The four car damage categories (A, B, S and N)

The Association of British Insurers (ABI) grades the categories depending on structural issues that affect safety rather than just the cost of repair. The categories are A, B, S and N – the previous Categories C and D have now been replaced with S and N as of October 2017.

Let’s look at them in detail.

What is a Category A?

Write-off with severe damage (to be scrapped)

Category A is the most severe write-off classification, reserved for vehicles that have suffered extensive damage and must be completely scrapped. These cars are deemed unrepairable, with no parts salvageable for reuse, making them legally unfit to return to the road under any circumstances.

The characteristics of category A damage are:

• Severe structural damage: Often caused by high-impact crashes or catastrophic events
  
  
• Unrepairable condition: The damage compromises the vehicle's structure beyond repair
  
  
• No salvageable parts: Even individual components like the engine or wheels are deemed unsuitable for reuse

These are the common causes of category A write-offs:

• Severe crash damage: High-speed collisions leading to irreparable structural collapse
  
  
• Fire damage: Intense fires that destroy the car’s frame and internal components
  
  
• Flood damage: Prolonged exposure to water, rendering the vehicle unsafe and unsalvageable

What is a Category B?

Write-off with severe damage (but salvageable)

Category B write-offs are vehicles that have sustained severe damage, making them unfit for repair and unsafe to return to the road. However, unlike Category A cars, some parts may still be salvaged and reused.

This category means the car’s frame and shell are destroyed, but valuable components can be recycled.

The characteristics of category B write-offs are:

• Severe structural damage: The vehicle’s structure is irreparably damaged, often due to major collisions
  
  
• Salvageable parts: Certain components, such as the engine, transmission, or interior
  fittings, may still be in working condition and can be removed for resale or reuse
  
  
• Non-roadworthy condition: The car cannot legally or safely return to the road, even if repairs were attempted
  
  

These are the common causes of category B write-offs:

• Collisions that destroy the car’s frame but leave some internal components intact
  
  
• Fire damage but mechanical parts or interiors might still be salvageable
  
  
• Flood damage might leave some non-electrical parts usable

What is a Category S?

Structurally damaged, but repairable

Category S write-offs involve vehicles that have sustained structural damage but can be safely repaired and returned to the road. The structural issues might affect key components like the chassis or suspension. Once fixed, these cars can be driven legally, but their write-off status can impact their value and insurability.

The characteristics of category S damage are:

• Structural issues: Damage to critical areas such as the chassis, crumple zones, or pillars
  
  
• Repairable condition: The damage, while significant, can be restored to a safe and roadworthy state by qualified professionals
  
  
• Lower resale value: Even after repairs, a Category S designation reduces the car’s market value due to its history
  
  

There can be some possible long-term issues with category S cars including:

• Hidden weaknesses
  
  
• Limited buyer interest
  
  

Category S cars can sometimes be a cost-effective choice for buyers if repaired correctly, but their history requires careful consideration for long-term reliability and safety.

What is a Category N?

Non-structural damage, repairable

Category N write-offs involve vehicles with non-structural damage, such as cosmetic issues or mechanical faults, that can be repaired.

While the vehicle’s structure remains intact, the damage may still affect functionality like electrical systems or suspension components. After proper repairs, these cars can safely return to the road.

The characteristics of category N damage are:

• Non-structural issues: Damage is limited to parts like the body panels, interior, electronics, or mechanical systems
  
  
• Repairable condition: The car’s integrity is unaffected, making it easier and less
  expensive to repair than Category S vehicles
  
  
• Roadworthy after repairs: Once repaired, the car can legally and safely be driven
  
  

These are the common causes of category N damage:

• Cosmetic issues: Scratches, dents or damaged bumpers
• Mechanical faults: Issues with brakes, suspension, or electronics that don’t compromise the car’s frame
• Minor flood damage: Water damage to interior or electrical systems without structural impact

How are car damage categories determined?

The classification of car damage into categories (A, B, S, or N) is determined by insurance assessors and industry experts following a thorough inspection of the vehicle's condition.

This process ensures that the severity of the damage, repair possibility, and road safety implications are accurately assessed.

The categories are decided by:

• Insurance assessors: Trained professionals appointed by the insurance company inspect the vehicle and classify it into a damage category based on industry guidelines
  
  
• Authorised repairers: In some cases, repair specialists may provide additional insights into the extent of the damage
  
  

There are several factors that influence damage categories, these include:

Severity of damage: Structural damage, such as compromised frameworks or critical components are often classified as Category S or A. Non-structural damage like cosmetic scratches or mechanical faults typically fall into Category N

Repair costs: If the cost of repairs exceeds the vehicle's market value, the car is classified as a write-off. Cars with repairs that are practical but expensive may fall under Category S or N

Vehicle age and market value: Older or lower-value vehicles are more likely to be written off, even for relatively minor damage. Higher-value vehicles might be repaired if the repair costs are proportional to their worth

Type of damage: Whether it’s damage due to fire, flood or accidental, these all have an influence on the damage category.

What is an insurance write-off?

You’ve most likely heard the term “insurance write-off” – it’s essentially industry jargon for a car that has sustained so much damage that it’s unsafe to take it back out on the road. Or it is still safe to drive but is beyond economical and financial repair.

Car insurance write-offs are surprisingly quite common and can happen very easily. Even if the accident itself in which the car is involved in doesn’t seem so bad, the car can still be written off. Each car insurance provider has different assessment criteria to calculate the cost of repairs and this is then used to determine whether the car should be written off or not.

What happens to a car once it is written-off?

Category A cars

Once classified, Category A vehicles are sent to an authorised treatment facility (ATF) for complete destruction.

Insurers ensure the car is properly dismantled and disposed of in compliance with environmental regulations. A Certificate of Destruction (CoD) is issued to confirm the process.

Category B cars

Insurers manage Category B cars by ensuring they are also transported to an ATF. At the ATF, salvageable parts are carefully removed, tested, and prepared for resale or recycling.

The car’s body is then crushed, and a Certificate of Destruction is issued to confirm it has been scrapped. This process ensures compliance with safety and environmental regulations.

Category S cars

Category S cars need a professional inspection, and any repairs must ensure the structural integrity is fully restored.

As soon as the car is classified as cat S, the form V23 must be submitted by the insurer, self-insurer or agent to the DVLA.

Category N cars

Insurers write off Category N cars when the cost of repairs exceeds their perceived market value or is deemed uneconomical.

They can be resold through dealerships at a discounted price but must have the category N status clearly disclosed.

How do car damage categories impact insurance?

Car damage categories can significantly impact insurance costs and coverage.

Vehicles classified as Category S or N may be more expensive to insure due to their history, as insurers consider them higher risk.

Category S or N can also lower a vehicle’s market value, affecting claim payouts in future accidents. If you buy a repaired Category S or N vehicle, you should disclose the history to insurers. If you don’t, it could void your policy.

Should you buy a car with a Category S or N history?

Buying a car with a Category S or N history requires caution. You’ll need to consider the severity of the damage, ensure repairs were professionally completed, and verify the car’s history using services like HPI checks. You’ll also need a trusted mechanic to inspect the vehicle before you decide whether to buy it.

Pros and cons of buying a car with damage history

Buying a car with a damaged history can offer lower upfront costs, making it an affordable option.

But potential drawbacks include higher insurance premiums, reduced resale value, and potential long-term mechanical issues.

You’ll need both a careful inspection and full disclosure of the car’s history to make sure it’s both a safe and worthwhile purchase