Car Insurance for Young Drivers

Why choose Youi car insurance for under 25s?

We know that choosing car insurance for young drivers means weighing up features, benefits and cost to suit your individual needs. Here’s what you'll find at Youi.

24/7 roadside assistance

Car won’t start? Youi Roadside Assist comes as standard with our Comprehensive car insurance suitable for young drivers. We’ll help you where we can to get you moving again, even if it’s the middle of the night.¹

Towing’s covered

Our Comprehensive and Third Party Fire & Theft car insurance policies will cover the reasonable cost of towing your car to a suitable location if it can’t be driven after an insured event.²

Hire car after a theft

If someone steals your car, you’ll still have wheels. With Comprehensive or Third Party Fire & Theft car insurance for young drivers, if your claim’s approved, we’ll cover a hire car for up to 21 days.³

Claim online, anytime

Dealing with an insured event is tough enough, so we’ve made claim lodgement more accessible. Lodge yours online anytime – day or night, weekends included.

FAQs: Car insurance for young drivers

Have questions about car insurance for under 25-year-olds? You’re in the right place.

The cost of car insurance for young drivers depends on a variety of factors. These include your age and driving experience, as well as the level of car insurance cover you choose.

At Youi, some of the other factors we consider when setting premiums are:

Your driving history
Where you park your car
How you use your car
Your car’s make and model.

Wondering how you might reduce the cost of car insurance for under 25-year-olds?

Choosing to pay yearly rather than monthly or going with a higher basic excess might reduce your premium. It’s also worth looking at the different types of policies – third-party policies usually cost less than comprehensive cover since they offer more limited cover. The key is weighing up what’s covered and what’s not covered in each policy, so you can consider which one may be the best option for your needs.

Like car insurance for young drivers, the cost of car insurance for P-platers depends on a variety of factors, including the level of cover you choose and your age and driving experience, as well as the make and model of your car, how you use it and where you usually park it.

To get a better idea about how much car insurance for P-platers might cost – depending on your circumstances – you might consider starting a quote.

The type of car you’re insuring, including its make and model, can impact your premiums. You can use our make and model car insurance tool to get a rough idea of how much Comprehensive insurance for your car might cost. Keep in mind that your individual circumstances will also affect the final cost.

As a young person driving, insurance can sometimes be more expensive than it is for more experienced drivers, as premiums are based on a range of risk factors. These can include a driver’s age, how long they’ve been driving, and their claims history. Drivers with less experience may be more likely to be involved in an accident, which can influence how insurers assess risk. This is why premiums may be higher for car insurance for younger drivers.

Car insurance may get less expensive as you get older and gain more driving experience and are able to maintain a safe driving record. However, a number of other factors are also taken into account when calculating the cost of car insurance for young drivers – such as the type of cover you choose, the car you drive and how it’s used.

Importantly, once you’re over 25, if you’re involved in an incident and need to make a claim, the driver-specific excess charged to listed young drivers on top of the basic excess would no longer apply.

If you own the car and you’re the main driver, you’ll need to take out a car insurance for young drivers policy in your own name.

What type of car insurance do young drivers need?

It depends on your car, your budget and the level of cover you’re after. At Youi, we offer three levels of car insurance for under 25s. Here’s a snapshot of what’s covered with each type of policy.

Comprehensive car insurance

This is the highest level of cover. Comprehensive car insurance for young drivers covers your car for accidents, intentional damage, theft, fire, earthquake and damage from certain types of severe weather events^4,5 – and includes cover for damage your car causes to other people’s cars and property too.⁶

Comprehensive

If you have an accident that’s not your fault and you can provide the other driver’s details, we’ll organise a hire car to keep you moving until yours is repaired.⁷
If you need help, our Roadside Assist is on call 24/7.¹
If you’ve bought a brand new car and it’s deemed a total loss within 2 years of initial registration, we’ll pay to replace it with a new one.⁸

Third Party Fire & Theft

Our Third Party Fire & Theft car insurance for under 25-year-olds covers your car for theft and fire damage, and your legal liability if your car damages someone else’s vehicle or property in an accident.^4,9

Third Party Fire & Theft

Personal belongings inside your car are covered if they’re lost or damaged in an insured event – up to $150 per item and $750 per claim.³
Stranded more than 100km from home after an insured event? We’ll cover up to $1,000 in combined costs for emergency transport, accommodation and repairs.¹⁰
If your car accidentally damages someone else’s property, the driver’s legal liability is covered up to $20 million for approved claims.⁶

Third Party Property Only

If your vehicle causes damage to someone else’s car or property and we approve your claim, our Third Party Property Only car insurance will provide you with the following cover:⁶

Third Party Property Only

If your car causes an accident, you or anyone you have given permission to drive is covered for legal liability up to $20 million.⁶
We’ll cover counselling services for you, household members and listed drivers after an accepted claim for legal liability, up to $1,500 per person for each claim.⁶
And if an uninsured, at fault driver damages your car, we’ll cover it up to $5,000 after excess if you can provide the other driver’s details.¹¹

Comprehensive car insurance

This is the highest level of cover. Comprehensive car insurance for young drivers covers your car for accidents, intentional damage, theft, fire, earthquake and damage from certain types of severe weather events^4,5 – and includes cover for damage your car causes to other people’s cars and property too.⁶

Comprehensive

If you have an accident that’s not your fault and you can provide the other driver’s details, we’ll organise a hire car to keep you moving until yours is repaired.⁷
If you need help, our Roadside Assist is on call 24/7.¹
If you’ve bought a brand new car and it’s deemed a total loss within 2 years of initial registration, we’ll pay to replace it with a new one.⁸

Third Party Fire & Theft

Our Third Party Fire & Theft car insurance for under 25-year-olds covers your car for theft and fire damage, and your legal liability if your car damages someone else’s vehicle or property in an accident.^4,9

Third Party Fire & Theft

Personal belongings inside your car are covered if they’re lost or damaged in an insured event – up to $150 per item and $750 per claim.³
Stranded more than 100km from home after an insured event? We’ll cover up to $1,000 in combined costs for emergency transport, accommodation and repairs.¹⁰
If your car accidentally damages someone else’s property, the driver’s legal liability is covered up to $20 million for approved claims.⁶

Third Party Property Only

If your vehicle causes damage to someone else’s car or property and we approve your claim, our Third Party Property Only car insurance will provide you with the following cover:⁶

Third Party Property Only

If your car causes an accident, you or anyone you have given permission to drive is covered for legal liability up to $20 million.⁶
We’ll cover counselling services for you, household members and listed drivers after an accepted claim for legal liability, up to $1,500 per person for each claim.⁶
And if an uninsured, at fault driver damages your car, we’ll cover it up to $5,000 after excess if you can provide the other driver’s details.¹¹

Car insurance for under 25s that’s a bit more you-shaped

Sorting out car insurance? New milestone unlocked! The good news is it doesn’t have to be complicated. At Youi, we offer car insurance for young drivers that’s straightforward and suited to you and your circumstances. Give us a call or consider starting a quote online.

Start a quote

How car insurance for under 25s is priced

The cost of car insurance for young drivers depends on a few factors. When you get a quote with Youi, we take all of those into account to give you a cost that’s based on your individual situation, not just a generic rate for all under 25s.

Your level of cover

First up, your level of cover makes a difference to what you’ll pay. Go basic with Third Party Property Only, step it up with Third Party Fire & Theft, or get our top level of cover with Comprehensive car insurance for under 25-year-olds.

Type of car

Your car itself is another factor. Make, model, age, condition – and in some cases colour – all play a role in what you’ll pay for car insurance for under 25s. If you’ve customised it with modifications or after-market accessories, that could bump your premium up too. Keen to get an idea of premiums for your specific car? Learn more at our make and model page.

Insurance excess

The basic excess amount you choose can impact the cost of car insurance for young drivers. You can usually lower your premium by choosing a higher basic excess – but this does mean you’ll have to pay more if you need to make a claim. It’s all about striking the right balance for you.

Where you keep your car

Whether it’s in a secure garage, under a carport or out on the street, it all impacts the cost of car insurance for under 25-year-olds. Plus, some suburbs and areas see more car thefts or extreme weather events than others. That’s why we’ll ask you where you live and park your car when you’re getting a quote.

Your age and driving experience

How old you are and how long you’ve been driving for both factor into the cost of car insurance for P-platers and under-25 drivers. Drivers with less experience may be more likely to be involved in an accident, which can influence how insurers assess risk. This is why car insurance premiums may be higher for younger drivers.

Claims history

The number of insurance claims you’ve made can have an impact on your premium. More claims can often mean a higher cost for cover.

How much your car is covered for

The insured value is the most your insurer will pay to either repair or replace your car if you make a claim and it’s approved. The higher the insured value, the higher your premium is likely to be. At Youi, you can choose whether to insure your car for Market Value or an Agreed Value and this choice could impact your premium. Agreed Value policies may be more expensive than Market Value policies, which reflect depreciation.

If you do choose an Agreed Value policy, the amount selected should include any modifications or accessories. For a Market Value policy, you’ll need to select an amount for any modifications or accessories that have been made or added to your car, so that allowances can be made for these if you need to make a claim.

Vehicle use

Your driving habits matter too. If your car sits in the driveway for most of the week, you might wind up with a lower premium than someone doing daily commutes. Driving long distances or using the car for business purposes might also increase the cost of car insurance for young drivers.