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The Curious Bag
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If you have recently reviewed your auto insurance policy's declarations page, you have probably seen a symbol age group assigned to each car on your policy. Each car's symbol age group affects how much you pay for comprehensive coverage.
Definition
A symbol age group is a category used by insurance companies to decide how much to charge for comprehensive coverage. There are several factors that comprise each symbol age group.
Components
A symbol age group factors in the new purchase price of the car, the age of the vehicle, and performance features of the car. These factors indicate how much the insurance company would pay for the repair or replacement of the vehicle.
Who Decides Symbol Age Groups?
Some companies determine their own symbol age groups, but most purchase them from an organization such as the Insurance Services Organization (ISO).
Effect on Premiums
Typically, higher symbol age groups represent higher premiums. For example, a new Mercedes S500 would cost more to replace than a Chevy Aveo.
Lowering Premiums
Choosing an older family sedan without high-performance features over a sports car will give you a lower symbol age group, lowering your insurance premiums.
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