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Cheapest new cars to insure

  • Average comprehensive insurance costs on the up
  • We round up the cheapest cars to insure
  • Slash hundreds off your motoring bills

Written by James Dennison Published: 3 January 2017

The third quarter of 2016 has seen the average price for comprehensive insurance cover rise to £737, with many motorists – especially younger drivers – feeling they’re being priced off the road.

However, buy the right car and you might be surprised about just how much you could save on your vehicle’s cover. Every model of car sold in the UK is given an insurance group from 1 (cheapest to insure), to 50 (most expensive to insure), which is often used by cover providers to calculate your premium.    

Factors such as repair costs, value of the car when new, performance and safety are used to calculate a vehicle’s insurance group. Fast, expensive cars are typically placed in a higher group and slower, cheaper models assigned to a lower one.

To help you get the best deal, we’ve rounded up the best insurance group one cars and retrieved some sample quotes to give you an idea of just how much you could save.

As a reference point, the cheapest quote we could get for a 2016 99hp 1.0-litre Ford Fiesta Zetec three-door manual (group 11) was £732.39.*

Ford Ka Plus – £579.90 per year

With the 2017 Fiesta growing in size and cost, Ford have beefed-up the their KA city car to cater for drivers looking for supermini practicality at sub-£10,000 prices. The KA+ is available in two different trim levels and power outputs, yet for an insurance group one model you’ll need to opt for the basic spec.

There’s still enough equipment to get you by however, with a radio, Bluetooth phone connectivity, electric front windows, trip computer and a speed limiter all fitted as standard.

Model: Studio 1.2 Ti-VCT 70hp 5d

Price: £8,995

Tax band: C (£30 per year)

Average fuel economy: 56.5mpg (claimed)

0-62mph: 16 seconds

Parkers rating: 4 stars

 

Hyundai i10 – £532.18 per year

While it may not be the most exciting city car on the market, Hyundai’s i10 remains an accomplished option – teaming a range of refined, economical engines with a spacious, well-made interior. There’s also the benefit of the South Korean company’s five-year unlimited mile warranty, which should provide peace of mind to motorists operating on a budget.

What’s more, the i10 boasts a typically impressive range of standard kit in SE trim, with air-con, electric front and rear windows, trip computer and cruise control all coming as standard.

Model: SE 1.0 66hp

Price: £10,075

Tax band: B (£20 per year)

Average fuel economy: 60.1mpg (claimed)

0-62mph: 14.9 seconds

Parkers rating: 4 stars

 

Kia Rio – £522.90 per year

It’s due to be replaced in 2017 but the Kia Rio still makes an attractive option for buyer seeking excellent value for money and solid build quality. The only diesel-powered car on our list, the Rio benefits from unrivalled fuel economy and zero road tax despite it being larger than its group one insurance contemporaries.

However, with added size comes added cost. So while you’ll be paying over £13,000 for a base spec Rio, don’t expect a huge amount of standard equipment.

Model: 1.1 CRDI 1 Air EcoDynamics

Price: £13,045

Tax band: A (£0 per year)

Average fuel economy: 78.5 mpg (claimed)

0-62mph: 15.9 seconds

Parkers rating: 4 stars

 

SEAT Mii – £476.65

The first of a trio of Volkswagen Group models on our list, the SEAT Mii is quite possibly one the cheapest new cars to insure currently on sale – coming in at nearly £50 less than the Kia Rio.

There is a more powerful 75hp version available, yet for the cheapest insurance prices the 60hp engine is the one to go for. Admittedly, it’s performance won’t set the world alight but real-world fuel economy in excess of 50mpg should be achievable. Unlike its near mechanically identical Volkswagen Up and Skoda Citigo siblings, however, the Mii doesn’t qualify for zero road tax.

Model: SE 12V 60PS

Price: £9,655

Tax band: B (£20 per year)

Average fuel economy: 64.2 mpg (claimed)

0-62mph: 14.4 seconds

Parkers rating: 4 stars

 

Skoda Citigo – £527.05

Looking for low insurance bills and an automatic – Skoda’s Citigo may be the car for you. It’s not the only car available as an auto in our list, but is one of the cheapest thanks to its already low list price. Note that in can also be specced with a manual gearbox should you wish.

The Citigo also boasts an impressive ride quality for a city car, handling bumps and ruts in the road with far more finesse than many of its rivals.

Model: 1.0 MPI 60PS SE ASG

Price: £10,070

Tax band: A (£0 per year)

Average fuel economy: 65.7 mpg (claimed)

0-62mph: 16.7 seconds

Parkers rating: 4 stars

 

Volkswagen Up – £527.47

Laden with typical Volkswagen quality and packed with oodles of useful kit, the Up remains a popular choice among city car buyers. Volkwagen’s Bluemotion efficiency technology allows the Up to squeeze under the zero road tax threshold, while also allowing some models to qualify for a group one insurance rating.

It may be pricier than its rivals, but if you want to keep the insurance costs down and quality levels up, Volkswagen’s neatly-packaged city car should be near the top of your list.

Model: 1.0 60PS Move up! Bluemotion Technology

Price: £10,325

Tax band: A (£0 per year)

Average fuel economy: 68.9 mpg (claimed)

0-62mph: 14.4 seconds

Parkers rating: 4 stars

 

*All insurance quotes were found using mustard.co.uk comparison site. The figures displayed in the text are based on a Milton Keynes based 25-year-old male teacher with a five years no-claims bonus. 

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