Thousands of parents still 'fronting' children's car insurance

Thousands of parents are reportedly still 'fronting' their children's car insurance in a bid to keep costs down.

New research from The Co-operative Insurance found that 100,000 parents are still stating that they are the main driver of a car when the reality is that the child is doing most if not all of the driving.

Of the parents questioned, 62 per cent said they are doing so in order to save their children money but the implications of fronting can be significantly more costly in the long run. For consumers looking to obtain car insurance, not declaring the true nature of the cover required can make it difficult to obtain a payout, but it can also make it very difficult for drivers to obtain insurance in the future if they are revealed as having 'fronted' in the past.

For garages and dealerships, there are similar risks involved in providing false information when obtaining a motor trade insurance quote or policy. Not declaring the age of employees on the policy or the kinds of cars they might be driving can create real problems further down the line.

Steve Kerrigan, head of telematics at The Co-operative Insurance, commented: “These findings show that fronting continues to be an issue for both consumers and the insurance industry.

“Whilst many parents think that they are doing their children a favour by fronting insurance for them, in reality the consequences of doing this could be serious and costly if, for example, they need to make a claim. When it comes to provisional drivers what seems to be a harmless act could even lead to a loss of licence.”