COVID-19: The latest updates from Asda Money

Car Insurance Groups Guide

How insurance groups can affect your premiums

Each individual car make and model belongs to a different car insurance group and what group your car falls in to will affect the overall price of your car insurance. Knowing about car insurance groups and how they work can help you when it comes to picking your policy.

What are car insurance groups?

 

Every type of car is put into 1 of 50 different car insurance groups, with group 1 being the cheapest to insure while group 50 has the most expensive cars to insure in it. There are a few different things which are used to decide what car insurance group a car should go into, such as the price, power and rarity of the car.

What do car insurance groups do?

 

Car insurance groups will be factored into the calculations done by a provider to decide how much your premiums will be. The grouping is decided on by a dedicated research institution. used by car insurance firms, to ensure everyone is on the same page. Looking into car insurance groups when buying a new car can help you get lower premiums if you’re worried about things getting too expensive.

What affects car insurance groups?

 

The group rating system is decided by a panel of members from the Association of British Insurers (ABI) and Lloyds Market Association (LMA), who review each car model on release against a set of criteria. Depending on how a car scores within this criteria, it is allocated a group which best represents its specifications. These criteria include:

 

  • The value of the car when bought brand new
  • Likelihood of damage and cost to repair each part
  • Length of time it would take to repair
  • Performance (top speeds, acceleration, etc.)
  • The safety features and overall safety rating of the car
  • The security features and security of the vehicle overall
  • Bumper compatibility in line with a provider's criteria for lower insurance premiums

Car Insurance Groups FAQs:

What is the cheapest car insurance group?

Group 1 is the cheapest. There are 50 groups used by most UK insurers, and the cheapest cars to insure fall into this lowest category.

What cars are in group 1 insurance?

Group 1 includes cheaper more economical hatchbacks and other small cars, such as a Fiat Panda or a Vauxhall Corsa. This is the cheapest category of cars to insure, making it popular with younger or newer drivers.

What is the most expensive insurance group?

Group 50 is the highest level, containing the most expensive cars to insure. This group includes things like high performance sports cars or very rare vintage cars that would be very expensive to replace or repair.