Insurance company and points?

[betsson]

I've just been given 6 points for speeding on M1. Do I have to tell my insurance company straight away, or can I wait for the renewal? Is there a rough estimate for how much the premium is likely to go up, or will that depend on age, vehicle etc...

What are the implications if I don't tell them?

thanks

[sidekick]

My understanding is that you're obliged to inform your insurer as soon as you are "awarded" your points, ie. when they are put on your licence. I don't know if the insurer can/will immediately re-calculate your premium based on increased risk or if they will do that at renewal (assume the policy conditions enable them to do that, but suggest you read the terms to confirm). The implication of not telling them is that they can void your policy in the event of a claim. My advice would be to tell them and take the increased premium hit if it comes to that.

[Mr E]

You must inform them as soon as you get the points.

If you don't, and you need to claim, you'll probably find you're not insured.

Then things get expensive......

[betsson]

Thanks for the replies - but do you know when I 'got' the points e.g. is it when the offence is comitted, when the court tells me what the punishment is, or when I get my licence back?

[rude girl]

betsson said:

Thanks for the replies - but do you know when I 'got' the points e.g. is it when the offence is comitted, when the court tells me what the punishment is, or when I get my licence back?

I think when I got mine, my licence was endorsed with the date of the offence. I remember because the paperwork took ages (because it was in my company car, and it went from lease company to Head Office and then to me).

[bobthebench]

Points are effective the instant a court imposes them. You should notify insurance that day.

[loaf]

Tell the insurance company now. They will want to know the date of the offence as that is the effective date of the points (for offences not involving drink/drugs and/or disqualification). These points will be effective for 4 years from the date of the offence.

It should NOT affect your premium for the remainder of this policy year. If it's a single offence (SP50 on a motorway) then I doubt it'll have any effect even at renewal, provided you have no other unspent motoring convictions. If they load you for one speeding offence, shop round - plenty of insurers still count speeding as a 'minor' offence and don't load for one conviction - some don't even load for two, provided you're over 25 and are otherwise unblemished

[d_drinks]

Recently found myself with 6 points and a £200 fine Phoned insurance company the same day, no difference to the premium for this year but will mean about £200 extra next year (group 16 car) Failing to advise the insurer could render the policy null and void - their words not mine..

[loaf]

d_drinks said:

Failing to advise the insurer could render the policy null and void - their words not mine..

I'll try and offer some clarity on this...

They are referring to what is termed the 'duty of disclosure'.

Insurance contracts come under the concept of 'in uberrima fidei' - in utmost good faith. In this example, this means you are required to disclose any and all 'material facts' to an insurer, as you are deemed to know everything of relevance and the insurer (whom you've probably never met) is deemed to know nothing. A material fact is defined in s6(2) of the Marine Insurance Act 1906 thus: 'Any fact is material which would influence a prudent insurer in determining the premium or deciding whether or not to accept the risk'.

Motoring related convictions are certainly 'material facts' and as such you are obliged to report them immediately. Other material facts include the obvious such as change of car, other not so obvious such as if you leave your car parked in the driveway instead of the road or garage.

Failure to disclose a material fact can, in theory, result in the policy being cancelled back to when the fact occurred, or inception if the fact existed when the policy started (oh, sorry, didn't realise you didn't know about the 15 accidents I've had in the past six months...) but this is rare, and only happens when the fact is a biggie...more often a hike in premium is far more attractive to the insurer

HTH...

>> Edited by loaf on Tuesday 8th July 15:26

[tvrforever]

also if you ever drive any company vehicles you also need to give them an updated version of your licence...

[dick dastardly]

A friend of mine got 3 points about a year ago and still hasn't informed his insurers. He fails to understand that if he needs to claim then the insurance isn't worth the paper its written on and they'll use it as an excuse to tell him to pi$$ off.

[bassfiend]

FFS!!!

Tell him insurers tend not to give a damn about SP30 / SP50 offences *AS LONG AS THEY'RE REPORTED TO THEM*.

I've had a few and my insurers haven't batted an eyelid when it came to premiums but they'll nail his ass to the wall if he has an accident and they find *ANY* way out of paying up.

Phil