ABD: i-kube scheme could lower or increase cost of young driver insurance

Wed, 09 Dec 2009

Young drivers seeking cheap car insurance have been targeted by a Young Marmalade scheme that could either lower or increase the price of cover.

Motaquote and RSA Insurance Group have introduced the i-kube, a device that monitors automotive activity.

If young motorists agree not to drive between the hours of 11pm and 5am, they can benefit from cheaper insurance rates.

Violating these restrictions leads to an automatic £45 charge per night.

Nigel Humphreys, spokesperson for the Association of British Drivers (ABD) said if the scheme is successful it could see other premium prices drop, but if it was not it would "push up the cost of normal insurance for young drivers".

He added he would wait to see if the plan could be formalised, because otherwise underage motorists would just change to another provider as soon as they got a better deal and the cost of policies would rise.

If you want to know how to find the best deal for your car insurance, finance, or warranty, visit our car insurance calculator.
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