What’s The Hidden Cost Of Points On Your Licence?

Tue 13th Apr 2021

New research has revealed the true cost of collecting points on your driving licence when it comes to insuring your car.

It goes without saying that those who choose to flout the rules of the road would be heavily penalised by insurers, but analysis from Compare The Market has demonstrated how high premiums are likely to be if you get points.

The research clearly shows that the more points you have, the higher the premium, with the worst offenders paying on average £1,009 more for an insurance policy, if they have 12 points on their licence - though if you have that many points you are flirting with a complete driving ban.

Those who have three points can expect to pay £131 on average more for their insurance, while the average quote for those with six points is a whopping £937. The analysis from the price comparison website found that the number of people with points on their licence had dropped to 2.64 million drivers over the last 12 months, a three per cent drop in a year when hardly anyone has been on the roads.

Points generally stay on your licence for four years, though dangerous driving and drink-driving can see points stay on a licence for 11 years.

“Motorists may not realise the long-term cost that poor driving can have on car insurance premium,” said Dan Hutson, head of motor insurance at Compare The Market.

"Our research shows the increase in premiums is often greater than the initial fine for irresponsible driving. Drivers will also face the more expensive premiums in each of the four years that the penalty points remain on their licence.

While we have seen a substantial decline in car journeys because of lockdown restrictions, it is concerning that the number of drivers with penalty points has remained roughly the same as in the previous year.

"Beyond the obvious safety concerns, drivers should hopefully be incentivised by the financial impact to take care when on the road or risk being charged a significantly more for cover.”