Penalty Points & Car Insurance: What Every UK Driver Needs to Know (2026 Guide)

Receiving penalty points can be frustrating, but they don't automatically mean your insurance premiums will skyrocket.

Different convictions affect insurers differently, and understanding how insurers assess risk could save you hundreds of pounds when your renewal arrives.

Here's everything you need to know.

Do You Have to Tell Your Insurance Company?

Yes.

When applying for a new policy, you'll normally be asked whether you've received any motoring convictions or penalty points.

Providing incorrect information could result in:

• A cancelled policy

• A refused claim

• Higher premiums later

Always answer honestly.

Which Driving Offences Affect Insurance Most?

Some convictions concern insurers more than others.

These commonly lead to higher premiums:

• Speeding offences

• Using a mobile phone while driving

• Careless driving

• Driving without insurance

• Drink or drug driving convictions

• Dangerous driving

  
  

The more serious the offence, the greater the impact is likely to be.

How Much Can Insurance Increase?

Every insurer prices risk differently.

Factors include:

• Number of points

• Type of offence

• Driver's age

• Vehicle

• Annual mileage

• Claims history

  
  

Some drivers see only a small increase after a minor speeding offence, while more serious convictions can increase premiums significantly.

This is why comparing multiple insurers is especially important after receiving points.

Common Penalty Codes

Some examples include:

Code	Offence
SP30	Speeding on a public road
SP50	Speeding on a motorway
CU80	Using a mobile phone while driving
DR10	Drink driving
IN10	Driving without insurance
CD10	Careless driving

Insurers don't just look at the number of points—they also consider the conviction code itself.

How Long Do Points Affect Insurance?

Most insurers ask about convictions received within the last five years, although some may use different periods.

Even after points expire from your driving licence, insurers may still ask about previous convictions depending on their underwriting rules.

Always answer the questions exactly as they're asked.

Can You Still Find Affordable Insurance?

Absolutely.

Different insurers view driving convictions differently.

One insurer may increase your premium substantially, while another may make only a modest adjustment.

Shopping around becomes even more valuable if you have:

• Penalty points

• Previous claims

• Young drivers on the policy

• Modified vehicles

  
  

Tips to Keep Premiums Down

Consider:

• Comparing multiple insurers before renewing.

• Increasing your voluntary excess if appropriate.

• Parking your vehicle securely.

• Limiting annual mileage if accurate.

• Building your No Claims Discount.

• Avoiding unnecessary modifications.

Small changes can sometimes make a noticeable difference.

Frequently Asked Questions

Will 3 points increase my insurance?

Possibly, although the increase varies between insurers and depends on the offence.

Do insurers check my licence?

Insurers may ask for permission to check your driving record or request information during the application process.

Is speeding worse than a mobile phone conviction?

Many insurers consider mobile phone offences more seriously because they can indicate distracted driving, but pricing varies between insurers.

Final Thoughts

Penalty points don't mean you can't find competitive car insurance.

The key is comparing a wide range of insurers rather than automatically accepting your renewal price. Every insurer assesses risk differently, so taking a few extra minutes to compare quotes could save you money.

If you've received penalty points and your renewal has increased, don't assume every insurer will charge the same.

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