Better Deal For Young Drivers

Canice O'Reilly, from O'Reilly Cullen Insurance talked to us about a scheme Axa (and themselves) run with male drivers between 17-25 called 'Traksure' that can reduce insurance rates for those participating by 30 to 50%

Basically, it's a GPS tracking system that records your speed and position, among other info, onto a black box (about the size of a VHS tape) and relays it by the Mobile Phone network to a base station where it is plotted onto a map preprogrammed with all the speed limit zones, after which the info collected is analysed to see if you have broken the speed limit at any stage, and if so, by how much and how often it occurs.

Monthly reports are sent out, based on the data received. If excessive speeding behaviour is recorded, the user will get a warning. Up to three warnings will be issued, after which the user is taken off the scheme and loses the significant reduction that comes with participation. It was also pointed out that at the end of three years, if you still were on the scheme, you would automatically qualify for a full no-claims bonus.

This is a great opportunity for any guy that fits the category. I know that someone will point out that it is discriminatory to females, but the statistics show that women of the same age group 17-25 have a much lower percentage of accidents than men. It's actually a compliment to women, IMHO, that Axa feel it is unneccessary for females to get involved in the scheme.

Other very important points made by both Senator John Paul Phelan and the YFG President elect, William Lavelle to follow in next post; this one's too long already.

Moving on to outgoing YFG campain director and president-elect, William Lavelle, who outlined a ten-point plan called "Better Deal for Young Drivers", submitted by YFG to the Dept. of Finance in advance of next month's budget, that YFG wish to see put in place by the Govt to reduce Insurance Premiums for young drivers.

Ten points quoted from handout as follows:

1. YFG proposes the 'ring-fencing' of the 2% levy on motor insurance for investment in road safety initiatives including providing FREE driving lessons, purchasing new speed camera vans and funding a Garda Traffic Corps as outlined in this document.

2. YFG calls for the introduction of FREE compulsory driving lessons for all learner drivers whilst on their first provisional licence.

3. YFG calls for a major overhall of the driving test to make it relevant to 21st century driving conditions and to make it fair and transparent.

4. YFG calls on the govt. to buy 17 new 'GATSO' speed camera vans in line with the recommendations of the 2002 Monash expert report commisioned by the NRA. This would allow Ireland to run a world-class speeding detection system.

5. YFG calls on the govt. to stop delaying and establish a dedicated Garda Traffic Corps. to enforce our road traffic laws.

6. YFG calls for compulsory driving lessons for all motorcyclists, along with requiring provisional licence-holders to wear high-visibility luminous vests and display L-plates.

7. YFG calls for the abolition of VRT on safety features on all new cars.

8. YFG calls for the immediate establishment of the Personal Injuries Assessment Board to deal with motor accident compensation claims (under current plans it could be 2005 before this happens!)

9. YFG calls for the Irish Financial services regulator to be given more power to scrutinise premium levels (& increases) to ensure a fair deal for drivers.

10. YFG calls on the govt. during the presidency of the EU, to prioritise the further opening up of the EU internal market for motor insurance.

To finish off, Senator John Paul Phelan, from Kilkenny, highlighted key problems he saw as contributing to a much higher cost of insurance for young drivers:

1. Lack of competition in Insurance Market in Ireland. Five main companies dominate, leading to higher prices.

2. Failure of Govt to provide adequate funds for road safety initiatives, i.e. no investment in incentices to educate young people on driving, i.e. no compulsory driving lessons for young people over 17. Leads to more inexperienced (and possibly reckless) drivers on roads, more speeding, more accidents, more fatalities etc., higher premiums as a result.

3. Penalty points, although successful in reducing deaths in the six months after its introduction, is now less effective. Death rates are creeping up again because the Gardaí lack both the manpower and the equipment (speed cameras) to fully operate Penalty Points. Increased death rates equates to higher insurance premiums.

4. Govt has promised, but not yet delivered on, the establishment of a dedicated Traffic Corps. At any one time, there are between 80-100 Gardai nationwide on traffic duty, a ridiculously low number.

5. Inadequate driving test, does not test on emergency braking, motorway-driving or overtaking. Leads to incomplete knowledge of driver as instructors tend to skip anything not on the test.

6. Lack of regulation of Driving Instructors and Testers. Inconsistency of pass rate from different instructors in different places; e.g. easier to pass test in Waterford than Kilkenny. Also, there is no single regulatory authority for driving instructors; lack of regulation leads to some instructors providing poor quality/incomplete lessons on driving.

- Many Thanks to Phillip for the report!