The 5 Cheapest Cars to Insure in the UK

Today’s economy presents you with challenges like never before. Believe it or not, car insurance can be a great place to save money. The cost of car insurance can be up to £1,000 per year, but there are ways to minimise these costs and still have coverage.

Cars are placed in what insurers call a group rating. Any car’s rating depends, for the most part, on cost, speed and popularity. The lower the group rating the lower the insurance cost – find out more about insurance groups here.  First we will look at the cars that are the least expensive to insure. Later we will learn some tips on how to reduce car insurance costs. This article is specific to the UK and is based on UK insurance groups.

Volkswagen Up! 1.0 60 Take Up

This car is not only economical; it is also a fun to drive. The engine is very capable, but since it has only three cylinders this is not a speed machine. This vehicle’s top speed is only 99 mph. All this makes the Up! less expensive to insure. With a sticker price of just £7,995 the Volkswagen falls easily into the economic car insurance group 1.

Suzuki Alto 1.0 SZ2

This car falls under insurance group 2. First of all, it carries a reasonable sticker price of £7,820. The economic price tag translates into low insurance rates. The Alto’s top speed is less than 100 mph which also helps give it a low group rating. Still, the Alto has plenty of zip to keep you arriving on time around town.

Nissan Pixo 1.0 Vista

At £7,250 this car’s very low price helps put it in the most economic insurance group number 1. For a Nissan, this is a great price. The small 996 cc engine also keeps the Pixo off of the high insurance rate radar. With a top speed of 96 mph, insurers see this as a low risk vehicle so you pay less for insurance.

Seat Mii 1.0 60S

The Seat Mii will set you back a mere £7,845 which makes it inexpensive to insure. This vehicle also falls under insurance group 1, the most economical ranking possible. Here again a top speed of only 99 mph helps keep the insurance premiums low on the Mii.

Vauxhall Corsa 1.0 ecoflex Expression

This car’s small 1.0 liter engine tops out at 96 mph and has a zero to sixty of 18.2 seconds. You won’t be winning any drag races with the Corsa, but you will be saving big on insurance. The Vauxhall also possesses the Holy Grail of low insurance grouping with a rating of 1.

How to Lower Your Car Insurance Rate

There are some things that you can do to improve your car insurance rate. It all depends on knowing what insurers look for when calculating premiums. Some key elements are:

  • Where you live: One big factor is the area you live in. If you live in a high crime area or very busy part of the city, this is likely to raise your insurance rate. Last year, a survey found that car insurance was most expensive in Manchester and Liverpool.
  • Where the car is kept: Storing your car in a garage protects it from the elements and from potential thieves. This helps lower your insurance rate.
  • Previous accidents and claims: If you have a history of accidents and insurance claims, your insurance rate is certain to be higher.

Type of Insurance Coverage

The type of insurance coverage also affects your costs. For example:

  • Fully comprehensive: This covers third parties involved in any accident. You are also covered even if the accident was your fault.
  • Third party, fire & theft: Provides protection for third parties if you caused the accident. Fire damage and loss due to theft are also covered.
  • Third party only: This is the most economical choice, but it also provides minimal coverage. If you are at fault it covers third parties, but your car is not covered.

Find a great deal on car insurance coverage with a comparison website such as Compare The Market who are owned by the BGL Group who specialise in the insurance sector.


As you can see, many factors go into determining car insurance rates. If your biggest hurry is to save money, then the models listed above are perfect for you. Also storing your car in a safe place and a good driving record will keep your insurance premiums to a minimum. Finally, you have options on the extent of coverage you choose which can also provide you with an opportunity to save.


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