Penalty points could push up car insurance by 26%

Driving mistakes could be costing motorists far more than they realise, as new data reveals that penalty points could increase the price of car insurance by as much as 26% on average.

Car insurance experts from Quotezone.co.uk warn that drivers picking up points on their licence may see their premiums shoot up, with costs rising further as the number of points increase.

This is despite 42% of British drivers saying they don’t think penalty points should affect insurance premiums, according to a new Quotezone survey.

More than 4.8 million penalty points were issued to UK drivers in 2025* and now Quotezone’s new data reveals that motorists with three points on their licence pay around 15% more for their annual car insurance than drivers with a clean record.

The increase becomes even steeper for those with six points, with average premiums rising by 26%. If the average car insurance premium in the UK is currently £607, that’s an increase of £158.

Penalty points can have an even greater impact on younger motorists, as they already typically face the highest insurance prices. Looking at specific age groups, drivers aged 17-24 see their premiums rise by 7% on average after receiving three points, while six points increases costs by around 9% – meaning a young driver with six penalty points could be paying an average of £1839.

But the stakes are even higher because of the rules surrounding newly qualified motorists.

Drivers who accumulate more than six points within their first two years of passing their test can automatically lose their licence, forcing them to retake both their theory and practical driving tests.**

For older drivers aged 45-64, the penalties could have a more dramatic impact, with a 25% increase for three penalty points and a 29% increase for drivers with six penalty points, seeing average premiums increase from around £555 for those with a clean licence, to almost £900 for those carrying six points.

Average Annual Car Insurance Premiums
AGE VS PENALTY POINTS	0 points	3 points	% Change	6 points	% Change
17-24	1574.29	1687.81	7%	1838.70	9%
25-34	1057.61	1196.20	13%	1497.56	25%
35-44	849.01	880.48	4%	1269.12	44%
45-64	555.11	694.79	25%	897.90	29%
65+	527.84	668.57	27%	834.58	25%
AVERAGE			15%		26%
Quotezone data based on 500,000 quotes from November 2025 – January 2026.

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Penalty points are issued for a wide range of offences, but many motorists pick them up for everyday driving mistakes as well as more serious incidents – from driving through a red light to not wearing a seatbelt or minor speeding offences. If drivers accumulate 12 penalty points within three years, they will likely be banned from driving.  

The points typically remain on a driver’s licence for four years, although they can still affect insurance premiums for longer as insurers often ask about driving convictions within the past five years. When asked whether they believe four years is fair, 50% of drivers said it’s too long.

Depending on the offence, the driver might be given an alternative option, such as a speed awareness course instead of penalty points. Considering points can increase car insurance premiums for several years, the additional one-off cost of the course is often considered a sensible choice – although drivers can only go to one course every three years and there is no legal requirement for the police to offer it.

Quotezone’s survey also reveals some confusion around insurance rules, as 7% know someone who has forgotten or lied about points to their insurer, while 23% didn’t realise they must inform their insurer of new points gained after taking out the policy.

The experts warn that failing to declare points to car insurers could lead to policies being invalidated or claims getting rejected. Insurers generally use the DVLA database to check how many penalty points a driver has so it’s important for motorists to be honest – and check the database themselves if they are unsure.

Greg Wilson, car insurance expert and CEO at Quotezone.co.uk said: “Even a single minor offence can lead to penalty points that push insurance costs higher – potentially for years to come.

“The insurance provider uses risk analysis to calculate each individual premium cost per driver, looking at key factors such as age, postcode, type of car and driving history. If a driver has penalty points it shows they are at greater risk of having an incident on the road than someone with a clean licence, meaning normally, their premiums will increase.

“Our data shows that just three points can increase premiums by an average of 15%, while six points can see them rise by 26%.

“It’s important to note that all providers weigh up risk slightly differently so it’s worth shopping around for competitive quotes or trying a convicted driver policy.

“It’s worrying to see nearly 10% have forgotten or lied to their insurer about having penalty points. If a claim was needed and the information on the policy was inaccurate, it is unlikely that the driver would be protected.

“Honesty with the insurance provider, careful driving, staying aware of speed limits, and regular reminders of the rules of the road can all help motorists protect both their licence and their wallet.”

Safety tips for drivers to help steer clear of penalty points:

1. Always watch out for speed limits, particularly on unfamiliar roads

Driving within the legal speed limit not only reduces the risk of accidents but also helps avoid automatic penalty points. On unfamiliar roads, it’s easy to misjudge limits or miss signs. Local councils across the UK are trialling speed limit changes from 30mph to 20mph on certain roads so drivers will need to be cautious and on the lookout for changes.

2. Avoid mobile phones – even learner supervisors can be caught too

Using a phone while driving, can lead to six points and a fine – drivers must not use a device in their hand for any reason, whether online or offline. This also applies to people supervising learners. Putting the phone in the boot or glove box is a good way to help avoid temptation. Those caught using a phone while driving within two years of passing their test will lose their licence.

3. Pay close attention to road signs and traffic signals

Many minor offences, such as missing a give way sign, can lead to three penalty points. Poor observation is one of the most common contributing factors in serious vehicle collisions, it’s important for drivers to stay alert and refresh themselves with the Highway Code if they are in any doubt about the meanings of signs or signals on the road.

4. Keep up to date with changes to driving laws

Traffic rules evolve regularly, from new speed limits to changes in penalties for certain offences. Staying informed ensures drivers are not caught out by rules they didn’t know had changed. Using a phone in the drive-thru is a good example, drivers can now use their phone while the car is stationary to make a payment but that’s one of very few exceptions to holding a phone while driving.

5. Don’t drive in a hurry

It’s sensible for drivers to always leave more time than they need for their journey. Aggressive or rushed driving increases the likelihood of mistakes. Planning ahead and anticipating other road users’ actions reduces risk, meaning fewer accidents, fewer penalty points, and ultimately safer roads.

As a price comparison site, Quotezone helps drivers compare and find savings on all sorts of motoring products, such as van, fleet and car insurance.

References:
*https://www.driving.org/penalty-points-for-driving-offences-reach-4-8-million-in-2025/
**https://www.gov.uk/penalty-points-endorsements/new-drivers

SURVEY: Quotezone.co.uk’s findings are based on a randomised survey of 1,000 respondents across the UK during March 2026, which represents a margin of error of approximately 5% at a 95% confidence level.