One in five young drivers is borrowing to pay motor insurance premiums, according to a report published earlier this week by the National Youth Council of Ireland. The Plunder Years outlines the high and escalating cost of motor insurance for young drivers. It also details the causes and recommends actions the Government should take to address insurance costs.

The report found that young male drivers with a full licence for a number of years and a good driving record were still paying between £2,000 (€2,540) and £3,000 for third-party insurance. Many young drivers are forced to pay insurance premiums by instalment as a result, the report states. This form of payment incurs interest charges of up to 18.6 per cent.

The council believes the Government needs to adopt an overall strategy that addresses the continuing high number of road accidents, and high cost of claims and legal costs.