Newly qualified drivers facing sky-high insurance costs have been handed a potential lifeline, as motoring experts reveal the most budget-friendly vehicles to cover in 2026.
The Insurance Burden for New Motorists
Securing a first car is a landmark moment, but the financial reality can be harsh. Beyond the purchase price, mandatory insurance represents a major and often daunting expense, particularly for young and inexperienced drivers. Insurers view this group as higher risk, leading to significantly steeper premiums.
A recent study by the RAC underscores this concern, finding that a staggering 44% of drivers aged 17 to 24 identify car insurance as their primary financial worry. This anxiety is widespread, with data from the Association of British Insurers (ABI) showing that nine out of ten UK motorists have seen their premiums rise in the last year alone.
How to Combat Rising Insurance Costs
The RAC has issued clear guidance, stating that choosing the right vehicle is the 'most effective' single step a new driver can take to reduce their insurance quote. This is determined by official insurance groups set by the ABI, where cars in the lowest groups are typically the cheapest to insure.
"Cars in low insurance groups tend to be small, affordable and have low-powered engines," explain RAC specialists. "Though that isn't always the case as a couple of surprises in this list reveal."
Beyond the car itself, the organisation advises drivers to consider other factors. Where you live and where you park your car overnight – such as in a garage versus on the street – can impact your premium. Installing additional security equipment to deter theft can also lead to savings.
The 2026 Shortlist: Cheapest New Cars to Insure
Compiled based on quoted insurance groups, the RAC's list for 2026 serves as a crucial guide for cost-conscious new motorists. It is important to note that final insurance costs will vary depending on individual circumstances and specific vehicle details.
The ten new models highlighted as the most affordable to insure are:
- Hyundai i10
- Volkswagen Polo
- Skoda Fabia
- Kia Picanto
- Toyota Aygo X
- VW Caddy
- Fiat 500
- Dacia Sandero
- Renault Clio
- Seat Arona
For young drivers embarking on their motoring journey, strategic vehicle choice informed by lists like this one could be the key to making car ownership more financially sustainable from the outset.
