Driving can be very expensive for new drivers when you add up the cost of a new car, insurance, road tax, MOTs, fuel, and repairs. It is not all negative, though, and there are many benefits to passing a driving test, including a new sense of freedom and improved job opportunities.
Trying to find ways to reduce costs is important to many drivers, and one of the best long term ways of doing this is by looking at the cheapest cars to insure.
The average insurance cost for new or young drivers is typically expensive. That is why we have compiled a list of cars with low insurance premiums and further information to help you understand car insurance quotes.
Why Is Insurance So Expensive For Young Drivers?
Newly qualified drivers will typically have some of the highest insurance premiums because of a lack of experience. This is true of most young drivers who are statistically more likely to be involved in a car accident.
Car insurance providers look at a number of factors when providing drivers with premiums. If a payout is necessary, insurance costs will be assessed on risk and potential losses.
Young, inexperienced drivers are considered at a high risk of being involved in an accident. This is why newly qualified or young drivers need to consider alternative ways to reduce costs.
What Are Car Insurance Groups?
The car’s insurance group determines the insurance cost. The ABI (Association of British Insurers) independently assess vehicles to give them a rating from 1 to 50. This makes it easier for the insurance industry set its premiums.
Factors that determine which insurance group a car will be in include the damage it would receive in a collision and the cost of repair.
Other important factors include the price and availability of parts, the price, the car’s security, and the vehicle’s performance.
The cheapest cars to insure will be found in lower categories from 1-10. Top-end luxury vehicles are likely to have a higher rating, resulting in higher insurance costs.
Other Ways To Reduce Car Insurance Premiums For Young Drivers
As well as finding a vehicle that will get you the cheapest car insurance quote, there are a number of other steps you can take to reduce insurance premiums.
Advanced driving course
Taking additional courses after passing a test will give you a qualification to prove to your insurance provider that you are a responsible driver. This is an excellent way for a young driver to reduce insurance costs.
Black box insurance
Some insurers offer insurance policies that include a black box monitoring system. This will measure how often you drive, how far you drive, your speed, and the times you drive.
This makes it easier for the insurance company to provide you with an accurate quote based on this evidence rather than on general assumptions.
Temporary car insurance is an excellent way for people that don’t use their vehicle regularly. You will be able to choose from daily, weekly, or monthly options, depending on your needs. Temporary learner driver insurance is the perfect option for those still learning that need to get as much practice as possible.
Cheapest cars for young drivers to insure, UK
To help you find an affordable car with lower insurance premiums, here is a list of vehicles that might suit young motorists.
While older cars are great for a first car, as they will be less valuable and therefore cheaper to cover, newer cars offer many modern safety features that will benefit younger drivers. Here are some of the best models on the market:
The Ford Fiesta has been popular since its launch almost 50 years ago in 1976. The Fiesta is in Insurance group 2, which will automatically be a cheap option to insure.
They are well built, comfortable vehicles that are great for new drivers. The small vehicle’s 1.1-litre petrol engine offers excellent fuel efficiency, and entry-level models come with an impressive infotainment screen that allows Android Auto and Apple Carplay as standard.
Despite being a small car, this hatchback is surprisingly roomy, and there is a range of specs and trims for prospective buyers to explore.
The Seat Ibiza finds itself in insurance group 3 for the 1.0-litre MPI model. Older models can even offer group 2 insurance if you are interested in a used car.
The spacious car is great for those that want to take passengers on adventures and even has a large boot. The vehicle offers safe handling and good fuel economy.
Some models are available with rear-facing cameras and a parking sensor, and the 60,000 three-year warranty offers the owner peace of mind.
The Vauxhall Corsa is another popular model in the UK and was first introduced as the Opel Corsa in 1982.
The 1.2-litre Life model is in the group 2 insurance category, and it is cheap to run. The well-equipped car comes with 16″ Alloy wheels, a touch screen entertainment centre, and LED headlights as standard.
The Corsa offers fantastic handling and, like most similar small cars with small engines, is relatively cost-effective to run.
If you had looked at either the Skoda Citigo or Volkswagen Up, the Seat Mii could be a great choice as all three vehicles are remarkably similar.
This is a compact car, and its 1.0-litre petrol engine models enjoy excellent fuel economy and group one or two insurance.
Because of its size and manoeuvrability, the Mii makes an excellent city car. The ISOFIX fittings in the back seat also make it ready for up to two car seats for those with a young family.
The Volkswagen e-UP is an electric car that is perfect for young drivers who want the freedom and versatility of having a car without the carbon footprint and emissions.
This car is great for town or city driving and is in insurance group ten. Though this is a little higher than some of the other models featured, you will benefit from not having to pay any road tax because it is fully electric.
This car offers a range of around 160 miles when fully charged. With so many charging stations being installed around the UK and government regulations requiring all new-build homes to have one installed, it is looking like it will only get easier to charge an electric vehicle.
The quick acceleration and quiet ride make this an enjoyable car to drive. The other significant benefit of this and other electric vehicles is how much cheaper they are to run.
The Dacia Sandero is a great, low-priced option for young drivers. You will find models dating from 2013 to 2021 will start in insurance group 2, making them one of the cheapest vehicles available for below £10,000.
This might not be the best choice if you are after a flashy car with a great interior. The use of plastic and basic specs is one reason this vehicle is so cheap. But don’t let that put you off.
You will be surprised at how spacious the Sandero is, with lots of room to transport adults and an excellent boot. Despite being great for budget buyers, the car is surprisingly good to drive.
Suppose you are happy to sacrifice mod cons, out with air conditioning and a DAB radio, interior quality, and state-of-the-art consoles. In that case, the Dacia Sandero is an excellent option.
The Fiat Panda might not look as stylish as the Fiat 500, but the low insurance group 3 rating makes it a great option for new or young drivers looking to reduce insurance premiums.
The 1.2-litre petrol option offers excellent fuel economy and a low insurance level rating, making it a cheap car to run. The boxy style might not be to everyone’s taste, but there are a lot of fans of this quirky style out there.
This is a practical car that offers a comfortable ride. The only downside is the car’s poor crash rating, which should always be considered when buying a new car.
The Toyota Aygo X-Style 1.0 VVT-i 5d model is in insurance group 5. The entry-level models come with 17″ alloy wheels, air conditioning, a rear-view camera, and an Apple Carplay and Android Auto compatible touchscreen.
The car’s safety features include automatic emergency braking and adaptive cruise control. The 1.0-litre engine isn’t the quickest, but this is still a brilliant car for driving in towns and cities.
Customers will be able to choose between manual or automatic versions, and you can expect great fuel economy from this vehicle.
The Kia Picanto DPi(66) auto 2 is a compact car in insurance group one. This is an excellent car for a new driver because of its low running costs and excellent fuel economy.
Reaching 0 to 60mph in 16.6 seconds isn’t the most impressive speed you will find, but this is one of the reasons it is so cheap to run.
As well as being a cost-effective option, you will also have the peace of mind offered by its 100,000-mile, seven-year warranty.