Car Insurance Groups
Car insurance groups are numbered one to 50, a car in a low group is the best way to lower car insurance.
What is a car insurance group?
Every car sold in the UK receives a car insurance group between 1 and 50 using research conducted by Thatcham.
Insurers use this information to help them calculate the cost of car insurance premiums.
A group one car is the lowest insurance group with group 50 the highest.
The main factors used in setting car insurance groups are:
- Car performance – the car’s acceleration 0 – 60 and top speed. (A high-performance vehicle will attract a higher insurance group).
- Car security – what security features the car has – includes Alarms & Immobilisers, security locks on doors, the visibility of the VIN & locking for alloy wheels. (A well-secured vehicle will receive a lower insurance group).
- The cost of parts – the value of 23 of the most common components. (A car with higher repair cost will be in a higher insurance group).
- Maintenance – how much and how long the car takes to fix. (The more time a vehicle takes to maintain, the higher the insurance group).
- Car value – the price of the car as new. (A high-value vehicle will get a higher insurance group).
Will my insurance be cheaper if I drive a car in a low Car Insurance Group?
Yes, it will. Nothing is more likely to lower the cost of your insurance than choosing to drive a car in a low “Car Insurance Group”.
Put simply; to take out insurance on a Ford Mondeo will cost less than a Ferrari.
Are insurers consistent with their use of the Car Insurance Groups?
No, not always. Some insurers may put a car in a different group, but you can be sure variations between insurance companies are unlikely to differ very much.
Who decides a car insurance group?
The people who decide the Groups are the Insurance Group Rating Panel made up of members of the Association of British Insurers’ (ABI) and Lloyds Market Association (LMA). The Panel makes decisions based on research by the Motor Insurance Repair Research Centre – Thatcham.
Useful links – car insurance groups
Testing for the car insurance groups(Thatcham)
Group Panel Member the Association of British Insurers
Group Panel Member Lloyd’s Market Association (LMA)
*51% of consumers could save £333.50: on their Car Insurance. The saving was calculated by comparing the cheapest price found with the average of the next three cheapest prices quoted by insurance providers on Seopa Ltd’s insurance comparison website. This is based on representative cost savings from September 2022 data. The savings you could achieve are dependent on your individual circumstances and how you selected your current insurance supplier.
Autedia Limited is an appointed representative (for insurance) of Seopa Limited, authorised and regulatedby the Financial Conduct Authority under (Firm Reference Number 313860). You can check this on the FCA Financial Services Register.