Cheapest cars to insure for new drivers 2023

 

Learning to drive is one thing, and passing your test is another. But then comes the reality that buying and running a car can be an expensive business, and especially so when it comes to insurance for new drivers.

Those that have only just qualified as a driver face some of the stiffest insurance premiums, because insurance companies view them at high risk of an accident. It therefore makes a lot of sense to make sure your first car sits in as low an insurance group as possible. Pick correctly and you could save hundreds, if not thousands of pounds a year.

Low insurance cars tend to be small, cheap and have relatively low power outputs, all of which reduce the risk of an accident or the financial cost if one does occur. In this guide, we’ve picked 10 cars that sit in low insurance groups and should give you less of a freight when you get the quote from your insurance company.

Volkswagen Polo

The Volkswagen Polo is a great choice for new drivers looking for the cheapest cars to insure. The 1.0-litre 80hp models are rated group 1 for car insurance, the lowest-possible insurance band. The Polo also has a good array of active safety features, such as autonomous emergency braking, which helps further reduce premiums. Parents will be reassured by the Polo’s excellent Euro NCAP crash-test score, and the fact it is such an easy and secure car to drive shouldn’t pose any challenges to new motorists keen to build up their experience on the roads.

Read our full Volkswagen Polo review

Fiat 500

The classy little Fiat 500 has delighted drivers since it was first introduced in 2008, and it’s still on sale now – there will be first drivers that have literally grown up with it. And it remains a great little car for those that have just passed their test, with style to spare and low running costs. The latest model uses an efficient mild-hybrid engine to keep fuel costs down, and if you opt for the Red trim, you’ll have a car that sits in insurance group 9.

Read our full Fiat 500 review

Ford Fiesta

The Ford Fiesta is a deserved favourite car for new drivers. It is regularly Britain’s best-selling new car, which means there is a huge amount of support and experience out there, helping keep repair costs low. This is factored into car insurance premiums – as is the just-enough performance of variants such as the 1.1-litre Ti-VCT. This engine falls into group 2 for car insurance, with other more powerful versions also being sensibly-priced. The familiar Fiesta is an easy car to drive – and a fun one – while the latest versions have electronic safety aids that support new drivers if the road gets slippery, or they need to make a sudden manoeuvre.

Read our full Ford Fiesta review

Renault Clio

It was popular with Nicole and Papa, and it’s another popular car with new drivers. The Renault Clio with the SCe 65 engine will be the cheapest to insure, as it has the lowest insurance group rating. Renault’s sensible approach to safety and security means all Clios should allow cost-effective cover, though, and the fact that driving a Clio is so easy and straightforward will give new drivers confidence. Few cars feel more at home in the city. Meanwhile, parents can take comfort in Renault’s strong crash credentials, backed up by a good performance in the Euro NCAP safety tests.

Read our full Renault Clio review

Hyundai i10

The compact Hyundai i10 is a popular city car that new drivers will be drawn to, courtesy of its stylish lines and youthful detailing. Being a compact car, it’s very easy to drive, and a breeze to park, while its small engines mean it benefits from low insurance groups. The affordable i10 is generally very well equipped, with all-important safety tech coming as standard. Like all Hyundais, it also comes with a five-year, unlimited-mileage warranty, so it should be more than capable of shrugging off any wear and tear that comes from new drivers honing their motoring craft.

Read our full Hyundai i10 review

Skoda Fabia

The latest Skoda Fabia is an extremely practical small car. The friends of new drivers will be amazed at how much space there is in the back seats, and the boot is enormous – as big as that of the larger Volkswagen Golf, in fact. All this comes with the potential for affordable car insurance, too. The entry-level 1.0 MPI 80 engine has a group 3 insurance rating, even in stylish Colour Edition trim. This means the Fabia’s long-running tradition of being a cheap car to insure will continue, enhancing its reputation for offering great all-round value for money.

Read our full Skoda Fabia review

MG 3

The colourful MG 3 boasts extremely competitive insurance ratings. The VTI-Tech engine starts from group 4 insurance, which means new drivers won’t have to pay through the nose to get on the road. It’s an affordable car to buy as well, and comes with a good level of standard equipment. MG even offers a seven-year warranty, bolstering the car’s long-lasting credentials. A five-door supermini similar in size to a Fiesta, the MG 3 is practical enough to grow with new drivers as they gain experience on the road. It’s better to drive than you might expect, too, although the cabin is a bit low-rent and it could be more refined. 

Read our full MG 3 review

Kia Picanto

The little Kia Picanto is one of the most affordable small cars to buy and run, and if you pick the right model, it’s one of very few cars that ist in the lowest insurance group 1. Go for the 2 trim, with the 1.0-litre DPi engine, with the automatic gearbox, and the insurance will be as cheap as insurance gets. And you don’t have to put up with a substandard car, either – the Picanto is good fun to drive and benefits from a cracking seven-year, 100,000-mile warranty. It’s a brilliant first car.

Read our full Kia Picanto review

SEAT Ibiza

The SEAT Ibiza is another supermini that often finds favour with new motorists. The sporty appearance and youthful approach of Spanish brand SEAT gives it one of the youngest ownership profiles across Europe. It’s certainly easy to see why the Ibiza is popular with new drivers: 1.0 MPI petrol engines have car insurance starting from a lowly group 2, while even the hot hatch-like FR Sport model falls into group 4. The latest Ibiza is packed with connected technology and is an engaging car to drive, while also offering a good array of standard safety systems.

Read our full SEAT Ibiza review

Dacia Sandero

The Dacia Sandero is an immediate winner here, courtesy of being one of the cheapest new cars on sale in the UK. If you’re a new driver and don’t want to spend a fortune, it’s a great choice. The most affordable 1.0 SCe version has a group 3 insurance rating, and the well-equipped Essential, which features air conditioning and other goodies, still only falls into group 4. It’s a good-to-drive brand new car, with lots of space and five-door practicality, all for the price of a secondhand Corsa or Clio. It’s not hard to see why the Sandero is so popular.

Read our full Dacia Sandero review

How can new drivers cut the cost of car insurance?

In the first instance, new drivers can cut the cost of their car insurance by choosing a vehicle with a low power output. Car insurers penalise more powerful cars particularly strongly for new drivers, so it’s best to keep engine power as low as possible. It’s also worth sticking to a popular make of car, which should be cheaper to repair. Driving a smaller and more affordable city car or supermini, rather than a larger and more luxurious vehicle, will also help, as will parking on a private drive or in a garage, rather than on the street.

Why is car insurance so high for new drivers?

Car insurers use statistics and previous accident data to build up their risk profiles. These all point to new drivers being among the highest-risk motorists, which is why car insurance is so expensive for them. Factors include age, whether you’re male or female, where you live and, of course, what type of car you drive. It is an unfortunate fact of life that car insurance will cost more for new drivers than more experienced motorists.

What is telematics car insurance?

Many new drivers are switching to telematics car insurance in order to save money on their insurance. This involves fitting a ‘black box’ that monitors where and when they’re driving. It records factors such as speed, acceleration, braking and other parameters. The idea is to encourage safe and steady driving, and penalise new drivers who drive more dangerously. Black box car insurance is therefore cheaper than normal car insurance, for those who don’t mind being tracked all the time.

Ask HJ

What's a good car for a 17 year old?

I would like to buy my grandson, who's coming up 17 years old, a small car to allow him to start work. I'd like it to be no older than five years, safe, very reli