Do speeding tickets affect car insurance?
The short answer is yes, speeding tickets do affect car insurance premiums. That’s because as well as a ticket, you will also accrue demerit points on your licence. If you’re a learner or P1 licence holder, your licence will be suspended for at least three months.
This is important information to know, but especially so for NSW drivers. A few months ago the NSW government made the decision to remove warning signs from mobile speed detection cameras. Since then, speeding fines in the state have risen from $400,000 per month to a huge $2.5 million per month, according to a report from 9News.
How do demerit points work?
The demerit points system is a fairly common way for authorities to rate drivers for recklessness on the road. In Australia a licence-holder will start off with zero points to their name, that’s good. However, if they are caught doing something illegal such as speeding, not wearing a seatbelt, running through a red light or a stop sign, they will receive demerit points.
Once you have accrued demerit points, you will usually have to wait three years for them to be removed. Generally speaking, the maximum you can accrue before your licence is suspended is 12. Although this can vary in different states and territories.
Why do demerit points affect car insurance?
Demerit points affect car insurance because they show your insurance provider that you are (or have been) a reckless driver in the past. For example, a speeding ticket shows an insurance provider that you may be prone to speeding, meaning there’s a higher chance that you could be involved in a car accident.
It’s also worth remembering that driving offences are offences for a reason. According to Transport for NSW, speeding is the most common cause of road fatalities in the state. So it’s understandable that insurance providers will want to review your driving history when determining the price of your premium.
Of course, the number of demerit points you have are just one factor that will affect what you pay. Others include how old you are, how long you have been driving, where you park your car at night and what the crime rate is like in your area. If all other factors are rosy looking, there’s a chance that your car insurance might not be too adversely affected by a past speeding ticket.
Lastly, car insurance premiums can vary significantly, depending on which provider you choose to go with. In Mozo’s 2020 Car Insurance Report, our research team found that the average annual premium difference between comparable policies was $902.
Think it’s time you reviewed your car insurance? Take a look at the policies on offer below, or head to Mozo’s compare car insurance page for more options.
Compare car insurance - last updated February 27, 2021
Comprehensive Car Insurance
- Monthly premiums
- Yes Costs Extra
- Choice of repairer
- Optional Extra
- Choice of excess
- $500 - $1,850
- Agreed or market value
- Agreed Or Market
Available discounts
- Online Discount Up To 15%
CompareCompareComprehensive Car Insurance
Get award winning Car Insurance. Save 15% ^ on your first year’s premium when you purchase a new policy online. Budget Direct offers tailor-made cover, new-for-old replacement, 24/7 claims, a highly-rated claims service, and get a hire car following a theft.
- New car if written off
- Yes - within 1 years and 20,000 km of original registration
- Rental car after theft
- Yes - Up to $1,000 total.
- Rental car after accident
- Not at fault - Yes. At fault - Optional Extra. Up to 14 days for at fault accidents.
- Windscreen cover
- Yes - standard excess. Option to reduce windscreen excess to $40 on every windscreen claim for an additional premium.
- Modifications
- Covered only if agreed in writing.
- Young driver excess imposed
- $600 for drivers under 21, $500 for drivers under 24, $600 for unlisted drivers, $500 for inexperienced drivers over 24.
- Roadside assistance
- Optional Extra
- Other benefits
- -
- Other restrictions
- -
Read our Mozo Review to learn more about Budget Direct Comprehensive Car Insurance
Comprehensive Car Insurance
- Monthly premiums
- Yes Costs Extra
- Choice of repairer
- Optional Extra
- Choice of excess
- $400 - $1,850 (varies By State)
- Agreed or market value
- Agreed Or Market
Available discounts
- No Claim Discount
CompareCompareComprehensive Car Insurance
Get car insurance you can count on with up to 40,000 Qantas Points when you join by 28 February. Make this the year you start enjoying more rewarding car insurance. Points awarded will be based on your premium. T&Cs & eligibility apply.
- New car if written off
- Yes - within 2 years and 40,000 km of original registration
- Rental car after theft
- Yes - Up to 14 days, max $1,000
- Rental car after accident
- Not at fault - Yes. At fault - Optional Extra. Up to 14 days.
- Windscreen cover
- Yes - standard excess. Option to reduce windscreen excess to $40 for an additional premium.
- Modifications
- Covered only if agreed in writing.
- Young driver excess imposed
- $600 for drivers under 21, $500 for drivers aged 21 to 24 inclusive, $600 for unlisted drivers, $500 for inexperienced drivers.
- Roadside assistance
- Optional Extra
- Other benefits
- Earn up to 40,000 Qantas Points when you sign up by 28 February 2021. Points earned depend on the amount spent on your premium. Points earn thresholds and T&Cs apply.
- Other restrictions
- -
Read our Mozo Review to learn more about Qantas Comprehensive Car Insurance
Comprehensive Car Insurance
- Monthly premiums
- Yes Costs Extra
- Choice of repairer
- No
- Choice of excess
- $800 - $2,000
- Agreed or market value
- Agreed
Available discounts
- No Claim Discount
CompareCompareComprehensive Car Insurance
Stella are changing the tune on car insurance, offering car insurance made especially for women. Features include no claim reward, new car replacement, customise your policy and more. Enter your car rego and get a quick quote online.
- New car if written off
- Yes - within 3 years and 60,000 km of original registration
- Rental car after theft
- Yes - Up to 14 days.
- Rental car after accident
- Not at fault - yes. At fault - Optional Extra. Up to 14 days.
- Windscreen cover
- Yes - standard excess. Option to reduce windscreen excess to $0 on every windscreen claim for an additional premium.
- Modifications
- Covered only if agreed in writing.
- Young driver excess imposed
- $600 for listed drivers under 25. $1,600 for unlisted drivers under 25
- Roadside assistance
- Optional Extra
- Other benefits
- -
- Other restrictions
- -
Read our Mozo Review to learn more about Stella Comprehensive Car Insurance
Comprehensive Car Insurance Policy
- Monthly premiums
- Yes Costs Extra
- Choice of repairer
- No
- Choice of excess
- $650 - $795 As A Fixed Excess; Varying Between States
- Agreed or market value
- Market
Available discounts
CompareCompareComprehensive Car Insurance Policy
Bingle keeps car insurance simple - choose between Comprehensive and Third Party Car Insurance. Comprehensive covers you for accidental loss or damage to your own car caused by insured events such as accidents, theft, storms, fire.
- New car if written off
- Optional Extra - within 3 years of original manufacture
- Rental car after theft
- Optional Extra - Unlimited days.
- Rental car after accident
- Not at fault - Optional Extra. At fault - Optional Extra. Unlimited days.
- Windscreen cover
- Optional - reduce windscreen excess to $0 on every windscreen claim for an additional premium.
- Modifications
- Automatically covered. Does not include aftermarket paint, turbochargers, nitrogen fuel or roll cages.
- Young driver excess imposed
- $600 for drivers under 25, $1,950 for unlisted drivers over 25.
- Roadside assistance
- No
- Other benefits
- -
- Other restrictions
- -
Read our Mozo Review to learn more about Bingle Comprehensive Car Insurance Policy
Comprehensive Car Insurance
- Monthly premiums
- Yes
- Choice of repairer
- No
- Choice of excess
- $800 Flat Excess Fee
- Agreed or market value
- Agreed
Available discounts
CompareCompareComprehensive Car Insurance
Easier, better, smarter car insurance. Say g’day to Poncho. They've taken the complicated out of car insurance and created a new route that's simple, u-turn free and keeps you in the driver’s seat. No cancellation fees, 24/7 online claims service and a policy that works just like a monthly subscription.
- New car if written off
- Yes - within 15,000km of original registration
- Rental car after theft
- Yes - Up to 14 days, max $50 per day
- Rental car after accident
- Yes - Up to 14 days, max $50 per day
- Windscreen cover
- Yes - $0 windscreen excess
- Modifications
- Covered only if agreed in writing.
- Young driver excess imposed
- No additional excess for young drivers. $3,000 for unlisted drivers
- Roadside assistance
- No
- Other benefits
- -
- Other restrictions
- -
Read our Mozo Review to learn more about Poncho Comprehensive Car Insurance
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