Speeding Fines And Increased Car Insurance Premiums
As we are all aware there has been a massive increase in the number of speed cameras on UK roads over the last couple of years. This increased coverage, and motorist lax attitude to a £60 fine and 3 penalty points , has seen a massive rise in the amount of money raised from this revenue stream. Is there really much else to worry about after you have paid the fine?
While there is no simple answer to this, there is a growing trend in the insurance industry which has seen car insurance premiums rise by up to £1,500 a year! There are also other major problems if you go over the points limit and receive a driving ban, which can not only effect your transport options in the short term, but still have a major impact on insurance premiums when you do get behind the wheel again.
Accordingly to official figures from the Department of Transport there were 700,000 speeding fines posted in 2004, resulting in upwards of £4 million in income for the Treasury. As for the insurance industry, even if premiums were to increase by only £100 a year on average, this would increase the overall cost of car insurance by £70 million a year - although in reality the average increase will probably be significantly higher.
The message is simple, points mean extra costs, not to mention the potential for causing major accidents on the road. Insurance companies have been complaining about reduced income over the last few years and are looking for reasons to increase premiums - do not give them an easy opportunity!
You must be logged in to post a comment.