Can You Still Look for Affordable Insurance With Penalty Points?
Whilst penalty points can lead to higher premiums, it doesn’t mean that Looking for affordable insurance is impossible. Many insurers specialise in offering cover for drivers with points on their licence, and by shopping around, you can look for competitive rates that won’t break the bank. It’s often a favourable suggestion to be honest with insurers about any points on your licence, as failing to disclose them could result in your policy being invalidated.
Here are some strategies that could help lower your insurance costs even with points on your licence:
- Compare quotes: Use comparison websites to compare quotes from different insurers. Some insurers may offer better rates for drivers with penalty points, so it’s worth taking the time to explore your options.
- Choose a higher excess: Opting for a higher voluntary excess can help reduce your premium. However, make sure you can afford the excess in the event of a claim.
- Limit your mileage: Reducing your annual mileage can lower your premium, as driving less reduces the risk of accidents. If you don’t drive frequently, consider choosing a lower mileage limit.
Do Different Insurers View Penalty Points Differently?
Not all insurers treat penalty points the same way. Some companies are more lenient when it comes to minor offences, whilst others may raise premiums significantly even for a small number of points. It’s important to remember that insurers use their own criteria to assess risk, so you may look for considerable variations in premiums depending on the insurer.
Here are some factors that insurers consider when evaluating penalty points:
- The number of points: The more points you have, the greater the perceived risk to the insurer. A few points for a minor offence may not result in a large premium increase, but multiple points from several offences could lead to higher costs.
- The type of offence: Some offences, like speeding, may be viewed as less severe than others, such as driving without insurance. The nature of the offence plays a big role in determining how much your premium might increase.
- The age of the points: Points typically stay on your licence for four to eleven years, but insurers are more concerned with recent offences. Older points may have less of an impact on your premium than more recent infractions.
What Steps Can You Take To Reduce Your Insurance Premiums With Points?
If you have points on your licence, there are steps you can take to minimise their impact on your insurance premiums. By taking a proactive approach, you can demonstrate to insurers that you’re committed to safer driving and reduce the cost of your cover.
Here are some tips to help lower your premiums:
- Take a driving course: Some insurers offer discounts to drivers who complete advanced driving courses, such as Pass Plus. These courses demonstrate your commitment to safe driving and can help offset the risk associated with penalty points.
- Improve vehicle security: Installing additional security features, such as an alarm or immobiliser, can lower your premium. Parking in a secure garage or driveway can also reduce the risk of theft, which could lead to savings.
- Reduce optional extras: Consider removing optional extras, such as breakdown cover or legal expenses, from your policy. Whilst these can be useful, removing them can help lower your premium if you’re looking to save money.
How Long Do Penalty Points Stay On Your Licence?
The length of time that penalty points stay on your driving licence depends on the type of offence. In most cases, points may remain on your licence for four years, but for more serious offences, they can stay on your record for up to eleven years. Even though points may remain on your licence for several years, insurers are typically more concerned with the most recent offences.
Here’s a breakdown of how long penalty points remain on your licence based on the type of offence:
- Minor offences: For less serious offences, such as speeding or failing to comply with traffic signals, penalty points typically remain on your licence for four years.
- Serious offences: For more serious driving offences, such as driving under the influence of alcohol or dangerous driving, penalty points can stay on your licence for up to eleven years.
Once the points have expired, they might no longer be visible to insurers, which can help reduce your premiums over time.
Can You Protect Your No-Claims Discount With Penalty Points?
If you’ve built up a no-claims discount (NCD), you may be concerned that penalty points could cause you to lose it. However, penalty points on your licence don’t automatically mean you’ll lose your no-claims bonus, as it depends on whether you make a claim.
Here’s how penalty points and no-claims discounts are related:
- No impact on NCD if no claim is made: If you accumulate penalty points but don’t make any claims, your no-claims discount should remain intact. Penalty points alone don’t affect your NCD unless they lead to an accident or insurance claim.
- Protected NCD: If you have a protected no-claims discount, you can make a claim without losing your discount, even if you have penalty points. This protection can help maintain your premium at a lower rate, even after an accident.
What Is The Best Way To Declare Penalty Points To Insurers?
It’s high-priority to be honest with insurers about any penalty points on your licence. Failing to declare penalty points when taking out or renewing a policy can invalidate your insurance, leaving you unprotected in the event of an accident.
Here’s how to properly declare penalty points to insurers:
- At renewal: If you’ve accumulated points since your last renewal, be sure to update your insurer with the correct information when renewing your policy.
- When taking out a new policy: Always provide accurate information about any penalty points when applying for a new insurance policy. Insurers could ask about your driving history, and any discrepancies could lead to complications if you need to make a claim.
- After receiving points: If you receive penalty points during the term of your policy, it’s important to inform your insurer as soon as possible. Some insurers may allow you to wait until your renewal, but others may require immediate notification.
Are Specialist Insurers A Good Option For Drivers With Points?
If you’re struggling to look for affordable insurance owing to penalty points, you may want to consider using a specialist insurer. These insurers are experienced in offering cover for high-risk drivers, including those with points on their licence, and may be more flexible when it comes to pricing.
Here are some benefits of choosing a specialist insurer:
- More competitive rates: Specialist insurers may offer more competitive rates for drivers with penalty points, as they are better equipped to assess individual circumstances rather than applying a blanket increase to premiums.
- Tailored cover: These insurers often offer more flexible policies that can be tailored to your specific needs, such as higher excesses or restricted driving hours, to help reduce costs.
- Understanding of your situation: Specialist insurers are more accustomed to dealing with drivers with points, so they are more likely to understand your needs and offer fairer pricing than standard insurers.
Conclusion: How To Look for The Right Car Insurance With Penalty Points
Having points on your licence doesn’t mean you have to pay sky-high premiums. By shopping around, comparing quotes, and taking steps to reduce your perceived risk, you can look for affordable car insurance even if you’ve been penalised for a driving offence. Whether it’s by choosing a specialist insurer, adjusting your excess, or taking a driving course, there are many ways to lower your insurance costs.
Looking to look for car insurance that suits your needs? Compare quotes today and discover the best options available, no matter your driving history.
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