Let’s be real: Car insurance is not cheap at all. Many car owners are stuck paying high premiums without knowing they can save a few bucks. Here’s the thing: the amount of insurance you pay depends on your car type. Some models are cheaper to insure due to their safety ratings, low repair costs, and theft resistance.
In this article, we’ll walk you through the top 15 cars that are cheap to insure in 2025, and we’ll explain why these cars are affordable in terms of insurance payments and how you can downgrade from premium to another category that falls into the lower category of the premium section.
Top 15 Cheap Insurance Cars
Insurance providers base rates and repair costs on safety ratings, engine size, and more. These 15 cars hit the sweet spot between affordability, reliability, and insurance-friendly specs. Interested in buying one?
Hyundai i10 1.0 Advance
The Hyundai i10 1.0 Advance is a smart choice for people who want a small car that’s cheap to insure. It’s easy to drive, has a smooth engine, and includes modern safety tech like lane assist and automatic braking.
Your monthly or yearly premium stays low because it belongs to a low-risk insurance group. Its compact size makes it perfect for city driving and parking in tight spots.
Renault Clio 1.0 SCe 65 Play
The Renault Clio 1.0 SCe 65 Play is a solid option for drivers who want to save money without giving up style or comfort. Its 1.0-litre engine is ideal for city use, and it gives off low CO₂ emissions, which appeals to insurers.
The car also scores well in crash safety tests, including useful features like hill-start assist and LED headlights. This helps keep insurance prices lower for new and experienced drivers.
Kia Picanto 1.0 2
The Kia Picanto 1.0 2 is one of the UK’s most affordable cars to insure. Even though it’s a small car, it offers great features like a touchscreen system and air conditioning. Its size makes it great for busy cities, and it’s also cheap to run.
The Picanto has a good safety score, and repair costs stay low because it’s so reliable. This all helps to keep insurance premiums down.
Volkswagen Up Take Up 1.0 60PS
The Volkswagen Up Take Up 1.0 60PS may be a small car, but it delivers great value. It’s easy to drive, especially in traffic or around town. With its small engine, it’s not built for speed, which helps keep insurance costs low. It also has good fuel efficiency and is known for solid German build quality. This makes it ideal for young or urban drivers.
Dacia Sandero 1.0 SCe Essential
The Dacia Sandero 1.0 SCe Essential is the most budget-friendly car you can buy, and it is brand new in the UK. It’s simple, reliable, and gets the job done. This model may not have fancy features, but it does have what you need for daily use. Thanks to its low power and basic design, insurers consider it low-risk. That means it’s a solid pick for anyone wanting to keep their car insurance cheap.
Toyota Aygo X 1.0 VVT-i Edge
The Toyota Aygo X 1.0 VVT-i Edge is built with city drivers in mind. It’s small, light, and easy to handle in tight spaces. It also has strong safety features like automatic emergency braking and lane departure alerts.
Because of its small engine and excellent reliability, the Toyota Aygo X 1.0 is in one of the lowest insurance groups. This makes it a smart and fun choice for new drivers and city commuters.
Skoda Fabia 1.0 MPI 80 SE Comfort
The Skoda Fabia shares much of its structure and engine with the VW Polo, but it often sits in a higher insurance group. Still, the Fabia is cheaper to buy and offers great value overall.
With a non-turbo 80 hp engine, it’s not fast but delivers impressive fuel economy and a smooth, quiet drive. It’s surprisingly spacious inside, with a larger boot than many rivals. Despite the slight insurance gap, its comfort and practicality make it a strong contender.
Nissan Micra 1.0 IG-T 92 Acenta 5dr CVT
Nissan’s Micra has evolved into a stylish and practical car. The CVT transmission adds a smooth driving experience. The car is also low-emission and has a top-notch safety rating, which helps cut insurance costs.
Seat Ibiza SE Design 1.0 MPI
The Ibiza design combines sportiness and modesty. Its efficient 1.0 MPI engine means it’s in a low insurance group. The SEAT Ibiza SE Design 1.0 MPI engine has a displacement of 999cc. It’s a 3-cylinder petrol engine with 12 valves.
Inside, the SE Design trim brings a modern dashboard with a touchscreen, plus useful extras like cruise control and parking sensors. Safety is also strong, with multiple airbags and good crash-test scores. It’s an ideal choice for young drivers who want more style.
Kia Rio 1.2 DPi 1
The Kia Rio 1.2 DPi 1 is a smart and budget-friendly hatchback. It’s fitted with a 1.2-litre petrol engine, giving slightly more power than others on this list but still staying efficient.
The car is reliable, has a roomy interior, and includes basics like air conditioning and smartphone connectivity. Kia’s strong safety record and long warranty also boost its appeal, making it perfect for small families or students.
MG3 1.5 VTi-TECH 3 Time
The MG3 1.5 VTi-TECH 3 Time is a bit larger than some other cars on this list, offering more space for passengers and luggage. The MG3 1.5 VTi-TECH 3 Time engine has a capacity of 1498cc (1.5 liters).
This four-cylinder petrol engine is paired with a five-speed manual transmission, which adds a bit more performance without pushing up insurance costs too much. It comes with Bluetooth, air conditioning, and even a touchscreen.
Volkswagen Polo SE 1.0
The 2025 Volkswagen Polo SE 1.0-liter engine has a displacement of 999cc. It’s a three-cylinder petrol engine that offers a choice of power outputs. It is available with a manual or automatic transmission, balancing comfort, efficiency, and style. The build is strong, and novice driver aids make it one of the insurer’s favorites.
Seat Arona 1.0 TSI SE
The Seat Arona 1.0 TSI SE is an SUV with plenty to offer. It is a compact SUV with enhanced safety features that is efficient and inexpensive to insure.
Its 1.0-litre turbo engine is both punchy and efficient, and the car has advanced safety features like autonomous emergency braking—a perfect car for those who look for an SUV but don’t want the SUV budget.
Renault Captur 1.0 TCE 90 Play
The Renault Captur blends practicality with hatchback efficiency. Its 1.0 engine keeps it in a friendly insurance group. It’s also one of the best-equipped small SUVs at this price point.
The Renault Captur 1.0 TCE 90 Play Time engine has a displacement of 999cc. This is equivalent to 1.0 liters. The engine is a three-cylinder, turbocharged gasoline engine. Safety is also strong with driver-assist features. Because of its balanced design and low emissions, it’s affordable to insure and own.
How do taxes vary across models? Find out what tax band your car is in.
How to Get Cheaper Car Insurance?
You need to carefully choose the car if you aim to get cheaper insurance. Here are a few ways to cut out your premium insurance.
Keep a Clean Driving Record
Insurers often look at your driving history. Avoid getting a speeding ticket, being involved in an accident, and other violations that can lead to significant car repairs. If you’re just about to purchase a used vehicle, checking past records can give you insights on which vehicle to go for.
Use Telematics or a Black Box
Many insurers offer policies with telematics, aka the black box insurance. The device is the same as the black box on a plane, but the difference is that the insurance black box tracks how safely you drive the car.
Pay Your Premium Annually
Although monthly payments might seem easier, they usually come with extra interest or admin fees. Paying your premium in one annual lump sum can help you save a few bucks and score a better deal.
Limit Your Annual Mileage
The fewer miles you drive year by year, the lower your risk on the road. Try to keep your mileage low by taking a walk or public transportation–insurers may reward you with a special price if you have low mileage.
Increase Your Voluntary Excess
The voluntary excess is the cost you pay if you make a claim. By choosing a higher excess, you show insurers that you’re less likely to file minor claims, which can reduce your premium.
Don’t forget to check your vehicle’s CO2 ratings, as they may affect running and ownership costs. Use a trusted CO2 emissions check tool to compare different models.
Also, if you live in or drive through an emission zone, check whether your car is ULEZ compliant.
Conclusion
Sometimes, insurance can be one of the biggest expenses on a car, but if you pick the right vehicle and follow important steps, you could reduce the cost of car insurance. The 15 cars we have listed above offer a great balance of safety and price for budget-conscious drivers. Whether you are a student, a new driver, or just want to save money, choose your car wisely.
Frequently Asked Questions
Is an older car cheaper to insure?
Generally, older vehicles can be more affordable than newer ones of the same make and model, particularly if the cost to repair or replace the used car is lower. This is partly because a car’s value decreases over time, thus reducing the maximum payout an insurance company would be responsible for in case of an accident.
What cars have the lowest insurance rates in 2025?
The Subaru Outback, Honda CR-V, and Toyota Tacoma were some of our analysis’s least expensive vehicles to insure. Overall, SUVs and trucks had the lowest insurance rates compared to sedans, minivans, and sports cars.
What color car is the cheapest to insure?
Contrary to what some might believe, the color of your vehicle does not play a role in determining your insurance rate. Insurance companies prioritize other details, including the age of your car, where you live, how you use the vehicle, and your driving record, to establish your premium.
