Penalty Points and Insurance Premiums

[Flash]

In the past I was told by Insurance company staff/brokers that fixed penalty points for i.e. SP30 three points would not affect or bump up a premium but any more than six and you would be in trouble.

Insured my Dad on my renewal policy last night (he has picked up 3 points) and premium by all insurers increased by £21 (cheapest) and others increased it by as much as £45. Normally, my Dad is always added on for free as the policy is based/calculated on the youngest driver.

Has anyone else had similar experiences?

 

[grober]

In the past I was told by Insurance company staff/brokers that fixed penalty points for i.e. SP30 three points would not affect or bump up a premium but any more than six and you would be in trouble.

Insured my Dad on my renewal policy last night (he has picked up 3 points) and premium by all insurers increased by £21 (cheapest) and others increased it by as much as £45. Normally, my Dad is always added on for free as the policy is based/calculated on the youngest driver.

Has anyone else had similar experiences?

Possibly to do with his age or claim history or simply that statistics show multiple driver ( i.e. greater than one) cars have a slightly greater risk profile??

 

[racall]

I got loaded £100 (direct line) for my second SP30

 

[Aletank]

Esure £60 for first 3 points, They stay on your license 5 years,So is that £60X5 plus £60 fine =£360 for 39 in a 30
Insurance companys will never give you somethin for nothin,If there's a reason they can bump up your premium they will!!

 

[tim.100]

Esure £60 for first 3 points, They stay on your license 5 years,So is that £60X5 plus £60 fine =£360 for 39 in a 30
Insurance companys will never give you somethin for nothin,If there's a reason they can bump up your premium they will!!

With careless driving convictions falling by a 1/3, SP offences are all the insurance industry has to rely on. Another downside of robotised cash generation led by the Home Office.

 

[A-AvantGarde]

I never had any problems even when I had 11 points 2 SP30's & 1 SP50 quite a few years ago!

I guess it's changed now but at the time my inusrers (NU Direct) said they weren't concerned about speeding only dangerous, reckless & drunk driving.

Perhaps they thought that with 11 points my driving licence wasn't going to last long

 

[Gollom]

Esure £60 for first 3 points, They stay on your license 5 years,So is that £60X5 plus £60 fine =£360 for 39 in a 30
Insurance companys will never give you somethin for nothin,If there's a reason they can bump up your premium they will!!

Hmmm - I thought they expired after 3 but stayed on for 4?

 

[SG CL500]

Different insurers have different attitudes - i used to sell policies and we had one (targetting low risk, female main drive, 2nd car in household) that wouldn't insure anybody with any convictions (or accidents).

 

[Aletank]

Hmmm - I thought they expired after 3 but stayed on for 4?

I'm not to sure but I have heard similar. When getting quotes for insurance they always ask about the last 5 years

 

[Rory]

Liverpool Victoria (aka Frizzell) don't even require to be told about speeding, unless a single offence resulted in a ban.

 

[hawk20]

In the past I was told by Insurance company staff/brokers that fixed penalty points for i.e. SP30 three points would not affect or bump up a premium but any more than six and you would be in trouble.

Insured my Dad on my renewal policy last night (he has picked up 3 points) and premium by all insurers increased by £21 (cheapest) and others increased it by as much as £45. Normally, my Dad is always added on for free as the policy is based/calculated on the youngest driver.

Has anyone else had similar experiences?

Hold on. If I understand correctly, you were told three penalty points for YOU would not affect the premium. That is quite different from adding a second driver who has penalty points.

 

[Flash]

Hold on. If I understand correctly, you were told three penalty points for YOU would not affect the premium. That is quite different from adding a second driver who has penalty points.

I was told that this applied to ALL drivers...

The Policy is always rated/calculated on the youngest driver and anyone older is added on for free (unless you now have three penalty points plus... )

 

[big x]

Different insurers have different attitudes - i used to sell policies and we had one (targetting low risk, female main drive, 2nd car in household) that wouldn't insure anybody with any convictions (or accidents).

Do insurance companies have direct access to the DVLA points database ?

adam

 

[SG CL500]

Do insurance companies have direct access to the DVLA points database ?

adam

not when i was in the trade but things have moved on since then - i would be surprised if they had direct acces though

Edit - you will have to supply a copy of your driving license with the claim form though (and any other insured drivers) and they do have a central database of claims

 

[glojo]

Do insurance companies have direct access to the DVLA points database ?

adam

You beat me to it.

The frightening thing here is...

How many drivers are completely honest when applying for insurance. Would the insurance company take the money and then if a very large claim is made, refuse to pay out?

I have read countless posts where members have advised others to be 'liberal' with the truth, and is it only when a claim is made that the policy is examined?

Regards,
John

 

[SG CL500]

John - there is little the insurance company can do to avoid paying a third party claim even if the information was incorrectly supplied - once they've issued cover 3rd parties are pretty much OK. However, if the info was wrong they can void the policy and recover their costs from the insured party and, of course, refuse to pay our any of the policyholders claims.

In reality 75% of the time they just charge the increased premuim unless the claim is huge, the missing info directly relates to the claim (e.g. aftermarket wheels being stolen, cosmetic mods and the car is stolen, engine performance upgrades). You do run the risk tho that they will cancel the policy and refuse to cover the claim.

If you have a policy cancelled on you under these circumstances you will always have to declare it when applying for a new policy.

 

[glojo]

John - there is little the insurance company can do to avoid paying a third party claim even if the information was incorrectly supplied -

Thanks very much for the most informative reply and yes I accept the third party should be covered. However in a MAJOR claim, like you correctly point out the insurance company will probably pay out the third party, but if you have made an application and signed it stating the information you have supplied is true, then what I am asking is...... Will they pay out YOUR costs. YOUR wrote-off £30,000 car. YOUR hospital costs? YOUR loss of earnings? I fully accept your very valid point about third party, but if your suggesting the insurance companies will pay out, then I would suggest that when applying for insurance we all state we have NO convictions, we all live in a very nice area, and we are all age 45 years. This is perhaps an exxageration of my question, but it highlights my point.

For a small insignificant claim I suggest the insrance companies will simply pay out, BUT they would be failing their share holders if they did not investigate fully the big pay outs which I am talking about.

Have a merry Christmas
Regards,
John

 

[Benzowner]

My car insurance loaded about £30 for my speeding points, 62 on a 50mph motorway stretch approaching the Severn Bridge Tolls, my motorcycle insurance were not interested when I told them. Difference is, I am a named driver on the car policy, my motorcycle policy is in my name only. I do beleive though, that insuarnce companies do their own thing and there is no standard.

 

[fredfloggle]

not when i was in the trade but things have moved on since then - i would be surprised if they had direct acces though

Edit - you will have to supply a copy of your driving license with the claim form though (and any other insured drivers) and they do have a central database of claims

No you don't - they have access to the DB - they know more about you than you do as do the AA for issuance of an IDL . I am pretty sure that Hire Care Co's can also get it if they pay a fee.

 

[Flash]

Put it this way - if you do not declare penalty points then databases are cross referenced for claims and the failure of disclosure will result in the claim being void and save the insurance company ££££s.