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Introduction of New Insurance Category Write-Offs

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Introduction of New Insurance Category Write-Offs

It has been announced that from the beginning of October there will be four new categories of Insurance write-offs.

 

These four new categories will actually be replacing the old A, B, C and D classed and modernising the codes in order to provide a truer representation of modern repairs.

 

The Association of British Insurers (ABI) are responsible for the change in codes and have announced that the codes A, B, C and D will be replaced with A, B, S and N and the details of each code modernised.

 

The new V5C that is being introduced at the same time will also enable a car to be easier identifiable should it have a write-off history as the Registration Certificate will now have to be marked with a ‘S’ to signify that the car has previously been salvaged.

 

The new codes will be given the following definitions;

 

A – Scrap

B – Break

S – Structurally damaged, repairable

N – Non-structurally damaged, repairable

 

It has been noted that newer cars are a lot more complex to repair due to the technology within them which in turn makes it harder for insurers and body shops to be able to identify and repair damage to vehicles involved in accidents. The overall aim is to ensure that cars that should be scrapped don’t end up back on the roads and with the focus being on how suitable the vehicle is for continued use rather than the repair costs.

 

Categories A and B will still conclude in a write-off although any useable parts that can be salvaged can be under a Category B.

 

The other two categories i.e. S and N are differentiated by whether or not the damage in either structural or non-structural. In either case, these categories indicate that the vehicle is repairable and that they should be road worthy after the necessary work and repairs are carried out.

 

If you’re in the market for a short-term lease then you’ve come to the right place. Short Term Leasing are specialist in leasing and are able to provide you with either a new or nearly new vehicle for as little as 28 days. Give us a call today to find out more 0330 330 9425 or complete the form below and we’ll be in touch as soon as we can.

 

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