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Home | Automotive
Money Misery For Mobile Phone Using Motorists Say AA 
By: Mark Dawson
Although those illegally using a mobile phone whilst driving will be fined, this may be just the beginning of their motoring related money pressures.
This is claimed by AA Insurance, when it indicated that consumers who choose flouting the law by talking on a mobile phone while at the wheel will be stung with a fixed-penalty notice of 60 pounds. Although some people may think that this punishment is sufficient in itself, for those using a mobile phone while driving the financial services firm implied that such drivers will incur higher motor insurance premiums. It was also claimed that drivers who are guilty of using a mobile phone while driving will find that their insurance costs will rise by on average 40 pounds over the course of a year - with increases over the 3-year period that the offence lasts for indicated to be "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.
As a result of increased car insurance costs, it is also possible that drivers will come under more pressure to manage other aspects related to their vehicle such as fuel and repairs. This could in turn have an impact on their ability to handle other financial commitments such as credit cards, personal loans and household bills.
Drivers caught driving whilst using a mobile phone could also be charged with careless driving. This offence, it was claimed could lead to a ban. On top of this such consumers could discover that they are refused insurance, with half insurance companies claiming they would not offer them a premium, with the other half charging an extra 50 per cent.
Director of AA Insurance, Simon Douglas said: "Driving whilst using a hand held mobile phone places you more at risk of being involved in an accident - it slows your reactions reactions and makes you less able to control your vehicle. Insurance companies are correct in taking such offences seriously. Most offenders are unaware of the insurance and hope that by raising awareness of this extra penalty we will force people into thinking twice about chatting on a hand held mobile while driving."
He also added that the police check mobile phone records following on from a road traffic accident, as part of their routine investigations, to see if the phone played a part in the accident. Resulting from this Mr Douglas advised drivers to be honest about any endorsements when renewing their insurance cover. Any inaccuracies could render their policy void.
When looking to finance the purchase a new car, using a low cost loan could prove to be an efficient way to fund it. By using a cheap loan, borrowers may find that they can but the car of their dreams and have smaller monthly repayments to make. The extra help a loan provides could also help when buying a comprehensive insurance policy. A loan for this purpose is even more useful for those looking to purchase a soft top, after a recent study by Confused revealed that insurance for convertibles is an average of 11 pounds more expensive than it is for other cars.
Article Source: http://www.uberarticles.com/articles
Mark Dawson writes for Loan-Arrangers .co.uk where visitors can compare UK loans online. With online application for everything from homeowner loans to tenant loans. Visit today www.loan-arrangers.co.uk
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