Car insurance group 38

What is insurance group 38?

Insurance group 38 cars are among the more expensive vehicles to insure.

When it comes to insurance, all vehicles are assigned an insurance group from 1 (cheapest) to 50 (most expensive), and this helps work out the cost of your car insurance premiums. The factors used to determine the group ratings include car safety, security features and the size and power of the engine.

However, there are also a number of other factors that insurers take into account, such as your age, driving history and location.

Car makes and models in insurance group 38

Below are some of the more popular cars in insurance group 38. These are likely to fall on the more expensive side, when it comes to your car insurance premiums.

Cars in insurance group 38 and the average cost by driver’s age

Using the table below, you can estimate how much you’re likely to pay for your car insurance based on your chosen model and your age.

• How we got these rates

  These rates are based on the average cost of cover for cars in the insurance groups shown, for drivers of different ages with a Newcastle (NE1) postcode, which our research suggests represents an average for insurance rates in the UK. Updated: April 2024 (source: Confused).

Insurance group 38 categories

• 38E: Surpasses the security requirements for this type of car, leading to a lower insurance group rating.
• 38A: Meets the standard security requirements for this type of car.
• 38D: Falls short of security requirements for this type of car, resulting in a higher insurance group rating.
• 38U: Security standard is unacceptable. The insurer might require upgraded aftermarket security before providing coverage.
• 38P: Provisional status. Insufficient data is available at launch for classification. This will likely be updated once Thatcham can evaluate the new car.
• 38G: Grey import. Thatcham tests only officially sold UK cars, so imports are evaluated based on the insurer’s pricing.

Average insurance group 38e cost

To provide you with an idea of how much it may cost you to insure your insurance group 38 car, we ran several quotes to find an average figure. Based on our results, on average, you could insure your car with a comprehensive policy for the monthly price of £245.64, or an annual sum of £2,454.

• How we calculated this price

  We generated these quotes using the following assumptions about the vehicle and the driver.

  The vehicle is/has:

  • Insurance group 38 model
  • Factory fitted alarm system
  • Not modified
  • Used for social, domestic and commuting purposes
  • 10,000 mileage per year
  • Parked in a work car park during the day
  • Parked on a driveway at night

  The driver is/has:

  • A 30-year-old, single teacher from London
  • A homeowner
  • Five years no-claims discount
  • No driving or other convictions in the last 5 years

Why are cars in group 38 more expensive?

Cars in insurance group 38 usually:

• Have a high market value
• Have large, powerful engines
• Are expensive to repair
• Have long repair times

In some cases, safety features and security features may be lacking, although this is rare in cars with a high market value in 2020 and beyond.

What other factors affect my car insurance premium?

Along with your car’s insurance group, these three factors have the biggest impact on the cost of your insurance:

• Engine type and capacity. A larger engine costs more to repair or replace, which is why more powerful cars tend to cost more to insure.
• Driver location. Insurers use your location when calculating the likelihood that your car will be stolen or involved in an accident. If a lot of people in your city are making a claim, that could count against you. As an example, a 30-year-old in central London will pay £9,884 for insurance for a BMW 2 Series M235i (Nav) 2d, while the same 30-year-old in Newcastle may only pay £2,454.
• Driver age. Insurers will also use your age to help them calculate the likelihood of you making a claim. If a lot of people around your age are making a claim, your premium will rise. This counts against the youngest drivers in the UK, particularly. The average 20-year-old driver in London could pay £24,308 for the Mercedes Benz C Class C250d Sport Premium 2d Auto, while the average 40-year-old Londoner will only pay £8,205.

However, there are other factors that can impact the price of your premiums.

• Your marital status
• Your credit history and job
• Your car’s safety rating, security and anti-theft precautions
• The model and age of your car
• Your driving activity
• Your no claims discount

How can I save on my car insurance premiums?

Choosing a car with a lower insurance group is a great way to reduce the price of your premium.

Thankfully, there are more things you can do to drive down the cost of your car insurance, and we’ve listed them below:

• Drive safely. It may sound obvious but having convictions on your record will make your premium more expensive. Making a claim will send your next year’s premium rocketing too. So, be careful when you’re on the roads.
• Don’t use your car all of the time. You could save money on your insurance by reducing your annual mileage. So, consider if there are any journeys you can take by public transport or walking.
• Pay annually. When you pay annually, you avoid having to pay interest on monthly instalments.
• Install extra safety precautions. The safer you make your car, the cheaper your premium will be. So, it’s worth looking at what safety features you can add to your vehicle.
• Compare your options. When it’s time for renewal, make sure you shop around. You’ll be surprised at how much you could save by switching providers.

Frequently asked questions

• What is the lowest insurance group?

  Car insurance groups range from 1 to 50, with 1 being the lowest. Group 1 has the cheapest cars to insure, while group 50 has the most expensive.

• What does Thatcham Research analyse?

  Thatcham Research analyses a number of criteria to calculate a car’s group rating. One of its key tests is a 15km/h crash impact assessment, based on an internationally recognised insurance standard. Following the crash, Thatcham’s engineers work out the cost of the time and parts to return the car to its pre-accident condition. The group rating also takes into account new car values, car performance (including top speed and acceleration time), parts pricing, safety and security features, and the alignment and structure of a car’s bumpers.

• Does a lower insurance group mean cheaper car insurance?

  Yes, in theory. Insurers will consider your personal circumstances as well as what car you drive though.

• Are cars in insurance group 38 good for younger drivers?

  Most younger drivers will find these vehicles too expensive to insure. They may prefer to drive a car in a lower insurance group.

• What do the letters mean in insurance groups?

  On a particular vehicle, the insurance group will be listed as a number and a letter. The letters refer to the security features fitted as standard on the vehicle.

• How many car insurance groups are there in the UK?

  In the UK, there are 50 car insurance groups with 1 being the lowest (cheapest) and 50 being the highest (most expensive).

• Who decides on the car insurance groups?

  In the UK, The Group Rating Panel, administered by Thatcham Research, assigns new car models to an insurance group from 1 to 50.

Written by

Danny Butler

Publisher

Danny is a publisher at Finder specialising in insurance and investing. He previously worked at the global insurer Aon and has appeared in national media giving advice on insurance. Danny holds a BA in International Business from the University of Plymouth and has undying loyalty to his average-poor football team, Portsmouth FC. See full bio

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