Insurance firm may lower premiums with low penalty points

An insurance firm has announced plans to reward drivers with little or no penalty points with significantly lower premiums.

The move by the Hibernian Insurance company could reduce motor insurance costs by up to 50%.

However, the move would depend on access to information about motorists with penalty points.

Nonethless, Hibernian's head of marketing Ciaran Mahon says the organisation is eager to introduce the scheme.

He says that where fatality rates are going down drivers should be seeing the benefit of this.

He added that the firm would like to see this translated into insurance premium reductions for drivers.