Where does the 5% number come from? My speedo is off more the faster I go, assigning a value of "X percent" isn't realistic.
It can be realistic if the error is linear. For example:
At 40 mph, 5% equals 2 mph or a reading of 42 mph.
At 60 mph, 5% equals 3 mph or a reading of 63 mph.
At 80 mph, 5% equals 4 mph or a reading of 84 mph.
At 160 mph, 5% equals 8 mph or a reading of 168 mph.
More than likely though, the reading is not linear and deviates somewhat. However, applying a description of the error expressed as a percentage is convenient and satisfies the demands imposed by the lack of precision required to express the experiences of the people reporting their own speedometers' varying inaccuracies.
The 5% used in your question and in my example is the number applied to the experience of the person who wrote it. A larger or smaller percentage may apply to the speedometer readings of others.