AA Reports Money Misery For Mobile Phone Using Motorists

While those who illegally use a mobile phone while on the road will face a fine, such an offence may just be the beginning of their money-related motoring pressures.

Such is the claim of AA Insurance, which it highlighted that consumers who choose the flout the law and talk on the phone while behind the wheel will be hit with a fixed-penalty notice to the tune of 60 pounds. And while some people might think that such a punishment is sufficient in itself, for those using a mobile while in motion the financial services firm indicated that such drivers will face higher motor insurance premiums. It was indicated that those drivers who are guilty of using a mobile phone while driving will discover their insurance costs rise by an average of about 40 pounds over the course of 12 months - with increases over the three-year period that the offence lasts for standing at “well over” 100 pounds.

And although yearly insurance costs rising by 40 pounds is in itself a substantial rise, many motorists could find that being caught with a mobile may have even more serious financial consequences. In a panel of eight insurance providers, AA pointed out that the companies questioned may increase annual costs from anywhere between 4.2 and 18.1 per cent for those with a single mobile offence. One firm, it was also indicated, will refuse to provide cover altogether.

Following on from increased motor insurance costs, it may be possible that drivers come under further pressure to manage other spending constraints related to their vehicle such as petrol and repairs. In turn this could impact upon their capacity to handle other monetary commitments such as personal loans, credit cards and household bills.

Consumers who use a mobile could also find themselves being charged with careless driving. An offence, it was claimed, may mean they are banned from using a car. Furthermore, such consumers may find that they are refused cover, with half of the insurance providers stating that they would not offer a premium to such a consumer, with the rest imposing increases of more than 50 per cent.

Simon Douglas, director of AA Insurance, stated: “Driving whilst using a handheld mobile phone places you at greater risk of having an accident - it slows reactions and you are less able to control the car. Insurance companies quite rightly take such offences seriously. Many offenders are not aware of the premium rise and we hope that raising awareness of this extra cost will help people to think twice about chatting on a handheld phone when driving.”

He went to assert that following a road accident police check up on mobile phone records as a part of their routine investigations to see if the device played a role in the event taking place. As a result, when drivers either have to take out cover or renew their policy, Mr Douglas urged them to be completely honest with insurance providers when asked if they have endorsements on their licence. Should this not be the case however, it was reported that they may find their insurance cover is compromised.

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