Tempted into trouble: Over two-thirds of UK parents admit they would consider car insurance ‘fronting’ to cut costs… or already have

Nearly 7 in 10 UK parents of young drivers (69%)* admit they have or they would consider putting their child’s car insurance policy in their own name to save money – despite this illegal practice, known as ‘fronting’, being classed as insurance fraud.

A new survey from Go.Compare Car Insurance, carried out among 1000 UK parents of drivers aged 17–25*, found that:

• 1 in 10 (11%) have already fronted a policy for their child
• 59% said they would consider doing so in the future
• Just 31% said they would never consider fronting

‘Fronting’ occurs when a parent or older driver insures a vehicle in their name but lists their child as a named driver, even though the child is the main driver. While this may reduce the cost of a policy in the short term, it is classed as insurance fraud, and an insurer can cancel the policy, refuse to pay out on claims, and report the case as fraud. Drivers could face fines, penalty points or even a criminal record, and both parent and child may struggle to get affordable cover in the future.

Car insurance costs for young drivers remain high - the average cost for 17 to 24-year-olds is £779, compared to the average premium of £414.** ‘Fronting’ might be seen as a shortcut to making premiums affordable, but the experts are warning that fronting can lead to severe consequences. 

Tom Banks, motoring expert at Go.Compare, said: “With the cost of living still squeezing families and car insurance premiums for young drivers particularly expensive, it’s understandable that parents are looking for ways to save money. But fronting is not the answer – it’s fraud, and the consequences can be devastating. Not only could it leave your child uninsured in the event of an accident, but it could also impact their ability to get affordable insurance in the future.

“Parents want to do the best for their children, but fronting is a dangerous shortcut. Instead, explore the legitimate ways to reduce costs – from telematics to shopping around – and make sure your child builds their own no-claims record. In the long run, it’s the safer and smarter option.”

The experts at Go.Compare have put together their tips for lowering your insurance premiums: 

• Time it right – buying a policy around 26 days before renewal can be significantly cheaper than leaving it to the last minute. You could end up paying 38% more if you leave it to the day it’s due for renewal.***
• Consider a telematics (‘black box’) policy – these monitor driving behaviour and could reward safe drivers with lower premiums.
• Choose the right cover level – while third-party only provides the least amount of cover, it often isn’t the cheapest. The average cost of a Third Party Only policy is £549, while comprehensive insurance costs £413 so consider the level of cover you need.**** 
• Shop around – comparing multiple insurers is the quickest way to secure savings.

For more top tips on getting cheaper car insurance visit here. 

And to learn more about fronting visit here.