declaring driving ban and costs

[ritual11]

hi i was wondering if someone could help i am going to receive a short term disqualification from driving, for the offence of driving with no insurance. i will have to declare this to the insurance company. i have already found out that this will cost me as much as �500 more to insure myself. my question is, will i have to pay �500 more every year when renewing my policy and/or changing insurer, or does this charge only apply when the policy has been taken out for the first time after the conviction? if it helps, i will be convicted in august 2008 but my policy is not due for renewal until may 2009 thanks

[R1Geezer]

It will taper over time. So if you manage the first year clean the second year will probably add on �400 etc etc.

[redcrx]

i think you have to inform them as soon as you get the points and ban rather than wait until renewal.

[R1Geezer]

what renewal? he's done for no insurance redcrx!

[ritual11]

sorry for not clarifying, i got stopped by the police in march and i was insured only minutes after i was stopped. its a long story but, if i get points on my licence instead of a ban, does that need to be declared as well?

and will i keep on being charged every year (tapered charge?)

[buildersmate]

Insurers manage risk. The risk is that you might make a claim. They can't know if you will so they use your historical record to predict what might happen. They do this in a sophisticated way.
Immediately you tell them something that impacts your risk rating, they load the premium at the next opportunity - in your case by say �500.
After a year in the clear, you have started to 'redeem' yourself - you've had a year with no problems. So you are less of a risk and the premium is likely to be less extra loaded. And so on after the 2nd year of no further difficulty. But it will take more than a year for the 'taper' to be removed.
They do afterall ask a standard question about any accidents or convictions in the last 5 years - that gives you an idea how long they want to know about such events.