Petition car insurance

When a young person passes their test they then want to buy a car. Most can only afford a cheap car, say £500. Insurance would cost something around £2500 with and excess of £1000. This means there is no incentive for that young person to insure their car, which means no insurance, no tax and no MOT. They will be caught and have the car taken from them, penalty points put on the licence but what do they care? They would have to go through this routine 6 times to make the insurance worth while. I know that would mean they are band from driving but what is to stop them driving? Our poor overworked, overstretched police force. Can a regulation/law be put through to curb the insurance companies to allow a maximum first time insurance of 100% of the value of the car and an excess of 60% of the value of the car (i.e. the right-off) which could motivate young first time drivers to get insurance, tax and MOT!