Following the partial collapse of the British car industry during this recession, second hand car values have fallen dramatically meaning the market value of your vehicle if its older than 1 year could be lower than you think.

As far as most insurance companies are concerned the market value of a vehicle is whatever a claims assessor thinks the vehicle is worth if it written off in an accident or stolen and never recovered. Therefore, in some cases car insurance claim payouts maybe less than the finance owed on the car or what was initially paid for the vehicle. This has led to the rise in recent years of gap insurance which covers the difference between what the car insurer values the vehicle at and what was paid out.

There are of course many different types of gap insurance products including Return to Value, Agreed value and so on. The message is clear, however, insurers ultimately decide what your vehicle is worth based on the market value. To determine what your car is worth, look up the value of your car is Glasses Guide or other publications. There are also plenty of online websites which also value your vehicle free of charge.

According to the latest research conducted by Admiral car insurance, young driver accidents are twice as likely to occur if 17 and 18 driving records are compared with 30 year olds.  More worryingly, the figures increase six fold if comparisons with drivers aged over 50 are made.

These figures don’t necessarily come as a big surprise to insurance companies, however, what is a bigger concern is the level of injuries sustained by young drivers compared to their more experienced counterparts. For example, accidents involving this age group are five times more likely to involve personal injury. Admiral’s explanation on this fact is that young drivers are more likely to suffer high speed crashes through inexperience and reckless driving caused by peer pressure showing off to friends. Sadly, there are also a higher proportion of fatalities amongst this age group.

Additional statistics that do not bode well include the likelihood that young motorists are also four times more likely to be convicted for careless driving that the average driver.

The end result of this carnage is both financial meaning heavy increases in car insurance for young drivers premiums for all motorists to cover the cost and human suffering which you cannot put a price on. Admiral, like other UK car insurers are actively seeking ways to improve the driving records of young motorists by sponsoring programs like the Young Driver scheme, which aims to provide additional education, and driving experience.