The latest survey shows that as much as 60 per cent of drivers in some states are hitting the road each day with fewer than seven hours' sleep and about 40 per cent admit to being tired at the wheel most mornings.
The NRMA Insurance research of 2500 Australian households this month has found more than two thirds were staying up later than 10pm most nights.
More than 55 per cent said they were glued to TV shows or DVDs late at night while a quarter said they were surfing the net, one in 10 was on social networking sites, such as Facebook or Twitter, about the same number were catching up on housework or chores and 1 per cent were talking on the phone or texting.
National road toll statistics show that fatigue is one of the top four killers, along with speed, drink-driving and not wearing a seat belt.
NRMA Insurance spokesperson Sue Hawkins said driving while sleep deprived increased stress levels and the risk of losing focus at the wheel or having a microsleep, where the driver actually nodded off.
"Too many of us are driving while tired each day which means were increasing our chances of having a collision," she said.
"A lot of us lead busy lives so it makes sense were trying to make the most of our waking hours, but we need to make sure we get enough sleep each night so were alert on the road the next morning. We also need to be aware that lack of sleep can build up over a number of days, making it harder to concentrate on the road. We should all be making sure were well rested before we get behind the wheel."