Cheapest Cars to Insure in the UK: Insurance Groups 1-10

Car insurance is one of the biggest ongoing costs of motoring, and for young or inexperienced drivers it can be the single largest expense, easily exceeding fuel, tax, and maintenance combined. The good news is that your choice of car has a massive impact on what you pay. Picking a model in insurance groups 1 to 5 instead of groups 15 to 20 can save you hundreds, or even thousands, of pounds per year.

We have compiled the 20 cheapest cars to insure in the UK, along with typical annual premiums and practical advice for keeping your insurance costs as low as possible. Whether you are a first-time driver, a parent insuring a teenager, or simply looking to reduce your annual premium, this guide covers everything you need to know.

Every car sold in the UK is assigned an insurance group from 1 to 50 by the Group Rating Panel, which includes members from the Association of British Insurers (ABI) and Thatcham Research. Group 1 is the cheapest to insure; group 50 is the most expensive.

The rating is based on several factors:

Vehicle value: Cheaper cars cost less to replace, so they tend to be in lower groups. A £10,000 city car will always be cheaper to insure than a £60,000 SUV.

Performance: Engine power, top speed, and acceleration all affect the rating. Faster cars are statistically more likely to be involved in accidents and cost more in claims.

Repair costs: Thatcham Research conducts standardised crash tests to measure how expensive each model is to repair. Cars with cheap, widely available parts score better. Cars with aluminium panels, advanced sensors, or specialist components cost more.

Safety features: Cars with advanced safety systems (autonomous emergency braking, lane assist, blind-spot monitoring) can earn a lower group rating because they are involved in fewer and less severe accidents.

Security: Factory-fitted alarms, immobilisers, and tracking devices reduce the risk of theft, which lowers the insurance group.

It is worth noting that the insurance group is only one factor in your premium. Your age, location, driving history, job title, and annual mileage all play significant roles. But the car you choose sets the baseline, and choosing wisely can make an enormous difference.

Here are the 20 cheapest cars to insure in the UK, ranked by insurance group. Typical annual premiums are shown for a 30-year-old driver with 5 years no-claims bonus, and for an 18-year-old new driver with no history.

If you are under 25, insurance is likely your single biggest motoring expense. An 18-year-old can expect to pay £1,300 to £2,000 for a group 1 to 3 car, and £2,500 to £4,000 or more for anything in groups 10 and above. Choosing the right car is critical.

The best strategy for young drivers is to focus on group 1 to 3 cars from the list above. The Volkswagen Up, Skoda Citigo, Citroen C1, and Toyota Aygo are all excellent choices. They are cheap to buy, cheap to insure, cheap to fuel, and cheap to repair. For more recommendations, see our guide to the best first cars for new drivers.

Avoid the temptation to buy a sportier car and try to insure it. Insurers penalise young drivers heavily for choosing higher-group vehicles. A 19-year-old insuring a 1.6-litre Ford Focus will pay significantly more than the same driver insuring a 1.0-litre VW Up, even though the Focus is often cheaper to buy.

Consider a telematics (black box) policy. These track your driving behaviour and reward safe driving with lower premiums. For young drivers with no claims history, black box insurance typically saves 20% to 30% compared to standard policies. The box is fitted to the car and monitors speed, braking, cornering, and what time of day you drive.

Beyond choosing the right car, there are several proven ways to lower your premium:

Build no-claims bonus. This is the biggest single discount available. Five years of no claims can reduce your premium by 60% to 70%. Protect your no-claims bonus if your insurer offers it, as it only costs a few pounds extra and means one claim will not wipe out years of savings.

Add a named driver. Adding an experienced driver (such as a parent) to your policy can reduce premiums, because insurers see a lower-risk profile. Do not be tempted to put the experienced driver as the main driver and yourself as named if you are the primary user. This is called "fronting" and is insurance fraud.

Pay annually. Monthly payments typically cost 15% to 25% more than paying the full amount upfront. If you can afford the lump sum, the savings are significant. On a £1,500 policy, you could save £225 to £375 per year.

Increase your voluntary excess. Raising your voluntary excess from £100 to £300 or £500 can reduce premiums noticeably. Just make sure you can actually afford the excess if you need to claim.

Improve security. Fitting a Thatcham-approved alarm or steering wheel lock can reduce premiums. Parking on a driveway rather than the street also helps, and parking in a garage is even better.

Reduce your mileage estimate. If you genuinely drive fewer miles than average, make sure your policy reflects this. Lower mileage equals lower risk equals lower premiums. But do not understate your mileage, as this could invalidate your policy.

Compare every year. Never auto-renew without checking alternatives. Loyalty penalties mean your existing insurer will almost always charge more at renewal than a new insurer would. Use comparison sites, but also check direct-only insurers like Direct Line and Aviva who do not appear on comparison platforms.

Electric cars are generally more expensive to insure than equivalent petrol models. There are several reasons for this.

Battery replacement costs are extremely high. If an EV's battery is damaged in a collision, the repair bill can be £10,000 to £20,000 or more. Many insurers simply write the car off rather than replace the battery, which increases the overall cost of claims.

EV repair expertise is still limited. Fewer garages are equipped to work on high-voltage systems, which means repair costs are higher and wait times longer. This is gradually improving, but it is reflected in current premiums.

EVs tend to be heavier than petrol equivalents. The Volkswagen ID.3, for example, weighs about 300kg more than a comparable Golf. Heavier cars cause more damage in collisions, which increases claim costs for the other party.

In practice, a petrol Volkswagen Up in group 1 might cost £420 per year to insure, while the electric VW e-Up sits in group 16 and costs around £750. That is a difference of £330 per year just on insurance, before you consider the higher purchase price of the EV.

However, if you are already committed to an electric car, you can still reduce premiums by choosing a model in a lower insurance group. The MG4 SE (group 24) is one of the cheaper EVs to insure, while the Tesla Model 3 (group 48 to 50) is one of the most expensive.

Insurance is just one part of the total cost of owning a car. Fuel, road tax, MOT, and repairs all add up. Enter any reg plate into our free car checker to see a personalised running cost estimate based on the car's actual MOT history and specifications.

You can also browse our cheapest cars to run rankings to find models that combine low insurance with low overall running costs. Check our reliability rankings to see which cars are most likely to pass their MOT without expensive repairs.

For a comprehensive vehicle check before buying, including finance, stolen, and write-off status, use our full history check.