Earlier this year, insurer esure noticed a significant drop in reported accidental damage claims from its Welsh customers after implementation of the national default 20mph limit for urban/village roads. This echoed both lower actual speeds and a reduction in casualties. As a result esure has been reducing its insurance premiums for Welsh drivers.

Earlier this year insurer esure noticed a significant (20%) drop in reported “accidental damage claims” from its Welsh customers after implementation of the national default 20mph limit for urban/village roads. This echoed both lower actual speeds[1] and a reduction in casualties[2].

As a result esure has been reducing its insurance premiums for Welsh drivers.

Having reviewed 3 quarters of data, esure has seen a material trend in the accident frequencies in Wales, giving confidence in the effectiveness of the initiative in generating higher levels of road safety. esure has now formalised its approach and is committed to proactively reducing policy prices for customers within 3 months of identifying a new 20mph area in the rest of the UK[3].

The collective savings to 1.6m Welsh drivers is significant.  If applied across the whole of the UK, the saving of approx. £50 per policy would amount to a massive £1.4 billion if 20mph became the norm for cities, towns and villages, based on 28 million privately registered cars.

Wales was the first nation in the UK, to introduce legislation for a default 20mph speed limit. 20’s Plenty is delighted to see a real financial benefit being felt by Welsh drivers, a benefit that could also be seen for drivers living in 20mph places in England.

esure’s Peter Martin-Simon, Chief Customer Officer, said:

“We are already seeing the benefits in places where 20mph speed limits have been introduced. Not only does this make roads safer for drivers and pedestrians, but an extension would also materially reduce the number of collisions, as well as the severity and cost of those accidents.

Within three months of us identifying a new 20mph zone, we will proactively reduce policy prices for customers like we have already done in Wales.”

20’s Plenty Founder and Chair, Rod King MBE said:

“This confirms on a national scale the benefits from lower speeds not only reducing casualties and danger but also providing a benefit to drivers in reduced insurance premiums.

These premium reductions have been delivered in Wales because 20mph is now the norm for urban/village streets. English drivers will continue to face higher premiums until the current patchwork of 20mph limits by exception is consolidated into 20mph as a norm.

We thank esure for their interest and action in identifying and demonstrating these benefits to communities and drivers”

ENDS

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Notes to Editors

1. 20’s Plenty for Us CIC (company number 15510973) supports communities throughout the UK and internationally who want their place to be a better place to be. Its vision is for a 20mph speed limit wherever people and motor vehicles mix, with 30mph where it’s demonstrably safe for vulnerable road users.
2. For more information about 20’s Plenty for Us, please visit our website https://www.20splenty.org/ or email [email protected]

[1] https://agilysis.co.uk/2024/01/22/wales-20mph-3months-on/

[2] https://www.dailypost.co.uk/news/north-wales-news/20mph-wales-first-crash-statistics-29302303

[3] reducing-speed-limits-to-20mph-could-reduce-policy-costs-for-drivers-by-50-per-year-says-insurance-firm-esure.pdf (esuregroup.com)