At some point or other, most of us have received a speeding ticket or picked up points somewhere along the line. We never intentionally aim to get the points but they are often part in parcel of driving. What affect do they really have on our insurance though?
According to the Department for Transport, more than 2.6 million UK drivers hold penalty points on their licence. All these drivers will be paying an extra premium of various natures for their car insurance.
How much is my insurance likely to increase with points?
Points will always have an affect and will cause an increase on your policy. That said, if you have no other convictions and no claims on your licence, then assuming you get a simple 3 points for speeding, it is unlikely to increase much.
If however, you have already got 6 points for speeding and then gain more points for dangerous driving, then it is likely your premium will increase considerably. If you have that many points, you may want to consider a specialist convicted driver insurance policy.
Surveys have shown that a 3 point penalty can increase your premium by around 5%. A repeat offence or increase of points to 6 points can increase you premium by as much as 25%.
When premiums are calculated by the insurer, they take into account a number of other factors. These include your age, job, vehicle use, claims, location and more. If you score well on all areas but have 6 points, it’s unlikely your policy will be to horribly priced.
How long do points stay on your licence?
The length of time which the points stay on your licence depends on what they are for. Speeding point will stay on your licence for around 4 years. Dangerous driving points though will stay on a little longer as will drink or drug driving points. If you have been caught drink driving, then a specialist drink driving insurance policy may be better suited to you.
Do I have to notify my insurance company of my points?
If you receive penalty points, you are required to reveal them to your insurance company. If you fail to reveal your points and you are involved in an accident, your insurance company is unlikely to pay out.
Some drivers believe they don’t need to inform their insurance company about the endorsement since they have already paid for it at the beginning of the policy. The vast majority of insurance companies have clauses in their policies that require policyholders to immediately inform them about any new convictions and penalty points.
Does coverage affect penalty points?
No, regardless of your chosen level of cover (comprehensive, third party, third party fire and theft), your policy cost will increase. You could chose to have a lower lever of cover but it is unlikely to change the cost of your policy much as you will still be considered a slightly higher risk driver.
Can I lower the cost of my insurance with penalty points?
If you have points on your licence, like any policy, the best way to save money is to compare and shop around. If you just have 3 speeding points, you can still apply for simple car insurance. If you drive a van, you may want to consider convicted van insurance as a way of reducing your policy.
If you have a TT99 conviction, it can be harder to find insurance due to the larger number of points you will have gained. That said, we do help many people find TT99 Insurance and sensible prices.
Will I be judged for having points?
No! No insurance company should judge you for having points. Total Insurance Comparison offer a free and impartial comparison service where you will not be judged regardless of the points or convictions you have.