Motor Insurance Group System

In the UK, Motor Insurance premiums are usually worked out partly on the insurance group that your car fits within. The system is used by insurance companies as part of the calculation to assess your motor cars risk. The higher the category number of your vehicle, the higher your premiums are likely to be. Factors used to calculate group ratings include the power of your vehicle and potential repair/part costs. To keep your premiums to a minimum it is therefore good practice to own a car within one of the lower Motor Insurance Groups.

However, you should get individual quotes on each car you are considering. Whilst the dealer at the garage may tell you that certain motor cars are in the same insurance group. Insurers often place motor cars in different groups. If an insurer has a bad record with its policy holders on a particular car they may well increase its group rating.

Furthermore, the group is only an indication of what the premium may end up being. The age of car, the value, engine size, modifications and other factors all play a part.