More than 15 per cent of drivers in this year's survey said despite the law change, they still often used their mobile phone to text or call without a hands-free kit in the car.
That had doubled from 7.7 percent in 2010.
A two-week police blitz targeting drivers using mobile phoneslast year saw more than 800 notices being issued and a 119 per cent increase in offences.
The blitz, which started on October 25, also included a focus on safety belts, with police issuing 3042 notices to drivers or their passengers for failing to wear safety belts.
National manager of road policing Superintendent Paula Rose said it was "disappointing'' that many people were still talking or texting on cellphones while driving.
AA Insurance head of operations Martin Fox said drivers' increasing mobile phone use was a major safety risk.
"Checking or using your mobile phone while driving has proven to be a major distraction that can result in serious consequences. It was banned in 2009 for a reason and that reason hasn't changed in 2012."
Other top distractions included eating while driving, using GPS, changing the radio station and looking at people outside the vehicle.
AA Insurance said it had received a $41,539 claim from one driver who veered off the road and hit a parked car while entering an address into a GPS.
Another claim involved a driver who drove into a parked car after bending down to stop food from falling in the car.
Mr Fox said a small amount of planning before going on a journey could dramatically increase driver safety.
"Simple things like entering an address into a GPS system, deciding on what you're going to listen to and having your sunglasses at hand before you start your journey can ensure your focus remains on the road."
The AA Insurance top 10 driver distractions
1. Texting while driving
2. Talking on a mobile phone without a hands-free kit
3 Children in the car
4 Using the GPS or navigation system
5 Changing the radio/iPod/MP3 player
6 Talking on a mobile phone with a hands-free kit
7 Passengers
8 Eating while driving
9 People outside the vehicle
10 Billboards/outdoor advertising
- HERALD ONLINE