The 5 cheapest cars to insure that you can buy for under £3k – including iconic VW that costs less than £800 on the road
MOTORING experts have revealed the five cheapest cars to insure that you can buy for under £3,000.
Specialists over at CarGurus shared how you can get the best bargain on a second-hand motor across its lifespan, not just at the dealership.
Car insurance premiums hit a record high in 2023, with the average cost of a policy now exceeding £1,000 annually.
To battle the rising costs, the experts compiled their top picks for cheap to run, reliable motors that don’t break the bank to cover.
Insurance pricing is divided into 50 groups, with the majority on this list being in group one or two, meaning they could save you hundreds every year.
And with a top-end budget of just 3,000, their an absolute steal on the showroom floor too.
Kia Picanto
Insurance Group: 1
Example price: 2012 Picanto with 102,000 miles for £2,475
The Picanto city car has been around since 2003 so there are plenty of them knocking around on the second-hand market at bargain rates.
They fluctuate between groups 1 and 5 depending on trim level, but older models tend to sit on the lower end of the spectrum.
According to Finder, that means an average insurance price of just £797 a year across age groups 20-50.
The name means “spicy” in Spanish but the little car is a bit short on heat as the engine only puts out 66 horsepower.
But if you’re just looking to zip about town, that’s all you’ll need anyway.
Hyundai i10
Insurance group: 3
Example price: 2012 i10 with 47,000 miles for £2,500
Chris Knapman of CarGurus said: “The current Hyundai i10 is one of our favourite city cars, and offers the sort of sophistication that you expect from a car in the class above.
“Later examples will also benefit from the remainder of Hyundai’s excellent five-year warranty.
“Sometimes older models can fall short of expectations, but this shouldn’t be the case with the i10.”
Indeed, the model took home top prize in the best used city car category at the site’s awards in 2019.
Ford Fiesta
Insurance group: 2
Example price: 2010 Fiesta with 100,000 miles for £2,090
The Fiesta was Britain’s best-selling car for a whopping 12 consecutive years from 2009 to 2020.
Its acclaim didn’t come without reason and, despite being discontinued last year, it remains a great option for the hatchback enthusiast.
Chris added: “The Ford Fiesta is one of the best small cars there is, offering a great blend of performance, space, equipment and, best of all, fun.
“It’s a genuinely entertaining car to drive, even in its lowest-powered guises.”
VW Polo
Insurance group: 1
Example price: 2012 Polo with £145,000 miles for £2,499
Speaking of incredibly popular cars the Polo has been a staple of Britain’s roads for decades.
Thanks to the model’s reputation for reliability, you don’t need to worry too much about the higher mileage examples.
However, plump a little over the £3,000 budget and you can find newer ones with well under 100,000 on the clock.
Chris also recommended it for new drivers thanks to its five-star safety rating.
And like the Picanto, the group 1 status means it will cost you less than £800 a year to insure on average.
Nissan Micra
Insurance group: 1
Example price: 2011 Micra with 60,000 miles for £2,189
Coming in as one of the cheapest to buy on the list, the Micra is really the top pick for overall affordability.
Sitting alongside the Polo and Picanto in insurance group 1, you’d be hard pressed to find a car that’s cheaper to run.
It also enjoys a five-star safety rating and provides excellent fuel economy, saving you at the pumps.
However, Chris did say: “It’s not the most exciting engine and can struggle a little, especially when the car is fully loaded.”
All example prices based on Auto Trader listings at time of writing