Uninsured drivers cost Brits £500 million a year

Direct Line is calling for a policy rethink after proposed new fine levels for uninsured drivers could be as little as £50.

Whilst initially a fine of £100 will be issued, if paid promptly it reduces to £50 and is unlikely to deter the persistent uninsured driver. The new fine level is even less than the current average fine of £185 which has already fallen from £224 over the last decade. This is despite the £500 million financial burden of uninsured driving adding around £30 to insured drivers' premiums.

With accidents involving uninsured drivers killing around 160 road users each year, the new proposed fines stand in stark contrast to the maximum penalties for a range of lesser misdemeanours such as;

Failure to pay your TV licence fee: £1,000
Smoking in a smoke-free place: £200
Conviction for graffiti: £5,000
Fare evasion on London buses: £1,000
Overfilling your bin: £110

Andy Goldby, Director of Motor Underwriting at Direct Line, says, "Whilst we welcome this initiative, 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.

"Of the 1.5 million uninsured drivers on our roads, only 260,000 are convicted each year. The Government's proposed Continuous Enforcement programme will catch more uninsured drivers, but if the fines are less than the average insurance premium then it's not going to stop them from re-offending.

"Uninsured drivers cause accidents which kill around 160 people each year and seriously injure hundreds more. The fact that the new proposed fine for driving uninsured is less than if you were to overfill your bin is alarming. We will continue to push the government to review the level of fines."

Significantly, drivers in higher risk demographic groups are more likely to be uninsured with almost a fifth under the age of 20. Uninsured drivers are five times more likely to be involved in road collisions, to fail to comply with other road traffic requirements, and to be engaged in other criminal activity.

Direct Line is one of the few insurers to offer as standard a nil excess and maintain its customer's No Claims Discount if they are hit by an uninsured driver. With uninsured drivers already adding around £30 to everyone's insurance premium, drivers shouldn't have to pay even more if they are hit by an uninsured driver.