James Dalton, Association of British Insurers (ABI) head of motor insurance, said: "A car is potentially a lethal weapon."
He added that "radical action" is needed to "reduce the tragic waste of young lives on our roads, especially among the 17-24 age group".
An ABI spokesman told The Daily Telegraph: "Any restrictions to limit the number of passengers young newly qualified young drivers can carry for an initial period after passing their test would be a step in the right direction."
More top news
Contrary to Michael Gove's belief, people do need experts, now more than ever as we work out what leaving the EU actually means.
Cool and breezy for the time of year
The people behind the moving tribute marking 100 years since the Battle of the Somme were unknown - until now.