Top 20 cheapest cars to insure in 2024

Car insurance is a necessary expense, but you don’t have to pay a fortune for cover. Here are the new cars with the lowest premiums...

Renault Clio with Target Price logo

Although car insurance premiums in the UK went up by an average of only 1% in the first three months of 2024, the bad news is that they are currently the highest they have ever been, according to the Association of British Insurers (ABI). This means the average cost of a comprehensive policy for a private motorist is now £635 – a 24% increase on the same period last year, when the average premium was £478*.

The ABI tracks the price of 28 million car insurance policies that are taken out each year, and the claims made on them. It says the average cost of an insurance payout in January to March 2024 was £4800, which is 8% up on the previous quarter. This is blamed on increases in the cost of repairs, the cost of replacement vehicles and payouts due to the ft.

When looking for a new car that ’s cheap to insure – especially with young drivers in mind – start by checking its insurance group, because that will give you a good indication of how pricey the premiums will be. All cars are assigned a group ranging from 1 to 50, taking into account the car’s price when new, what safety systems are fitted and what security features it has, plus how susceptible it is to accident damage, how much it is likely to cost to repair and how long that work will take.

In general, if you pick a car in a low insurance group, it should have reasonable premiums, while cars rated in the top band (50) will be the most costly to obtain cover for. However, prices can vary broadly among the different engine and trim options of specific models.

If you're a young driver, you'll find that your car insurance can be more expensive than most – that's because young drivers, and especially young male drivers, are involved in the majority of accidents. However, there are ways you can keep your insurance premiums as low as possible, such as by taking out a black box telematics policy which rewards smooth driving.

The annual premiums we’ve quoted here are for a 23-year-old male, living in Bromley, Kent, with a clean licence, six years’ no-claims bonus, parking on the street and covering 8000 miles per year. While these are higher than they’d be for an older person with more of a no-claims discount and living in a less risky part of the country, they show that plenty of new cars are still affordable to insure for younger drivers.

Below we count down the 20 cheapest new cars to insure, revealing how much they will cost for our average driver. If you want to find out more about any of the cars listed below, simply click the links through to our full reviews or free New Car Buying service.

Our Target PCP deals are based on a 48-month contract unless stated otherwise, with a 15% customer deposit and a limit of 8000 miles a year.

The cheapest cars to insure

1. Fiat Panda

Cost of insurance £688

Green Fiat Panda front cornering

Version 1.0 Mild Hybrid | List price £14,775 | Target Price £14,123 | Target PCP £203 | Insurance group 8 What Car? star rating 1

Some people fall for the Fiat Panda’s chunky, SUV-like looks, while others will be tempted by the fact that it’s cheaper to insure than any other new car. However, it’s outclassed by all of its rivals.

As well as having a wheezy, lethargic 1.0-litre petrol engine, the Panda is mediocre to drive, with a bouncy, fidgety ride. Nor is it very practical, despite its boxy shape. But its biggest drawback is its abysmal safety rating, being awarded zero stars out of five by the independent experts at Euro NCAP.

If insurance costs are your only priority, the Panda fits the bill, but we wouldn’t actually recommend it to anyone when there are far better small cars to choose from.

For Low running costs | appealing looks | decent head room | good rear visibility

Against Abysmal Euro NCAP safety rating | tight rear leg room | slow and poor to drive

Read our full Fiat Panda review or see new Fiat Panda deals >>

2. Toyota Aygo X

Cost of insurance £716

Red Toyota Aygo X front cornering

Version 1.0 VVT-i Pure | List price £16,140 | Target Price £15,003 | Target PCP £185 (42-month term) | Insurance group 5 What Car? star rating 4

With its bold, chunky styling, the Toyota Aygo X can almost be mistaken for a small SUV rather than a small hatchback. However, it falls into the latter camp in terms of size, so it ’s much cheaper to buy, own and insure than an SUV.

Indeed, the Aygo X will be very cheap to run, and that ’s partly helped by its frugal 1.0-litre petrol engine. True, performance isn’t a strong point (0-62mph takes a lethargic 14.9sec), but the Aygo X can return more than 50mpg in real-world use. It also comes with an impressive roster of safety aids and a warranty of up to 10 years. With cramped rear seats and a small boot, it isn’t as practical as many of its rivals, though.

For Cheap to run | good level of standard safety equipment | 10-year warranty

Against Cramped in the back | small boot | lacklustre performance

Read our full Toyota Aygo X review or see new Toyota Aygo X deals >>

3. Kia Picanto

Cost of insurance £730

Kia Picanto front cornering

Version 1.0 2 | List price £14,445 | Target Price £13,545 | Target PCP £208 (36-month term) | Insurance group 3 What Car? star rating 3

The Picanto small hatchback offers a smart interior and tidy handling, partially compensating for the fact that it isn’t as comfortable or refined as the closely related Hyundai i10. What’s more, the 66bhp 1.0-litre petrol engine that powers this version is fine for pottering around town and should deliver low fuel bills as long as you don’t thrash it.

Our quote is for the cheapest, 2 trim level, which isn’t badly equipped, but we’d recommend paying a bit extra and stepping up to 3 trim, because it adds climate and cruise control and a touchscreen infotainment system with Apple CarPlay and Android Auto smartphone compatibility.

For Tidy handling | Frugal 1.0-litre MPi engine | Generous equipment on 3 trim

Against Modest performance | Firm low-speed ride | Dacia Sandero is more practical

Read our full Kia Picanto review or see new Kia Picanto deals >>

4. Hyundai i10

Cost of insurance £742

Hyundai i10 front cornering

Version 1.0 Advance List price £15,530 | Target Price £14,767  | Target PCP £187 | Insurance group 2 What Car? star rating 4

Just because a small car is great at nipping around tight city streets, that doesn’t mean it can’t be good at other things too. The i10 is proof of this. Although it ’s smaller than the likes of the Dacia Sandero, it ’s still relatively spacious, plus it has a smart-looking interior, rides well and is better to drive than quite a few bigger, more expensive models.

Our quote is for the least powerful (62bhp) 1.0-litre petrol engine (there’s also a 1.0-litre turbo and a 1.2), which is lively enough for urban driving but starts to run out of puff at motorway speeds. Entry-level Advance trim caters for most basic needs, but you’ll need to go for mid-range Premium to get heated front seats and a heated steering wheel.

For Comfortable and relatively quiet | decent rear seat space | well equipped

Against Disappointing Euro NCAP safety rating | entry-level 1.0 engine is a bit weedy

Read our full Hyundai i10 review or see new Hyundai i10 deals >>

5. Dacia Duster

Cost of insurance £768

Dacia Duster front left static

Version 1.2 TCe 130 Expression List price £19,695 | Target Price £19,366  | Target PCP £198 | Insurance group 19 What Car? star rating 5

The Duster is cheap to buy, comfortable and roomy inside and if you ever need to venture off the tarmac the 4x4 version is very capable off road. The 2024 line-up starts with a 1.2-litre petrol version, badged 130 TCe, that's turbocharged and has plenty of oomph off the line.  There's also a 1.6 hybrid and a 100 Bi-Fuel model that can run on LPG and is a good option for anyone looking for cheaper fuel bills. 

Overall, the Duster isn't as enjoyable to drive as rivals, but it's extremely good value for money, and that will be a convincing enough argument for many buyers. Expression isn't the cheapest trim level, but the most affordable, which is called, Essential, may be too basic for many buyers.

For great value for money | comfortable and relatively roomy | large boot

Against Not the most rewarding to drive | lots of hard plastic trim

Read our full Dacia Duster review or see new Dacia Duster deals >>

6. Seat Ibiza

Cost of insurance £800

Seat Ibiza front cornering

Version 1.0 TSI 95 SE | List price £19,725 | Target Price £18,100 | Target PCP £205 | Insurance group 11 What Car? star rating 4

It may be similar under the skin to the Volkswagen Polo, but the Ibiza trumps its stablemate for driving enjoyment and value for money. The Ibiza is one of the sharpest handling cars in its class, and most versions (apart from firmer FR models) have a comfortable ride.

Our insurance quote is for the 1.0 TSI 95, which is our favourite engine due to its fine blend of gutsy performance and efficiency. Sticking with the cheapest (SE) trim isn’t a bad option, because it comes with automatic headlights, electrically adjusting door mirrors, metallic paint and an 8.25in infotainment touchscreen with Apple CarPlay and Android Auto phone mirroring.

For More fun to drive than most other small cars |roomy by class standards | strong petrol engines

Against A fair bit of road noise | resale values could be better | firm ride on FR versions

Read our full Seat Ibiza review or see new Seat Ibiza deals >>

7. Dacia Sandero

Cost of insurance £843

Dacia Sandero front left driving 2021

Version 1.0 TCe Essential | List price £13,795 | Target Price £13,569 | Target PCP £166 | Insurance group 12 What Car? star rating 4

Despite its bargain price, the Dacia Sandero is a fine all-rounder if you’re looking for a small hatchback. It comes with a choice of two engines: the TCe 90 petrol and TCe 100 Bi-Fuel. The latter is our preferred option, because it can run on petrol or much cheaper liquefied petroleum gas (LPG). It also feels gutsier than the regular petrol engine at low speeds and is smoother and quieter.

Whichever engine you choose, the Sandero majors on practicality. It’s roomier up front than a Honda Jazz, and there’s plenty of room in the back for two adults. It ’s let down somewhat by a low, two-star Euro NCAP safety score, although its paucity of active safety aids doesn’t mean it’s unsafe.

For Excellent value | lots of passenger space | well equipped in mid-range Expression trim

Against Poor safety rating | engine is rather noisy| rear seats are short on versatility

Read our full Dacia Sandero review or see new Dacia Sandero deals >>

8. Fiat 500

Cost of insurance £906

Fiat 500 Hybrid front driving

Version 1.0 Hybrid | List price £16,800 | Target Price £15,932 | Target PCP £147 | Insurance group 10 What Car? star rating 2

More than a decade after its launch, the 500 is still one of the best-selling city cars, not least because of its cute, stylish looks.

While little has changed on the outside, Fiat has made some improvements under the skin. However, it still lags behind rivals such as the Hyundai i10 and Kia Picanto for acceleration and refinement. It ’s also less practical than many rivals, because it comes only in three-door form, and that means access to the rather cramped rear seats is awkward.

The 500 scored poorly in Euro NCAP safety testing, though, being awarded just three stars in 2017, and isn’t as resistant to break-ins and theft as some other small cars.

For Plenty of style | easy to drive and park in town | lots of customisation options

Against Poor safety rating | cramped in rear seats | coarse sounding, sluggish engine

Read our full Fiat 500 review or see new Fiat 500 deals >>

9. Volkswagen Polo

​​Cost of insurance £929

VW Polo front cornering

Version 1.0 80 Life | List price £20,975 | Target Price £19,783 | Target PCP £207 | Insurance group 3 What Car? star rating 4

The Polo may have spent its life in the shadow of its popular big brother, the Volkswagen Golf, but it shouldn’t be underestimated. Our insurance quote is for the 1.0-litre petrol model in Life trim, but whichever version you go for, you’ll get a car that ’s good to drive, comfortable and smart and roomy inside.

The fact that it’s likely to retain its value better than rivals simply adds to its appeal. Although the lowest-powered 1.0 80 engine is the cheapest to insure, it’s not turbocharged and has to be worked hard to achieve decent acceleration. We prefer the more powerful turbocharged 1.0 TSI 95, which pulls strongly from low revs.

For Good to drive | spacious interior | attractive PCP finance deals available

Against Seat Ibiza is more fun to drive | gutless entry-level engine | short on standard safety kit

Read our full Volkswagen Polo review or see new Volkswagen Polo deals >>

10. Hyundai i30

​​Cost of insurance £948

Hyundai i30 2020 front

Version 1.0 T-GDi SE Connect | List price £22,710 | Target Price £21,298 | Target PCP £254 | Insurance group 10 What Car? star rating 3

In times gone by, 1.0-litre engines were reserved for tiny city cars. Now you can find them in many family-friendly small SUVs and larger family cars – including the Hyundai i30. Mind you, that’s not a bad thing, because the i30’s turbocharged mild hybrid engine is impressively strong and efficient. The car is also surprisingly refined, with little vibration or road noise seeping into the interior.

Unfortunately, the i30 is rather bland to drive, with overly soft suspension and more body lean in corners than a Ford Focus. It is a reasonably practical choice, though, with plenty of space for front occupants and a decent-sized boot.

For Refined engine | decent-sized boot | simple yet functional interior 

Against Sedate performance | less interior space than rivals | vague handling

Read our full Hyundai i30 review or see new Hyundai i30 deals >>

11. Skoda Fabia

​​Cost of insurance £970

Skoda Fabia front cornering

Version 1.0 MPi 80 SE Comfort | List price £19,730 | Target Price £18,741 | Target PCP £193 | Insurance group 4 What Car? star rating 4

The entry-level 1.0 MPi engine isn't our top choice because it's not turbocharged and takes a full 15sec to do the 0-62mph dash. However, it is the cheapest Fabia to insure, so if this is your priority, and you're mostly doing slow urban driving, it's worth considering. 

Whichever engine you choose, you'll get a roomy car that's quieter and has a more comfortable ride than many rivals. The cheapest SE Comfort trim level should also be plush enough for most people, providing alloy wheels, LED headlights, air conditioning and various infotainment features.  

For Comfortable ride | Spacious interior | Well equipped

Against Lacklustre performance | Not as engaging to drive as rivals | Honda Jazz is more practical

Read our full Skoda Fabia review or see new Skoda Fabia deals >>

12. Seat Leon

​​Cost of insurance £985

Seat Leon best family car for value

Version 1.0 TSI Evo SE | List price £23,905 | Target Price £21,269 | Target PCP £193 | Insurance group 11 What Car? star rating 5

The Seat Leon is a fantastic all-rounder that shouldn't be overlooked because in many ways it's better than a Ford Focus or Volkswagen Golf. It is great to drive, well equipped and exceptionally roomy in the back, and it's pretty cheap to run thanks to the frugality of its petrol engines. 

The 1.0 TSI engine has a respectable turn of speed and an official overall fuel consumption figure of 52mpg, and the cheapest SE trim gives you alloy wheels, air-conditioning, keyless start, cruise control and even metallic paint as standard.

For Great to drive | Plenty of space in the back | Lots of standard kit

Against Infotainment system fiddly to use | Firm ride | Road noise can be intrusive

Read our full Seat Leon review or see new Seat Leon deals >>

=13. Renault Clio

​​Cost of insurance £990

Renault Clio front cornering

Version 1.0 TCe 90 Evolution | List price £17,995 | Target Price £16,208 | Target PCP £173 | Insurance group 10 What Car? star rating 5

The latest Renault Clio is a consummate all-rounder. It's fun to drive, yet also has a pretty forgiving ride, and it has a high-tech interior and plenty of standard kit. The 1.0 TCe 90 engine is the cheapest option, but we also think it's the best because it's perfectly adequate for dashing around town. 

Evolution is the entry trim level, but it brings alloy wheels, full LED headlights, automatic windscreen wipers, automatic climate control, touchscreen infotainment and rear parking sensors. 

For Fun to drive | extremely well equipped | peppy petrol engine

Against Rear seats cramped for tall adults | Low-speed ride can be firm | high boot load lip

Read our full Renault Clio review or see new Renault Clio deals >>

=13. Skoda Kamiq

​​Cost of insurance £990

White Skoda Kamiq front cornering

Version 1.0 TSi 95 SE List price £24,040 | Target Price £22,672 | Target PCP £220 | Insurance group 11 What Car? star rating 4

The Skoda Kamiq is a breath of fresh air in the small SUV class. It’s bigger, classier inside and more comfortable than the Seat Arona and Volkswagen T-Cross, and it's cheaper than both of these rivals to insure. 

The 1.0 TSI 95 petrol engine isn't the fastest off the line, but it'll give most rivals a run for their money. Entry-level SE trim is our top pick because it comes with all the niceties most people will need. 

For Comfortable ride | Huge boot | Roomy for rear seat passengers

Against Lower driving position than other small SUVs | Not as fast as a Ford Puma

Read our full Skoda Kamiq review or see new Skoda Kamiq deals >>

15. Peugeot 2008

​​Cost of insurance £1007

Peugeot e-2008 front cornering

Version 1.2 Puretech Active List price £24,180 | Target Price £21,222 | Target PCP £241 | Insurance group 12 What Car? star rating 3

The Peugeot 2008 combines a really classy interior with a range of punchy yet frugal petrol engines. the 1.2 PureTech engine is borrowed from the Peugeot 208 hatchback and has plenty of power for this small SUV. While the 2008 has a very comfortable ride, that also results in less agile handling, but noise and vibration are kept to a minimum. 

Despite being the entry-level trim, Active gives you a decent amount of kit, including automatic air conditioning, rain-sensing wipers and cruise control.

For Classy interior | good ride comfort | peppy yet economical petrol engines

Against Not the most inspiring to drive | Pricier to buy than mainstream rivals

Read our full Peugeot 2008 review or see new Peugeot 2008 deals >>

16. Seat Arona

​​Cost of insurance £1019

Seat Arona front cornering

Version 1.0 TSI SE | List price £22,460 | Target Price £19,823 | Target PCP £216 | Insurance group 10 What Car? star rating 3

The Seat Arona is a great small SUV choice. It's spacious enough inside for most people and is one of the more enjoyable cars in this class to drive. The turbocharged 1.0-litre engine has plenty of oomph and the Arona zips round corners better than most rivals. 

Entry-level SE trim includes 17in alloys, cruise control, air conditioning, a contrasting roof colour and metallic paint. We'd spend a little more to get SE Technology because it has a better infotainment system and rear parking sensors. 

For Agile and entertaining to drive | Roomier than many rivals | Well equipped

Against Interior quality isn't up with the best | Rivals have more flexible rear seats

Read our full Seat Arona review or see new Seat Arona deals >>

17. Kia Stonic

​​Cost of insurance £1027

Red Kia Stonic front right driving

Version 1.0T GDi 99 2 List price £20,760 | Target Price £19,426 | Target PCP £216 (36-month term) | Insurance group 9 What Car? star rating 3

The Kia Stonic has its merits, but it's not as good an all-rounder as other small SUVs. It handles tidily, is well equipped and gets a great warranty, but many rivlas offer more space in the rear seats and boot, and are more refined, too.

There are two 1.0-litre petrol engines to choose from: 99bhp and 118bhp units. While the less powerful version is more affordable to insure, it's also slower to accelerate than the bigger engine. The cheapest 2 trim level comes with all the essential equipment. 

For Punchy engines | nimble handling | lots of standard kit

Against Not as practical or roomy in the rear as some rivals | firm ride

Read our full Kia Stonic review or see new Kia Stonic deals >>

18. Volkswagen Taigo

​​Cost of insurance £1028

Volkswagen Taigo 2022 nose

Version 1.0 TSI 95 Life | List price £25,870 | Target Price £24,570 | Target PCP £262 | Insurance group 13 What Car? star rating 4

The Volkswagen Taigo is a small coupe SUV that offers a dash of style, as well as practicality and comfort. The entry-level 1.0 TSI 95 engine performs well enough, and its good ride comfort and light steering make it a pleasure to punt around town.

Life trim is the cheapest option, but it provides automatic LED headlights, rain-sensing windscreen wipers, electrically heated wing mirrors, adaptive cruise control and all the infotainment kit. 

For Comfortable ride | surprisingly spacious interior | Low running costs

Against So-so interior quality | uninspiring handling | brand reliability isn't up with the best

Read our full Volkswagen Taigo review or see new Volkswagen Taigo deals >>

19. Skoda Scala

​​Cost of insurance £1029

Red Skoda Scala front cornering

Version 1.0 TSI 95 SE L | List price £23,905 | Target Price £22,823 | Target PCP £253 | Insurance group 13 What Car? star rating 5

Although the Scala is affordable to buy, it trumps some pricier models in many respects. It's not the last word in driving enjoyment, and the interior isn't as plush as some alternatives, but the Scala counters these criticisms with a supple ride, decent handling, good infotainment system, amazing rear seat space and a vast boot.

For Comfortable ride and tidy handling | spacious rear seats and big boot | sheap to buy and run

Against No hybrid option | some rivals are more fun to drive

Read our full Skoda Scala review or see new Skoda Scala deals >>

20. Seat Ateca

​​Cost of insurance £1032

Seat Ateca front right driving

Version 1.0 TSI SE | List price £28,400 | Target Price £24,437 | Target PCP £257 | Insurance group 10 What Car? star rating 4

The Seat Ateca is great to drive and its interior is more user-friendly than many newer rivals. It’s also well equipped, offers plenty of space and is competitively priced to buy and insure. The 1.0 TSI engine is the cheapest option, and although it's not as sprightly as our favourite 1.5-litre petrol engine, it's perfectly adequate for use around town. 

Entry-level SE trim is great value for money because it offers lots of kit for the price – so much so that it's our pick. It has cruise control, keyless entry, power-folding door mirrors, metallic paint and dual-zone climate control.

For Comfortable ride and tidy handling | spacious interior | keen pricing and well equipped

Against Firm ride on versions with larger wheels | no hybrid options

Read our full Seat Ateca review or see new Seat Ateca deals >>

About the author

Claire Evans has been a motoring journalist for more than 30 years, working on consumer issues for a great deal of that time. After a stint as the advice columnist for Carweek magazine in the 1990s, she also spent six years working on motoring content for Which?. It is here she oversaw the running of the charity's annual used car reliability survey.

Claire launched the What Car? Reliability Survey in 2017, and since then has helped thousands of buyers choose the most reliable new cars and SUVs, as well as the most dependable used cars.

For all the latest reviews, advice and new car deals, sign up to the What Car? newsletter here

Read more: The 10 cheapest new cars you can buy >>

*Source: Association of British Insurers

Also consider