Drivers born in certain years have to pay £656 or car will be 'banned' from road

Drivers born in certain years have been hit with a £656 charge to keep their car on the road. According to data from Compare the Market, the cost of car insurance has risen by 18% year on year with the typical premium standing at £656 in May 2024.

Older drivers aged 80 or above have seen the largest proportional increase in the cost of car insurance in the past 12 months. The typical premium for motorists in this age group has risen by £139 to £656 in May, according to data from the comparison website.

And the biggest rise came from the other end of the spectrum for young drivers under 25. The average premium for someone in this age group jumped £310 to £1,901 in the last year, according to Compare the Market data released this week.

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Anna McEntee, director at Compare the Market, said: “The substantial cost of car insurance is understandably causing concern for many motorists. Our research shows motor premiums have risen by more than £100 year-on-year. Drivers aged under 24 and over 80 are seeing the steepest increases.

"Typically, insurers consider motorists in both age groups as more likely to make a claim which could lead them to see higher premiums. For those concerned about the cost of their motor premium, shopping around ahead of renewal is one of the best ways to try and save money on car insurance. We want to encourage older motorists who may be more inclined to stick with their existing insurer each year to compare prices ahead of renewal to see what deals are available.”

Those aged 55 to 64 face an £80 difference and those aged 45 to 54 face an uplift of £99. Car insurance is a legal requirement and motorists risk disqualification for breaking the rules.