Driving uninsured is a risky business

02:45, Aug 04 2014

Uninsured drivers caused $7.74 million in damage in the last year, up 25 per cent, a major insurer says.

AA Insurance says it handled claims involving more than 3000 at-fault uninsured drivers in the 12 months to the end of May.

The damage was almost $2 million more than in the same period last year, and involved about 700 more uninsured drivers.

"Uninsured drivers can amass big debts if involved in a crash, and this can have life-changing consequences," AA Insurance head of customer relations Suzanne Wolton said.

"It's disturbing to see this increase."

There were a number of reasons why people might not take out insurance, mainly relating to cost, the driver's belief the vehicle wasn't worth insuring, or the driver having difficulty getting cover.

Anecdotally, many people also considered themselves to be good drivers so felt confident they were not at risk, Wolton said.

AA Insurance customer relations manager Amelia Macandrew said the increase was most likely due to the number of accidents caused by uninsured drivers increasing rather than the number of uninsured drivers.

Advertisement

Stuff