Whats an ISO symbol? How does it affect the automobile insurance premium for an individual car?
A symbol is a code used in ISO’s Vehicle Series Rating (VSR) program. The purpose of Vehicle Series Rating is to match premiums for each particular type of car to losses for that type of car. For each vehicle series (defined by such characteristics as make, model, body style, and wheelbase), ISO assigns a rating symbol. ISO provides corresponding symbol factors that insurers may use in determining premiums for individual policies. A vehicle with a higher rating symbol will have a higher premium than a vehicle with a lower symbol, if all other rating variables are the same. Initially, ISO assigns preliminary symbols based solely on the manufacturer’s suggested retail price (MSRP) of a new vehicle. Then, by examining loss experience over time, ISO makes adjustments both upwards and downwards to arrive at the rating symbols. Those adjustments reflect differences not covered by other rating variables, such as driver classifications, use of vehicle, and place of garaging. VSR captures diffe
