Drivers with a speeding offence on their licence could be paying hundreds of pounds too much for their car insurance, according to online car insurance provider swiftcover.com.
Comparisons of car insurance quotes by swiftcover.com show that drivers with a single speeding fine could see their insurance rise by as much as £50, £60 or even £70 on top of already high premiums. swiftcover.com, on the other hand, does not penalise drivers with just one speeding offence1 because the company says they do not pose an increased insurance risk.
The following example quotes are for a 33 year old male driving a Ford Focus 1.8 Zetec and living in East London*:
Craig Staniland, underwriting director at swiftcover.com explains: “swiftcover.com uses detailed claims data to identify where the major areas of claims risk are, so that we can keep car insurance premiums low for those drivers that do not present a higher risk. Our claims data shows that drivers with a single speeding offence on their licence are no more likely to make a claim than drivers without a conviction.
“Multiple speeding offences could end up with a driver being banned due to the totting up rules, so we find that responsible motorists with one speeding offence will probably drive even more safely to ensure they do not end up with further points and a ban. If a driver is banned, their insurance premiums will soar once they are allowed back on the road again.”
Chris Bruton is one of many motorists who assumed that his insurance costs would increase when he was fined for speeding. However, he felt his existing insurance with Budget was far too expensive when the renewal notice came through, prompting him to shop around for a cheaper quote.
Chris, 39, from Lindfield in West Sussex, explains: “Although I have three points on my licence and believed that would increase my premium, I thought that my renewal seemed very expensive so I went to the internet to compare prices and find a better deal.
“Unlike other insurers I tried, swiftcover.com did not increase the price of my policy because I had a speeding conviction. swiftcover.com offered a very competitive price, actually knocking my premium down from £300 to £200, and saving me over a third on my renewal price. So I actually ended up paying a cheaper premium than before I had points on my licence.”
According to recent research from swiftcover.com’s parent company AXA, 53% of Brits say that their driving is affected by the threat of getting points on their licence. Yet almost two million Brits received speeding tickets last year alone, forking out over £104.6 million in speeding fines. In the UK there are over 5,140 speed cameras, alongside hand held and mobile cameras, so the likelihood of being caught speeding is high.
A minor speeding offence usually results in a £60 fixed penalty notice and three penalty points, with most insurers pushing up a driver’s insurance premium significantly following a speeding conviction. However, if drivers do not tell their insurers that they have a speeding offence on their licence, the policy could be invalid in the event of a claim. The ‘totting up’ process of British driving licences means that if you get 12 points on your licence in three years you will probably be banned from driving.
Insurance quote examples
*Example one – Ford Focus
33 year old man living in East London driving a five-door Ford Focus 1.8 Zetec petrol manual manufactured in 2005, works as an accounts manager, has five years no claims discount and uses the car for commuting/domestic purposes.
Example two – Ford Fiesta
33 year old woman living in Wales driving a five-door Ford Fiesta 1.4 style petrol manual manufactured in 2005, works as an administrative manager, has five years no claims discount and uses the car for commuting/domestic purposes.
1One speeding offence means a speeding violation that does not result in a driving ban
2One SP30 speeding offence (three points and £60 fine)
