Cheapest cars to insure in the UK 2023

Finding cheap car insurance is one of the most effective ways for any motorist to save money - especially young and first-time drivers - so choosing a car in one of the lowest insurance groups will go a long way towards helping you save those precious Pounds. 

Every car on sale in the UK is categorised into an insurance group that is determined by the Association of British Insurers, and these can be a useful tool to help you work out how much your car insurance may cost. When a car’s group rating is decided, its safety technology, security and cost of repair are all taken into account. The car is then rated from 1 to 50 - 1 being the cheapest and 50 the most expensive. 

This insurance group rating sticks with a car throughout its life, but premiums will be tailored to reflect the age and value of your chosen model, too. The same car can also vary between groups depending on the trim level and included equipment.

It’s also important to remember that your car’s insurance group is just one of several factors that insurers will consider when calculating your premium, so even a Group 1 car might not be as cheap for you as it is for someone else. Some of the other considerations will be your own location, age and occupation.

Read on for our list of the cheapest cars to insure in the UK, ranging from group 1 to 5...

Ford Fiesta

The Ford Fiesta is set to be axed later this year, but for now it is still a top choice of supermini. The final generation of Fiesta feels more upmarket on the inside than its predecessors and it’s entertaining to drive, too. Opt for the right variant and you can also add temptingly low insurance costs into the mix.

Two of the three models in insurance group 5 feature Ford’s 1.0-litre Ecoboost engine. This three-cylinder unit may seem small but it offers a decent amount of power for its size and is even quite fun to use, while also returning strong fuel economy.

Hyundai i10 

The latest i10 is one of the sleekest small cars to come from Hyundai yet. Not only is it a better looker than its predecessor, but the new platform means that it’s slightly longer and more spacious, too. There’s also a pretty generous level of tech included as standard. 

Insurance groups for the i10 start from as low as group 1, but it’s worth noting that Hyundai’s city car is quite expensive to buy when compared to its rivals.

Kia Picanto

Kia has undergone something of a design revolution over recent years, and the latest Picanto is a clear example of the brand’s bold new era. It retains the compact size and affordable pricing of the previous model, but now features far more technology packaged in a modern and stylish body. 

The Picanto should prove reliable but, if something does go wrong, the brand’s 7-year/100,000-mile warranty is included for peace of mind. 

Kia Rio 

The Kia Rio is a bigger car than the Picanto, but it also finds itself in the low insurance groups. The Rio is also far better suited to family use than its city car sibling, and the 325-litre boot means it will manage shopping trips and holidays with relative ease. 

Both trim levels 1 and 2 fall into insurance group 4. The base-model 1 does include some creature comforts such as automatic headlights and air conditioning, but if you want extras such as smartphone connectivity and cruise control you will need to opt for the 2.

SEAT Ibiza

One of the larger cars in group 3, the Ibiza is a great option if you are searching for something that’s a bit more on the practical side. SEAT’s supermini is now only available as a 5-door, so this, along with its overall size, provides easy accessibility and a reasonable amount of room for all passengers. 

If you don’t mind moving up to group 4, the FR trim gives the Ibiza sportier credentials such as larger alloy wheels and twin exhausts.

Skoda Fabia

Although it could be seen as one of the less exciting models in the supermini market, the Skoda Fabia excels at being a car that’s easy to live with and doesn’t break the bank. 

The non-turbocharged 1.0-litre MPI engine sits in the lowest insurance group of the Fabia lineup, but its 79bhp power output means it’s better suited to lower-speed driving. If you like the look of the Fabia but need more power, the 1.0-litre TSI engine is a better all-rounder, but this will push the insurance up to at least group 10.

Volkswagen Polo

The Volkswagen Polo is a classy supermini with decent levels of equipment and a quality interior. The key downside is a more expensive list price compared to some rivals, but make no mistake, the spacious Polo provides a solid alternative to more premium cars such as the Audi A1 or MINI hatchback.

With a claimed fuel economy of over 50mpg (on the combined cycle) and CO2 emissions of around 124g/km, the Polo should also deliver low running costs as well as savings on insurance.

Volkswagen up!

The Volkswagen up! may be one of the brand’s oldest models, but it continues to hold up well against its younger rivals. In fact, it was our City Car of the Year every year from 2018 to 2020.

One reason for its success is that the up! is actually rather sophisticated for such a small car; It’s comfortable, easy to drive and the 3-cylinder petrol engine can achieve over 50mpg.

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