When it comes to premium pricing, the car insurance group your vehicle falls into can sometimes spell the difference between an affordable price quote and one that makes you wish you lived within walking distance of your job, experts say.
Sometimes it may seem as anyone’s guess what causes one car to be classified in one group only to have a similar vehicle classified in a completely different one. This makes understanding how car insurance groups work very important – especially when it comes to purchasing a new car and securing cover for it.
Each and every vehicle manufactured for sale is examined by the insurance industry and then placed in a certain group. There are 50 groups reserved just for cars, while there are 20 groups each for light commercial vehicles and motorbikes respectively.
While there are many different factors that come into play when an insurer provides you with a quote, one of the most common consequences is that if your vehicle is in a high-numbered car insurance group, it will be more costly to insure than one in a lower-numbered one. Where a given car is placed within the range of groups depends on many different factors, such as how costly it is to repair in both parts and labour, how much of a performance vehicle it is in regards to acceleration rate and top speed, and what kind of security measures are built into the car, such as immobilisers and car alarms.