You are here: Home - Insurance - News -

Motor premiums soar due to uninsured

Written by:

Uninsured drivers cost British motorists £500m a year, but the average fine imposed for this offence is a mere £185, according to Direct Line.  

The insurer has called for an urgent review of penalties for uninsured drivers as average fines have fallen from £224 to £185 over the last decade. However, uninsured drivers add around £30 to insured drivers’ premiums, amounting to a total financial burden of £500m.

Despite the fact that accidents involving uninsured drivers kill around 200 road users every year, Direct Line has pointed out that the £185 average fine is in stark contrast to the maximum penalty for other acts such as failure to pay your TV license fee (£1,000), smoking in a smoke-free place (£200), conviction for graffiti (£5,000), fare evasion on a London buses (£1,000) or overfilling your bin (£110).

According to Direct Line, almost a fifth of uninsured drivers are under the age of 20. Uninsured drivers are 10 times more likely to have a drink driving conviction, six times more likely to be driving an unsafe vehicle and four times more likely than other drivers to have a driving without due care and attention conviction.

Maggie Game, head of car insurance at Direct Line, said: “With uninsured drivers costing British society around £500 million each year, the severity of penalties must act as a deterrent to those considering driving without insurance.

“Uninsured drivers cause accidents which kill around 200 people each year and seriously injure hundreds more. The fact that the average penalty for driving uninsured is less than a quarter of the potential fine for not owning a TV licence is alarming.

“As the credit crunch tightens household budgets, the last thing drivers need is the prospect of losing their No Claims Discount and a whopping excess if they are hit by an uninsured driver.”


Tag Box




Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Which ISA is right for you? A round up of the six products available in 2017

From cash to innovative finance to lifetime, here's our guide to the ISA products available to savers this yea...

Guide to buy-to-let tax changes

In late 2015, former Chancellor George Osborne announced a range of  tax measures aimed at landlords, which t...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Five fund tips for a 0.25% interest rate environment

With interest rates stuck at a record low 0.25% and expectations rates could fall to close to zero, here are ...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Investing your money

Alliance Trust Plc gives you smart insight into how to invest your money

Money Tips of the Week

Read previous post:
Brits feel pressure as crunch continues

Almost 29 million people feel more stressed, less fit and healthy and more prone to illness now than they did...