Shake-up for insurance write-offs
A NEW set of insurance write-off categories came into effect on Sunday 1 October, aimed at keeping dangerous, crash-damaged cars off the road.
Previous A,B C and D write-off brackets have now been replaced with A,B, S and N categories. The change is designed to reflect the increasing complexity of repairs on modern cars, according to the Association of British Insurers (ABI), which co-ordinates the codes.
Categories A and B stay the same, and apply to cars that should not be sent back on the road, although parts from Category B write-offs can be reused.
Category S and Category N differentiate between Structural and Non-structural damage. In both instances the vehicle is repairable and allowed to go back on the road. Because the latest cars come with more complex technology, it’s currently harder for insurers and body shops to identify how to safely fix cars involved in accidents. But these new categories aim to make it tougher for vehicles that should be scrapped to get back on the road. They place a greater emphasis on the condition of the vehicle than repair costs, while a minimum qualification requirement for those who categorise vehicle salvage has also been introduced.
Buyers will be better alerted to cars with a write-off history, because the V5C registration document will now need to be marked with an ‘S’ to signify if a car has been salvaged.