Skyrocketing automobile insurance costs affecting millions of motorists nationwide

In a recent reassessment, the GDV (Gesamtverband der Deutschen Versicherungswirtschaft) has calculated new regional classes for car insurance, affecting over 50 million drivers across Germany.

The calculations show that approximately 5 million car drivers in 48 districts will see higher classes for both compulsory motor insurance and full and partial comprehensive insurance. This reassessment will significantly impact more than 10 million drivers in the compulsory motor insurance sector.

On the other hand, around 5.3 million people in 51 districts will experience lower classes for the same types of insurance. This change means lower insurance premiums for these policyholders.

The remaining 314 districts and around 32.1 million compulsory motor insurance policyholders will see no change in their classes, as the regional classes for these districts remain the same as last year.

The regional classes are determined by the damage statistics of each district, which are converted into index values. These index values determine the respective regional class for both compulsory motor insurance and full and partial comprehensive insurance.

The regional classes are updated annually by the GDV and reflect the damage statistics of all 413 registration districts. The decisive factor is not the location of the damage, but the residence of the vehicle owner for both compulsory motor insurance and full and partial comprehensive insurance.

The more frequent and costly the damages in a district, the higher the regional class, and the greater the impact on the insurance premium for both compulsory motor insurance and full and partial comprehensive insurance.

Approximately 2.1 million policyholders will now be assigned a higher class in full or partial comprehensive insurance, while around 2.6 million will benefit from a lower class.

It's important to note that the changes depend on the damage statistics of around 33,000 vehicle models from 2022 to 2024 and also vary by region due to different regional classes. However, the GDV did not specify detailed changes by districts.

The regional classes for full comprehensive insurance remain the same for all 413 registration districts and policyholders not mentioned earlier.

In 2022, the GDV reported that about 10 million German drivers will experience changes in their compulsory insurance classes, with approximately 5.9 million facing higher classes and 4.5 million lower ones. These changes are a reflection of the varying damage statistics across Germany.

Skyrocketing automobile insurance costs affecting millions of motorists nationwide