Cheapest cars to insure in the UK 2025

​​​​Finding cheap car insurance is one of the most effective ways for any motorist – and especially young drivers – to save money, so choosing one of the cheapest cars to insure in the UK 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 lifetime, but premiums will be tailored to reflect the age and value of your chosen model, too. The same model 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 location, age and occupation. 

Hyundai i10 

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• Model: i10 1.0 MPi auto Advance
• Insurance group: 1

The current Hyundai i10 is one of the sleekest small cars to come from the brand yet. Not only is it a better looker than its predecessor, but the latest platform means that it’s slightly longer and more spacious, too. There’s also a generous level of tech included as standard. We think it’s such a great all-round package that we’ve named it our City Car of the Year twice.

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

Kia Picanto

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• Model: Picanto 1.0 DPi 2
• Insurance group: 3

Kia’s design has undergone something of a revolution over recent years, and the latest Kia 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 that’s inspired by the giant EV9 electric SUV. 

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

Volkswagen Polo

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• Model: Polo 1.0 Life
• Insurance group: 3

The Volkswagen Polo is a rather sophisticated supermini that comes with a decent level of equipment and a high-quality interior. The VW is more expensive than a number of its rivals, but it makes up for this with reasonable running costs.

Another upside to the Polo is that it offers a considerable amount of space for a car of its size. Four passengers will be able to sit comfortably in the Polo’s cabin, and there’s a 351-litre boot for all their luggage.

Skoda Fabia

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• Model: Fabia 1.0 MPI SE Comfort, 1.0 MPI SE Colour Edition
• Insurance group: 4

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 without breaking the bank. 

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

Toyota Aygo X

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• Model: Aygo X 1.0 VVT-i Pure
• Insurance group: 5

Toyota’s pseudo-SUV is a small car with plenty of personality, along with a reasonable amount of standard kit. However, its three-cylinder petrol engine and some low-rent materials do make it feel dated when compared with newer rivals – many of which are hybrid or electric-powered. 

There are indeed some savings to be made with the Aygo X if you opt for the entry-level Pure trim, but a starting price of over £16,000 quickly stops it from being an outright bargain.

Kia Stonic

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• Model: Stonic 1.0 T-GDi auto 2/GT-Line
• Insurance group: 8

UK drivers of all ages are buying SUVs in droves, and while many of these big cars are a bit pricey when it comes to insurance, the Kia Stonic is an exception to the rule. Technically speaking, the Stonic is more of a crossover than a fully-fledged SUV, but you’ll still get the usual beefy styling and raised ride height. 

The Stonic’s reasonably compact size means it’s fairly cheap to run, and, just like the Picanto above, Kia’s seven-year/100,000-mile warranty also applies here.

Volkswagen Caddy

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• Model: Caddy 1.5 TSI SWB
• Insurance group: 8

It’s not just city cars and superminis that make up this list; if you’re in the market for a larger family car, the Volkswagen Caddy sits as low as insurance group eight. This small van-based MPV offers a huge amount of space inside, thanks to its commercial-vehicle roots, but it still comes with the same sort of kit that you’d find in VW’s regular cars.

The Caddy also does a respectable job of hiding its DNA when it comes to driving. It doesn’t feel too dissimilar to a Volkswagen Golf from behind the wheel, and this is because it uses the same MQB platform. 

Fiat 500 Hybrid

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• Model: 500 Hybrid (70)
• Insurance group: 9

Not to be confused with the fully-electric Fiat 500e, the Fiat 500 Hybrid is actually the older generation of this retro-themed city car. While it does feel its age in some areas, the 500 Hybrid is very easy to drive and park, frugal on fuel and, most importantly of all, cheap to insure. 

The clock is ticking for this particular model, though, so you’ll need to move quickly if you fancy a brand-new example. Alternatively, there’s no shortage of used Fiat 500s to be found on the market.

Cheapest cars to insure in the UK: prices and ratings table

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