According to a report in the Daily Telegraph, thousands of novice drivers are unknowingly in possession of invalid young persons car insurance.
Apparently the inexperienced motorists have been targeted as part of a national scam. Enticed by the prospect of obtaining cheap car insurance they have actually paid for policies which offer no protection at all.
In some instances the fraudsters have secured low cost deals by providing false customer details to established insurers. In others they have handed over completely fake documents, which are not worth the paper they are written on.
A representative of the Association of British Insurers (ABI) said, "If you are approached by someone offering cheap insurance or you see an offer that seems too good to be true, it probably is.
"If you are unsure if an insurance intermediary is legitimate then check with the Financial Services Authority that they are authorised and registered with the FSA."
Motor insurance scams are likely to prove effective for as long as the true price of premiums continues to rise, and people struggle to make ends meet.
With the average amount paid by men in the 17-25 age bracket at an all time high, for some drivers, there may be little option but to seek alternative modes of transport.