Another Reason for 20 mph: Lower Insurance Rates
If the direct benefits of fewer collisions aren't enough…
A UK insurance comparison site, confused.com, has quantified the effect of lower speed limits in the UK, reports Rupert Jones in the Guardian:
This week a leading price comparison website reported the biggest annual drop in UK car insurance prices in more than 10 years, with the average cost of cover falling by £161 – or 16% – in the past 12 months.
After a turbulent couple of years during which many drivers were hit with record premium hikes and some saw their costs double, that represents some much-needed good news. But car insurance still typically costs a lot more than it did: the average UK premium is 33% higher than it was two years ago, just before the huge rises that took effect in 2023.
Confused.com, which released the data, says drivers can now expect to pay an average of £834 for comprehensive car insurance. That is down from £995 a year earlier, and is the lowest price recorded in 18 months.
£834 equals $1,029.02.
While some of that reduction might be attributed to insurers competing or increased safety in vehicles, many are pointing to the reduced speed zones that have been introduced in many locations, such as populated areas in Wales, London, and others.
In England, cities including London have been rolling out 20mph zones. Transport for London says almost 165 miles (265km) of its roads are now subject to this speed limit, with more schemes in the pipeline. This week, it was reported that a 20mph limit is expected to be introduced on roads in residential areas across Manchester as well as in the city centre.
The first indications that 20mph zones could bring down the cost of car insurance – as well as cutting speeds and reducing road casualties – came in June last year, when the car insurer esure reported that vehicle damage claims in Wales fell by a fifth after the default limit was introduced.
So along with the reduction in collisions (and mortality) coming from the lower speeds, there is a real payback to those not directly involved in fender benders (or worse): the average driver is seeing tangible benefits to their pocketbook.
Of course, you can only get those benefits if you drop the speed limit to 20 mph.