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30 Dec 2019
Rob Griffin Rob Griffin

Top 10 cheapest cars to insure in 2020

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Buying a car that’s cheap to insure doesn’t automatically mean having to sacrifice comfort or style.

There are plenty of great-looking vehicles, packed full of latest gadgets, that won’t trigger sky-high premiums.

But with so many cars out there, it's a little confusing to know where to start.

We've scoured the market to identify some of the most appealing contenders that combine stylish looks with performance – and affordability.

If you're thinking of getting one of these cost-efficient cars, you might want to consider comparing car finance packages while you're at it.

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The top 10 cheapest cars to insure in 2020 are:

  • Volkswagen Up!

  • Nissan Micra

  • Smart EQ ForFour

  • Ford Fiesta

  • SEAT Ibiza

  • Skoda CITIGO-e iV

  • Hyundai i10

  • Fiat Panda

  • Toyota Yaris Y20

  • Kia Rio

Honourable mention:

  • Dacia Logan MCV

The amount a policy costs will largely depend on your car insurance group. There are 50 insurance groups in total.

The factors dictating the group include car car's value, performance, safety, security, and repair costs.

Generally, cars in lower insurance groups are usually the cheapest to cover because they're smaller, cheaper to repair and more economical as they have less powerful engines.

3/4 view of a red VW Up

Volkswagen up! - insurance group 1*

Who wouldn’t fall in love with this little beauty? VW has a longstanding reputation for producing economical, spacious and reliable vehicles that also happen to be a lot of fun.

This model is part of the new ‘city car’ breed and measures just 3.6 metres long and 1.91 metres wide. Its main rivals in this space are the SEAT Mii and the Skoda Citigo.

You can get behind the wheel for just over £9,000, although there are plenty of options to suit your needs and budget.

Front view of an orange Nissan Micra

Nissan Micra - insurance group 1*

The latest Micra has a look that divides opinion. But what’s not in doubt is that this is a well put together car that’s easy to drive and cheap to run.

There are four versions of this 5th generation version – Visia +, Acenta, N-Sport and Tekna, with prices ranging from £14,000 to just over £18,000.

Nissan prides itself on offering multiple configurations to enable owners of this neat five-door hatchback to express themselves. 

A black Smart EQ ForFour parked in a garage and being charged with an electric charger

Smart EQ Forfour - insurance group 11*

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.

This compact car has a range of around 70 miles, can cover 0-62mph in 12.7 seconds and has a maximum speed limited to 80mph. 

Useful tools include Active Brake Assist, which gives a warning when you get too close to another car. It also offers a decent amount of cargo space.

The smart EQ Control app allows you to keep an eye on the current battery status and range – all via your smartphone. Prices start from around £20,000.

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3/4 view of a white Ford Fiesta

Ford Fiesta - insurance group 2*

Can you remember a time before the Ford Fiesta? For more than 40 years, various versions of this little car have been a firm favourite with drivers.

It’s not hard to see why. They’re very well built, economical to run, easy to drive and reasonably cheap to repair.

There are plenty of model choices, starting from around £16,000 for the Trend. There are three and five door options, as well as different engine choices.

Side view of a red SEAT Ibiza

SEAT Ibiza - insurance group 2*

Another name that’s been around a long time. Make no mistake, these are well-designed, solid cars and it’s easy to see why they've built a loyal following.

This superb Spanish contender has proved itself more than a worthy rival to the likes of Ford’s Fiesta, Vauxhall’s Corsa and Renault’s Clio.

New Ibizas start from around £16,000 and come with 15” alloy wheels, a 6.5” colour touchscreen and metallic paint, although there are plenty of engine and colour choices. 

3/4 view of a white Skoda Citivgo-e iV

Skoda CITIGO-e iV

Few brands have transformed their reputations better than Skoda. From being the butt of jokes 30 years ago, they now boast a stylish, well-equipped range.

The CITIGO-e iV is a prime example. The manufacturer’s first fully electric car has a decent range of 170 miles, with prices starting from around £17,000.

The petrol Citigo, meanwhile, is still available on the second-hand market, with approved models available for under £10,000.

Side view of a blue Hyundai i10

Hyundai i10 - insurance group 1*

One of the best compact city cars on the market. The stylish i10 is great looking and very affordable, with prices starting from under £10,000.

As usual, there are various models to choose from, with the S offering five seats, an immobilizer, tyre pressure monitoring system and electric front windows.

The Premium SE, meanwhile, has an array of gadgets, including heated front seats, parking sensors and keyless entry with an engine start/stop button. 

3/4 view of an orange Fiat Panda

Fiat Panda - insurance group 3*

Millions of Pandas have rolled off the production lines since this cracking car arrived on the scene more than three decades ago.

There are some very distinct versions of the latest Panda. The city car, for example, costs around £10,000 and is great for negotiating heavy traffic.

Then you have the muscular Panda Cross 4x4, with its all-wheel drive, and all-terrain selector switch giving you access to auto, off-road and hill descent control.

READ MORE: The best seven-seater cars

3/4 view of a white Toyota Yaris

Toyota Yaris Y20 - insurance group 8*

The Yaris has been around for two decades and the latest version is a cracking looking example that can be yours for around the £17,000 mark.

Standard equipment includes 16” grey machined alloy wheels, a stylish lower front grille, body-coloured door mirrors, privacy glass and follow-me-home headlights.

Needless to say there are a host of optional extras available for this already stylish little car, including exhaust pipe chrome finish and side sills.

Front view of a black Kia Rio

Kia Rio - insurance group 2*

The Rio has been around, in one form or another, since the late 1990s. Its most recent model carries on the trend for stylish, solid, practical motoring.

There isn’t anything particularly revolutionary about this car but it does exactly what you’d expect – and looks good doing it.

The Rio ‘1’ costs just over £12,000, whereas the GT-Line S will set you back a tidy £18,000. 

Side view of a blue Dacia Logan MCV

Dacia Logan MCV - insurance group 2*

Not everyone wants city car convenience – especially those with families. A potential solution is the Dacia Logan MCV.

It looks great, has ample space for five adults and impressive room in the boot. What’s even more impressive is that prices start from under £9,000!

If you’re after something that’s spacious and practical as well as pretty cheap to buy and run, it makes a compelling argument.  

*The lowest insurance group found across all trims levels of each car

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