Car Insurance

Drivers who have points on their licence will end up having to pay more on their car insurance over the next five years. Speeding drivers may soon find themselves strapped for cash as well as pulled over by the police, as licence points add up to higher car insurance premiums. A typical SP30 speeding offence can lead to a £60 fine, as well as three points on a licence. However, while many car insurance firms are tending to ignore minor offences, the points stay file for five years – meaning any further offences will seriously affect car insurance premiums. "There is a direct relationship between speed and insurance claims so insurers take speeding offences

seriously," said Janet Pell,motor insurance manager of AA Insurance. "You would pay even more if you transgress twice in the same year. And add a CD10 conviction for driving without due care and attention (for example crossing a red traffic light) and your insurance bill could almost double – or you may find it difficult to obtain cover at all." And Ms Pell also warned drivers that simply not telling their car insurance provider about their misdemeanours would not get them off the hook when it came to high car insurance costs. "If your insurer subsequently discovers your offence, they may apply a significant penalty," she said. "If you are involved in an accident that is related in some way to a previously undeclared offence, you could find your insurance invalidated."