How Car Insurance Groups Affect Your Premium

If you are looking for car insurance, you may have heard of car insurance groups. These are categories that insurers use to classify different models of cars based on various factors, such as their cost, performance, safety, and security. Car insurance groups range from 1 to 50, with 1 being the cheapest and 50 being the most expensive.

But what exactly are car insurance groups and how do they affect your premium? In this article, we will explain how car insurance groups work, what factors determine them, and how you can use them to find the best deal on your car insurance.

How do car insurance groups work?

Car insurance groups are a way of rating different models of cars based on how much they are likely to cost insurers in claims. The higher the group, the higher the risk and the higher the premium.

Car insurance groups are set by the Group Rating Panel, which is made up of representatives from the insurance industry and the Association of British Insurers (ABI). The panel meets every month to review and update the groups based on the latest data and research.

The panel uses a system called Thatcham Research, which is an independent organisation that tests and evaluates various aspects of cars, such as their performance, safety, security, and repair costs. Thatcham Research assigns a score to each car based on these factors, and the panel uses this score to assign a group.

What factors determine car insurance groups?

Car insurance groups are determined by a number of factors that affect how much insurers are likely to pay out in claims. Some of the main factors are:

  • Cost. The cost of the car is one of the most important factors, as it reflects how much it would cost to replace or repair it in case of an accident or theft. The more expensive the car, the higher the group.
  • Performance. The performance of the car is another important factor, as it affects how fast it can go and how likely it is to be involved in an accident or attract thieves. The more powerful and faster the car, the higher the group.
  • Safety. The safety of the car is another important factor, as it affects how well it can protect its occupants and other road users in case of an accident. The more safety features and ratings the car has, the lower the group.
  • Security. The security of the car is another important factor, as it affects how easy it is to break into or steal. The more security features and ratings the car has, such as alarms, immobilisers, locks, and trackers, the lower the group.
  • Repair costs. The repair costs of the car are another important factor, as they affect how much it would cost to fix it in case of an accident or damage. The more parts and labour required to repair the car, the higher the group.

How can you use car insurance groups to find the best deal on your car insurance?

Car insurance groups can help you find the best deal on your car insurance by giving you an idea of how much different models of cars are likely to cost you in premiums. Here are some tips on how to use car insurance groups to your advantage:

  • Check your car’s group. You can check your car’s group by using online tools such as MoneySuperMarket’s Car Insurance Group Checker. Simply enter your car’s make, model, and year and you will see its group number and rating.
  • Compare different models. If you are looking to buy a new or used car, you can compare different models based on their groups and see how much they would affect your premium. You can use online tools such as MoneySuperMarket’s Car Insurance Comparison Tool to compare quotes from different insurers for different models.
  • Choose a lower group. If you want to save money on your car insurance, you can choose a model that belongs to a lower group than your current one. This will reduce your risk and your premium. However, you should also consider other factors that affect your premium, such as your age, driving history, location, mileage, and usage.
  • Improve your car’s security. If you want to lower your car’s group and your premium, you can improve your car’s security by adding or upgrading its security features, such as alarms, immobilisers, locks, and trackers. This will make your car less attractive and vulnerable to thieves and reduce your risk.
  • Shop around. The best way to find the best deal on your car insurance is to shop around and compare quotes from different insurers. Different insurers may use different criteria and methods to calculate your premium based on your car’s group and other factors. By comparing quotes from different insurers, you can find the one that offers you the best coverage at the best price.

Conclusion

Car insurance groups are categories that insurers use to classify different models of cars based on various factors that affect their risk and cost in claims. Car insurance groups range from 1 to 50, with 1 being the cheapest and 50 being the most expensive.

Car insurance groups are determined by a number of factors, such as the cost, performance, safety, security, and repair costs of the car. These factors are evaluated by the Group Rating Panel, which uses a system called Thatcham Research to assign a score and a group to each car.

Car insurance groups can help you find the best deal on your car insurance by giving you an idea of how much different models of cars are likely to cost you in premiums. You can use online tools such as MoneySuperMarket’s Car Insurance Group Checker and Car Insurance Comparison Tool to check your car’s group and compare quotes from different insurers. You can also choose a lower group, improve your car’s security, and shop around to save money on your car insurance.

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