Speed camera signs dropped: How it could hit you twice

Posted: 30 November 2020 1:00 pm
Traffic police working

Drivers don't just face extra fines. They're also at risk of increased insurance premiums and license suspensions.

Drivers are being warned about potential fines after the NSW government announced plans to scrap signs that signal a mobile speed camera ahead.

Over the next 12 months, warning signs will be phased out for mobile cameras but signs for permanent cameras will remain in place.

In NSW, drivers face fines of up to $3,762 for speeding, although that's only for those driving at least 45kmph over the limit. For drivers just 10kmph over the limit, the standard fine is $360. With state borders opening up and many families expected to drive over the Christmas break, the changes could also impact travellers from Victoria, Queensland and South Australia.

However, hefty fines aren't the only financial blow-back from a speeding ticket. Demerit points and licence suspensions can also push the price of car insurance up.

Paying the price for speeding

Most insurance companies adjust their premiums according to how many demerit points a driver has - the more demerit points, the higher the premium.

According to Youi, this is because demerit points are a good indication of a driver's safety and responsibility behind the wheel. More demerit points mean you're at higher risk of an incident on the road, which makes you more costly to insure.

It's no good lying either. If an insurance company asks you to disclose how many demerit points you have, you're bound by the duty of disclosure to answer honestly. Lie, and the company could later refuse to pay a claim or hold you accountable for the amount you owe.

The long-term cost of license suspensions

A license suspension is a quick way to push the price of your car insurance premium up. That's because you're then considered a high-risk driver - but it's not that hard to achieve.

In NSW, once you reach 12 demerit points, your license is suspended. However, if you're still a learner or P1 driver, any speeding offence will result in an automatic suspension.

Don't worry though, demerit points don't last forever. Generally, they only apply for three years from the date of the offence. Once expired, offences should be dropped from your driving record but it's worth double checking before you apply for insurance.

In the meantime, if you are battling against steep insurance premiums, the best thing you can do to reduce the price is compare policies online. You might be able to shave a few hundred dollars off the annual cost.

Compare car insurance from Finder partners

Name Product Roadside Assistance Accidental Damage Storm Choice of Repairer Agreed or Market Value
Budget Direct Comprehensive
Agreed or Market
Finder's summary: Awarded the 2021 Finder Award for Car Insurance - Value in QLD, SA, TAS, VIC, WA and Car Insurance - Features in NSW, VIC, WA, this policy offers solid coverage at a low cost. Budget Direct's claims service has received a 4.2/5 based on nearly 5,000 customer reviews.

⭐ Current offer: Get 15% discount on first year's premium when you take out a policy online. T&Cs apply.

Who it might be good for: People who want a comprehensive policy without breaking the bank.
Australia Post Comprehensive
Agreed or Market
Finder's summary: Australia Post car insurance offers comprehensive cover for things like theft, fire, new for old replacement and emergency accommodation and transport. Cover also extends to anyone who uses your car, not just you.

⭐ Current offer: Get $75 off your first year’s premium when you buy online. T&Cs apply.

Who it might be good for: If multiple people use the one car and you don’t want to worry about listing all drivers.
Coles Comprehensive
Agreed or Market
Finder's summary: With Coles comprehensive car insurance, you could earn double flybuys points at Coles supermarkets and you can get $10 off your Coles grocery bill every time you redeem 2,000 Flybuys points. If your car is damaged, you could benefit from a one-week turnaround on repairs.

⭐ Current offer: Get 10% off your first year's premium when you take out a policy online. T&Cs apply.

Who it might be good for: Coles customers and Flybuys collectors.
Virgin Comprehensive
Agreed or Market
Finder's summary: Finalists for the 2021 Finder Awards for Best Car Insurance - Value in VIC, QLD, SA, WA and TAS, Virgin Comprehensive provides a good level of cover for a decent price.

⭐ Current offer: Get 15% off on your first year’s premium when you purchase a new eligible comprehensive car insurance online. T&Cs apply.

Who it might be good for: People who'd like to manage their policy online 24/7.
Huddle Black Comprehensive
Agreed or Market
Finder's summary: Huddle's black comprehensive is its cover with highest limits and exclusive benefits. It includes roadside assistance. You can also get up to $2,000 for emergency travel and accommodation and up to $30 million legal liability cover.

Who it might be good for: Someone who wants a 24/7 claims processing.
Qantas Comprehensive
Agreed or Market
Finder's summary: You'll be able to choose how comprehensive you want your cover to be with optional extras like choice of repairer and the option of agreed or market value.

⭐ Current offer: Earn Qantas Points for joining and paying your premium. Sign up today and earn up to 20,000 Qantas Points (points awarded will be based on your premium). T&Cs and eligibility apply.

Who it might be good for: People who'd like to earn Qantas Points.
QBE Comprehensive
Green Company
QBE Comprehensive
Agreed or Market
Finder's summary: QBE is a sustainable insurance company and also Finder's Green Insurer of the Year 2021 award winner. This policy offers the highest level of protection available from QBE including three-year new car replacement.

⭐ Current offer: Save $75 when you purchase a new comprehensive policy online. T&Cs apply.

Who it might be good for: Those that are looking for a more environmentally friendly insurance choice.
Youi Comprehensive
Agreed or Market
Finder's summary: Youi Comprehensive Car Insurance is one of the few providers to include roadside assistance in its policy. You'll also get access to YouiRewards which gives you discounts on furniture, parking and more. Youi also has a live chat feature on its site to talk through any questions.

Who it might be good for: People over 25 who want comprehensive cover with a focus on customer service.

Compare up to 4 providers

This article was updated on 30 November 2020 to note the opening up of state borders.

Get more from Finder

Ask an Expert

You are about to post a question on finder.com.au:

  • Do not enter personal information (eg. surname, phone number, bank details) as your question will be made public
  • finder.com.au is a financial comparison and information service, not a bank or product provider
  • We cannot provide you with personal advice or recommendations
  • Your answer might already be waiting – check previous questions below to see if yours has already been asked

Finder only provides general advice and factual information, so consider your own circumstances, or seek advice before you decide to act on our content. By submitting a question, you're accepting our Terms of Use, Disclaimer & Privacy Policy and Privacy & Cookies Policy.
Go to site