- Reassessment of Motor Vehicle Insurance Regions: Revised Classification System
The car insurance sector has revised national regional classes across the country based on recent loss ratios, as reported by car insurers. This change benefits numerous drivers in comprehensive and liability insurance in Saxony-Anhalt, as per the German Insurance Association (GDV) in Berlin. Approximately half of the policyholders, equating to around 520,000 in comprehensive and 450,000 in liability insurance, will witness improved regional classes.
Lower regional classes are reported by the GDV in regions such as Saalekreis, Burgenland, Altmarkkreis Salzwedel, and Mansfeld-Südharz for both partial and full coverage. Some ratings remain constant compared to the previous year. For instance, the liability class in Magdeburg's state capital remains the same, but both comprehensive classes decrease. The same applies to Halle.
Saxony-Anhalt consists of 14 districts
The GDV calculates annual loss ratios for all 413 districts in Germany and categorizes them into regional classes. According to the GDV, Saxony-Anhalt has 14 districts. In terms of liability insurance, there are 12 regional classes. In Saxony-Anhalt, Magdeburg and Halle have the maximum class of 7, while Altmarkkreis Salzwedel sees a drop in class to only 1.
Regional classes are designed to mirror the risk of damage in a particular region, grouping districts with similar loss ratios. The policyholder's residence, not the location of the damage, is the deciding factor. Additional factors impacting the premium include the driver's age, the vehicle's type class, and the annual mileage. While the GDV's regional statistics are just advisory for insurance companies, they are extensively utilized in setting tariffs. The GDV states, "The better the rating in the regional class, the more favorable the influence on the insurance premium."
GVV, being the acronym for the German Insurance Association, is the organization that reported the revised national regional classes across the country based on recent loss ratios. In Saxony-Anhalt, several districts, such as Saalekreis and Altmarkkreis Salzwedel, have seen improvements in their regional classes, as mentioned by GVV.
