Car Insurance Groups 1 to 10 UK: Cheapest Cars to Insure

How the 1 to 50 insurance group system works

Every new car model in the UK is assigned a group from 1 to 50 before it reaches showrooms. The figure is recommended by the Group Rating Panel, a body administered by the Association of British Insurers and the Lloyd's Market Association, using engineering and claims data supplied by Thatcham Research. Insurers are not forced to follow the panel's number, but the vast majority use it as the starting point for pricing.

The panel looks at a defined set of measures. These include the cost of repair, the time a garage needs to fix typical accident damage, the price and availability of spare parts, performance figures such as top speed and acceleration, the value of the car when new, and the strength of any security features fitted as standard. A car that is cheap to repair, slow and well protected against theft lands in a low group. A fast, expensive car with costly bodywork lands high.

Groups 1 to 10 sit at the bottom of that scale. They contain the cars that are least likely to cause a large claim and cheapest to put right when they do. For a driver trying to keep premiums down, choosing a model in these bands is one of the few levers available before any personal rating factors are even applied.

What kinds of cars fall into groups 1 to 10

The lowest ten groups are dominated by superminis and small city cars. Think of the smallest engines in a manufacturer's range, often 1.0 to 1.2 litres, fitted to the entry and mid trims rather than the sportier versions. A car can sit in group 2 in its basic petrol form yet jump several groups once a turbocharged engine, larger alloys or a performance trim are added.

Models that have historically appeared in groups 1 to 10 include small hatchbacks such as the Volkswagen up, SEAT Mii, Skoda Citigo, Hyundai i10, Kia Picanto, Toyota Aygo, Citroen C1, Peugeot 108, Fiat Panda, Dacia Sandero and lower-powered versions of the Ford Fiesta, Vauxhall Corsa and Renault Clio. The exact group for any individual car depends on the precise trim, engine and model year, so two cars wearing the same badge can carry different group numbers.

Electric and hybrid superminis are increasingly present in these bands too, though battery repair costs can push some EVs higher than their petrol equivalents. Anyone shopping on price should check the specific variant rather than assuming a whole model line shares one group.

Why a low group does not guarantee a low premium

The insurance group is only one ingredient in the final quote. The Financial Conduct Authority requires insurers to price fairly but allows them to use a wide range of rating factors. A 19-year-old in a group 3 car will almost always pay more than a 50-year-old in a group 12 car, because age and claims experience weigh heavily.

Other factors that interact with group include the postcode where the car is kept overnight, annual mileage, whether the car lives on a drive or the street, the driver's occupation and any modifications. A low-group car parked in a high-theft area can still attract a sizeable premium. Conversely, a slightly higher group in a quiet rural postcode may quote cheaply.

It is also worth knowing that since the FCA's general insurance pricing rules took effect in January 2022, firms are banned from charging existing customers more than equivalent new customers for the same policy at renewal, a practice the regulator called price walking. That rule applies whatever group the car sits in.

How group affects repair and total-loss decisions

Cars in groups 1 to 10 are usually low in value, which has a practical consequence after an accident. When repair costs approach or exceed a car's market value, an insurer will declare it a total loss, or write-off, and pay the settlement rather than fix it. Because low-group cars are cheap, this threshold is reached sooner, so a relatively minor shunt can write off an older supermini.

That is not necessarily bad news for the owner. The cheap parts and quick repair times that put the car in a low group also keep claim costs down across the board, which feeds back into lower premiums for everyone driving that model. The trade-off is simply that the settlement figure on a write-off will be modest.

Drivers of older low-group cars sometimes question whether comprehensive cover is worth it when the car is worth little. The FCA reminds consumers that comprehensive also covers personal injury, third-party damage and other benefits, so the decision is rarely just about the car's resale value.

Using group ratings when buying a car

Anyone buying with running costs in mind can treat the group number as a quick filter. Before committing, it is sensible to get a quote on the exact registration or specification rather than relying on the headline group, because trim and engine changes shift the figure. A test quote on two shortlisted cars often reveals a wider gap than the group numbers alone suggest.

Adding optional extras can also nudge a car up the scale. Larger alloy wheels, body kits and engine remaps are all modifications that insurers may rate more highly, and undeclared modifications can invalidate a policy. Keeping a low-group car standard preserves the cheap rating it was bought for.

Finally, security pays off. Many low-group cars earn their rating partly through standard immobilisers and alarms. Parking off-road overnight, fitting an approved steering lock on older cars and keeping keys away from the front door can all support the low-risk profile that underpins a cheap premium.

Frequently asked questions

What is the cheapest insurance group?

Group 1 is the lowest of the 50 insurance groups and represents the cars expected to cost the least to insure on the group factor alone. In practice very few mainstream models sit in group 1, with most affordable superminis falling across groups 2 to 10.

Who decides which group a car is in?

The Group Rating Panel, administered by the Association of British Insurers and the Lloyd's Market Association, recommends the group using data from Thatcham Research. Individual insurers can adjust from that starting point but generally use it as the baseline.

Does a low insurance group mean my premium will be cheap?

Not on its own. Group is one of many rating factors. Your age, postcode, claims history, annual mileage and the cover level all influence the final price, so a low-group car can still attract a high premium for a high-risk driver.

Are electric superminis in groups 1 to 10?

Some small EVs and hybrids appear in the lower bands, but battery and repair costs can push others higher than their petrol equivalents. Check the specific variant rather than assuming the whole model range shares one group.

Can modifications change my car's insurance group?

The group itself is set by the panel for a standard car, but modifications can change how an insurer rates and prices the policy on top of that. Undeclared modifications can also invalidate cover, so any changes should be reported to the insurer.