Your guide to Cat S car insurance

Cat S car insurance is for cars with a write-off history due to structural damage. While it can be pricier and harder to come by, it allows you to keep your old vehicle once it’s been repaired, or buy a Cat S car if you decide it’s a good option for you. 

Here we’ll cover what Cat S is, the benefits of Cat S insurance, and steps to take before purchasing cover.

What does category S mean in car insurance?

Cat S (short for category S) cars are vehicles that have previously been written off with structural damage, but have since been repaired and made safe for the road again. Cat S isn’t the only write-off category out there. In fact, there are four different car categories in the UK: A, B, S, and N.

Before we get into how Cat S differs from the other categories, let’s quickly cover how write-offs work.

How do insurance write-offs work?

If you make an insurance claim on your car due to an accident or damage, your insurer will get a professional vehicle assessor to inspect it and work out how much it’ll cost to repair. If the vehicle can’t be made safe for the road again, or if it isn’t financially viable to do so, it’ll be written off.

What constitutes an uneconomical repair varies between insurers. But if the work that needs to be done costs somewhere between 50 and 70% of the car’s current market value (or more) they’ll likely declare it a write-off.

Different vehicle write-off categories

Once your insurance company has written off your car, they’ll assign it a write-off category, which is where Cat S comes in:

• Cat S: These cars have suffered structural damage (which is what the “S” stands for), but they can be repaired and driven again. Structural damage includes damage to the frame and chassis, such as the suspension, crumple zones, and door frames.
• Cat N: Like Cat S, these vehicles can also be repaired. Cat N cars have suffered non-structural damage (hence the “N”) that’s often cosmetic, like scrapes. But it can also include vital car parts such as the electrics, steering wheel, and brakes. Find out more about category N cars. 
• Cat A: These are cars that are completely unsalvageable. All parts must be crushed.
• Cat B: Like Cat A, Cat B vehicles can never be made safe again, but unlike Cat A some parts can be salvaged and reused. The rest, including the body shell, must be scrapped. 
• Cat C and Cat D: These are old write-off categories that have since been replaced by Cat S and Cat N respectively. They’re not used anymore, but vehicles written off before the switch will still be classed as such, so you might come across them. 

You can find out which car insurance group your car belongs to using our car insurance group checker.

Are Cat S and Cat C the same?

Although Cat S has replaced Cat C, there is a subtle difference. Cat C and D were changed by the Association of British Insurers back in October 2017, in order to place more of an emphasis on safety over costs.

Cat C just referred to any damaged vehicle where the cost of repairing it was higher than the market value. Cat D meant cars where the costs were lower than market value but that were still uneconomical to repair, for example due to transportation costs.

Cat S and N on the other hand focus on the type of damage: structural versus non-structural. This means that any future buyers are aware of the kinds of issues the car had in the past, even if it’s been repaired to a good-as-new standard.

What is Cat S in car insurance?

Cat S car insurance is insurance cover for Cat S vehicles. You’ll need to take out Cat S insurance in two scenarios: either because you’ve bought back and repaired your own written-off vehicle, or because you’ve decided to buy a Cat S car from someone else.

Insuring a S car works slightly differently to insuring other vehicles. Some insurance companies simply won’t insure Cat S cars due to the added risk. And those that do will likely charge higher premiums than they would for normal vehicles. So if you’re wondering, “are Cat S cars more expensive to insure?” The answer is, usually, yes.

One of the main reasons people take out Cat S car insurance is to cover their vehicle after it’s been written off. Cars can have sentimental value, especially if they’re classic cars that are hard to replace. Rather than losing your vehicle after an accident or damage, Cat S car insurance means that you can continue to drive your car once you’ve made the necessary repairs.

Cat S car insurance can also be more economical despite the higher premiums. Buying back your car, having it repaired, and taking out Cat S cover could still work out cheaper than buying a brand-new vehicle.

What insurance compensation do you get if your car is written off as Cat S?

If your car is written off in any category, its ownership will pass to your insurer, who’ll pay you compensation. You’ll receive a total loss pay-out — that is, the current market value of your car, minus your excess.

But if you want to keep your Cat S or Cat N vehicle, the process is a little more complicated. In this instance, you’ll need to buy the vehicle back from your insurance company. Usually, the price is whatever they would have got for it from a salvage company, so around 10 to 30% of its market value. You’ll need to pay for repairs out of your own pocket as well. So in effect, the compensation you receive would be the car’s current market value minus your excess, the cost of buying back the car, and the cost of repairs.

Here are a couple of other things to keep in mind:

• Insurance providers can sell cars pretty quickly, so if you want to buy yours back, let them know as soon as possible. 
• If your car has been written off, it’s vital that you let the DVLA know. If you don’t, you could face a £1,000 fine. The DVLA will also issue a new V5C log book that declares the car’s write-off status.

Once you’ve got your car back, you’ll need to take out Cat S car insurance.

Is a category S car worth buying?

As outlined above, Cat S car insurance can be pricier and harder to come by. But when it comes to buying a Cat S car, there are other pros and cons to weigh up.

Pros of Cat S cars

• Cheap upfront costs: Because a Cat S vehicle has a history of previous damage, it’ll likely be much cheaper than buying a car of the same make and model that’s never been written off. 
• Economical even with repairs: Even if the vehicle hasn’t been repaired yet, some buyers will still consider purchasing it. This is because, depending on the cost of repairs, buying a Cat S vehicle and making it road-safe again can still work out cheaper than buying a new or undamaged second-hand car. 

Cons of Cat S cars

• Risk: No matter how well it’s been repaired, a Cat S car will always carry more risk than a vehicle that’s never suffered structural damage. For many buyers, this is enough of a deterrent to simply walk away as soon as they discover a car is Cat S. 
• Future repair costs: Cat S cars may be more likely to require further repairs down the line, as fixes may not last and new problems might appear in the future.
• Low resale value: Written-off cars carry their categories for the rest of their lives — and rightly so, because buyers should always know what they’re purchasing. But this does mean that, if and when you come to sell the car yourself, you likely won’t get much for it, probably even less than you paid for it due to depreciation. 

If you’re thinking about buying a Cat S car, be sure to take all these factors into account before making a decision.

The final word: Steps to take before purchasing Cat S car insurance

There are a few steps well worth taking (and often required by insurance providers) before you take out Cat S car insurance. These are especially important given that some dodgy sellers will try and hide vehicles’ write-off history. Carrying out these steps will ensure you know exactly what you’re buying and insuring, so you don’t get ripped off.

• Request a vehicle history check: If you’re buying a Cat S car, get a vehicle history check from a reputable provider like HPI or the AA. This will dig up any undeclared insurance write-offs, as well as other information, such as if it’s stolen. Also check the registration certificate (the V5C) to see if it’s marked as Cat S. 
• Complete repairs: If you’re getting the car fixed yourself, make sure it’s fully repaired before trying to take out insurance. Due to the structural damage, it’s important that any repairs are completed by a professional. 
• Get an independent professional inspection: It’s always worth having an independent expert assess the quality of the repair job and declare your vehicle road-safe. For many insurers, this step will be non-negotiable before taking out a policy with them. 
• Re-register with the DVLA: Before driving a repaired Cat S car, you must re-register it with the DVLA. This is another necessary step for getting insured.

Once you’ve completed these steps, look around for the best insurance deal, take out Cat S cover, and get back on the road! The team at Howden is here to help — contact us today.

Also read:

• A Guide to UK Driving Licence Codes and Categories
• Do I need high performance car insurance? 
• How to cancel car tax: a step-by-step guide
• Car Insurance Group Checker
• CAR INSURANCE GUIDES