How to Use Insurance Group Numbers When Buying a Used Car

Buying a used car can be a smart financial move, especially in today’s unpredictable economy. With rising inflation, supply chain disruptions, and fluctuating fuel prices, consumers are increasingly looking for cost-effective transportation solutions. However, one often overlooked factor in the used car buying process is the insurance group number. Understanding how insurance groups work can save you hundreds—or even thousands—of dollars annually on premiums while ensuring you get the right coverage.

What Are Insurance Group Numbers?

Insurance group numbers are classifications used by insurers to determine how risky a vehicle is to insure. These groups are assigned by organizations like the Insurance Institute for Highway Safety (IIHS) or similar entities in different countries. The lower the group number, the cheaper the car is to insure, as it’s considered less risky.

How Are Insurance Groups Determined?

Several factors influence a car’s insurance group rating:

1. Repair Costs – Expensive parts or complex repairs raise the group number.
2. Safety Features – Advanced safety tech (e.g., automatic braking, lane assist) can lower the rating.
3. Performance – High-speed capabilities or powerful engines increase risk.
4. Theft Rates – Models frequently targeted by thieves get higher group numbers.
5. New Car Value – A higher original price often means higher insurance costs.

Why Insurance Group Numbers Matter When Buying Used

1. Lower Premiums = Long-Term Savings

A car in group 5 will cost significantly less to insure than one in group 30. Over five years, this difference could save you enough to cover a major repair or even a down payment on another vehicle.

2. Avoiding Hidden Costs

Some used cars may seem like a bargain until you factor in insurance. A luxury sedan with a high group number could end up costing more than a newer, mid-range model with better safety ratings.

3. Future-Proofing Your Purchase

With stricter emissions regulations and rising fuel costs, opting for a car in a lower insurance group often means better fuel efficiency and lower maintenance expenses.

How to Check a Used Car’s Insurance Group

Step 1: Use Online Databases

Websites like IIHS, NHTSA, or insurer databases (e.g., Geico, Progressive) allow you to search a car’s make, model, and year to find its group number.

Step 2: Ask the Seller or Dealership

Reputable dealers should provide this information. If they don’t, consider it a red flag.

Step 3: Get a Quote Before Buying

Contact your insurer with the VIN or exact model details to get an estimated premium.

Smart Strategies for Used Car Buyers

1. Prioritize Safety Over Style

A car with a 5-star safety rating but a bland design will cost less to insure than a flashy sports car with poor crash test results.

2. Avoid High-Theft Models

Some vehicles (e.g., certain Honda Civics or Ford pickups) are theft magnets, leading to higher premiums.

3. Consider Modifications Carefully

Aftermarket upgrades (turbochargers, custom rims) can bump a car into a higher insurance group.

4. Hybrids and EVs: A Mixed Bag

While electric vehicles often have lower running costs, some insurers classify them in higher groups due to expensive battery replacements.

The Impact of Global Trends on Insurance Groups

Supply Chain Issues & Rising Repair Costs

Post-pandemic shortages have made car parts more expensive, pushing some models into higher insurance groups.

Climate Change & Natural Disasters

Areas prone to floods or wildfires may see insurers adjust group ratings based on environmental risks.

The Shift to Autonomous Features

As self-driving tech becomes mainstream, cars with autonomous emergency braking (AEB) or adaptive cruise control may see lower group numbers.

Final Tips Before You Buy

• Compare multiple models – A slight difference in group numbers can mean big savings.
• Check for recalls – A car with unresolved recalls may be harder (and costlier) to insure.
• Negotiate with insurers – Some companies offer discounts for safety features or low-mileage usage.

By paying attention to insurance group numbers, you’ll not only save money but also make a smarter, more sustainable choice in today’s fast-changing automotive market.