Just three points could drive up your car insurance costs

Written by: Simon Pavey, Last updated:14th February 2022

Just three points could drive up your car insurance costs

Many people will have begrudgingly accepted a few points on their licence for a minor driving offence at some time or another.

However, what might not be clear to a lot of them is just how much of an effect this could be having on their car insurance premiums.

How premiums soar with just a few points

New research by Compare the Market used data from the Driver and Vehicle Licensing Agency and a survey of 2,400 UK motorists to examine penalties and the cost of car insurance.

It found that having just three penalty points on a driving licence adds an average of £209 in additional insurance premiums per year, amounting to a total of £230 million across the UK.

If a driver goes from zero to three points, their average premium is likely to be around £750. However, if someone adds another three points to their licence to total six, they can expect to pay an average of £1,159.

More than 500,000 people currently have six points on their licence, 85 per cent of which came from speeding violations.

Although three-quarters of those who had received penalty points reported changing their driving behaviour as a result, Compare the Market said the study suggests many people may not be considering the long-term impact of their bad habits on their insurance.

Spokesperson Dan Hutson said: “Drivers should be incentivised by these numbers to take care when on the road or risk being charged a huge amount for cover.”

Penalty points can be given out by police for a range of misdemeanours, from using a vehicle with a defective tyre (three points) to failing to comply with a school crossing patrol sign (also three points).

Jenny Smith, general manager for Tele-Gence, commented: “A few points here and there might not seem like the gravest offence in the world, but this goes to show the financial toll they can take. It’s definitely worth fleet owners reminding their teams of the importance of driving responsibly.”

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