even more important!

Life is full of ups and downs, but having access to reasonable and reputable credit will make it much easier to manage, so look at your Financial Standing and future loan options now to reduce stress later.