New drivers could save thousands of pounds on car insurance in 2026 by choosing from the RAC's newly released list of the cheapest vehicles to insure, as soaring premiums continue to lock young people out of motoring.
The motoring organisation's analysis reveals that smaller, less powerful cars consistently fall into the lowest insurance groups, making them significantly cheaper to cover. Models such as the Volkswagen Up!, Skoda Citigo, and Hyundai i10 typically feature in insurance groups 1-5 - the cheapest available - directly translating to lower premiums for cash-strapped new drivers.
For many young drivers, insurance costs have become a major barrier to car ownership, often exceeding the vehicle's value in the first few years. A new driver insuring a group 1 car could pay over £1,000 less annually than someone choosing a group 10 vehicle, depending on individual circumstances and location.
The guidance comes as insurance costs continue to fluctuate, with new drivers facing historically high premiums. Understanding which vehicles insurers categorise as lower risk offers a proactive way for young motorists to manage their overall driving expenses beyond the initial purchase price.
The RAC recommends prospective drivers research insurance groups before buying a car. Whilst their list provides a strong starting point, individual quotes can vary based on the driver's age, postcode, annual mileage, and specific insurer. Using comparison websites and obtaining multiple quotes for different models remains essential to securing the best deal.
The initiative aims to empower new drivers with crucial information to make informed choices, potentially easing the financial burden of getting on the road. The focus on lower insurance groups highlights how the industry's risk assessment directly impacts what young people pay to drive.