Every new car in the UK is given an insurance group ranging from one to 50. Although insurers can use their own system to assess risk, the lower the insurance group, the less you’ll pay for cover. Thanks to information provided by Confused.com, we can reveal the 10 cheapest cars to insure in 2020, with the results presented in no particular order.
Generally speaking, the following factors influence a car’s insurance group rating: performance, cost of repair, the car’s value, security and safety. A 1.0-litre city car will be far cheaper to insure than a 2.0-litre saloon. According to Confused.com, the Volkswagen Up is one of the cheapest to cover.
If you want to pay the least amount, opt for the Volkswagen Up with a 60hp 1.0-litre engine. These tend to fall into the lowest insurance group rating. Before you get any ideas, the Up GTI is a little more expensive to insure, with a group rating of 17.
Even the entry-level Nissan Micra Visia+ comes with emergency braking with pedestrian recognition, which helps to keep the cost of the insurance to a minimum. It costs £14,190, but looks too much like a driving school car without alloy wheels. Upgrading to the Accenta adds 16-inch alloys, cruise control, Apple CarPlay and Android Auto.
All versions of the Nissan Micra slot into group one when powered by the 71hp 1.0-litre petrol engine, making this an ideal car if you’re hoping to build a decent no-claims bonus. You can expect a discount of 30 percent in return for a claim-free first year of driving.
Not only is the Ford Fiesta Britain’s most popular new car, it’s also one of the cheapest to insure. Three- and five-door versions are available, with prices starting from £16,115. You can also opt for a crossover-inspired Fiesta Active Edition or a sporty ST.
You won’t find a single Fiesta on the bottom rung of the insurance group ladder, but the now discontinued Fiesta Style slots into group two when powered by a 1.1-litre petrol engine. Opt for the same engine in what is now the entry-level Trend model and the insurance group jumps to four.
Thanks to the way it looks and drives, the Seat Ibiza is a popular supermini for young drivers. The entry-level Ibiza SE costs £15,825 and offers 15-inch alloy wheels, a 6.5-inch touchscreen and LED daytime running lights. It’s essentially a Spanish Volkswagen Polo that looks better and is great to drive.
To pay the least amount for insurance you’ll need to opt for the Ibiza SE and the 75hp 1.0-litre petrol engine. All the other models are in a higher bracket, but if you’re after the style and aren’t too fussed about the poke, the 80hp Ibiza FR Sport slots into group five.
Skoda Citigo e iV
It’s quite a surprise to see the electric Skoda Citigo making this list, but it suggests that the overall cost of owning an EV is starting to come down. Prices start from just shy of £17,000, with up to 170 miles of range available.
Electric versions of the Skoda Citigo slot into insurance groups 11 and 12. Although you can no longer buy a new petrol version of the Citigo, finding a used example would make sense if you’re looking to minimise your costs. Some of the old 1.0-litre MPI versions fell into group one, making them inexpensive to insure.
There’s a new and exciting* Hyundai i10 on the way, but it’s unlikely to be as cheap to insure as the outgoing version (pictured). That’s what happens when you get carried away with funky LED lights and bold alloy wheel designs. It’s also more expensive, with the cheapest model coming in at £12,500, rather than £10,000. In fairness, you do get more for your money.
*It’s not that exciting.
Helpfully, Hyundai lists the insurance group ratings on its website. To pay the minimum amount for cover, avoid the 1.2-litre engine and opt for the 1.0 version. The i10 1.0 S and SE slot into group two, while other models range from four to seven. The groups of the new i10 are likely to range from six to 11.
It’s getting increasingly difficult to recommend the Fiat Panda. While it remains a fun and practical city car, it just too long in the tooth to make it a viable prospect in 2020. The zero-star Euro NCAP safety rating doesn’t help its cause, but it does have cheap insurance on its side. Well, in theory…
To achieve the lowest insurance group rating of three, you need to opt for the basic Fiat Panda Pop with a 1.2-litre engine. The Pop trim is just too miserly for most, so you’ll probably end up paying more for cover. The new mild hybrid versions should slot into group six.
Toyota Yaris Y20
Toyota is celebrating 20 years of the Yaris with a Y20 special edition. It’s packed with standard equipment, including 16-inch alloy wheels, a seven-inch media display, reversing camera and heated door mirrors. Prices start from £16,770.
Of course, the group rating is only one influence on the cost of insurance. Your age will affect how much you pay, along with where your car is parked overnight and during the day, any previous convictions and how many miles you drive in a year.
If common sense is your thing, the Kia Rio is one of the best superminis you can buy. Prices start from just £13,000, all models are well-equipped, plus you benefit from Kia’s seven-year warranty. Even the flagship GT-Line S costs less than £18,500, making it a worthy alternative to the Ford Fiesta.
The Kia Rio highlights that opting for the entry-level model doesn’t always result in cheaper insurance. Although both cars are powered by the same petrol engine, the Rio 1 is group six, while the Rio 2 is group four. That’s thanks to the improved level of safety kit on the Rio 2.
Smart EQ Forfour
Rob Griffin of Confused.com said: “We’ll all be driving electric vehicles one day – and this is a great example for those wanting a four-seater option for nipping around the city.” So now you know.
All versions of the Smart EQ Forfour slot into insurance group 11. The car delivers up to 70 miles of electric range, which is great if you’re ‘nipping around the city’. If you intend to venture further afield, the electric versions of the Vauxhall Corsa or Peugeot 208 might make more sense.