Honest John News Tax & Insurance

Run for cover: The UK's cheapest car to insure is an old MGB

Tom Phillips
Mon, 11 May 2026

Looking to save some cash? It turns out that the MGB, a car that's been out of production for over three decades, is the UK's cheapest car to insure.

For an average of just £83 for a year of cover, you could hit the road in a sports car from a bygone era. The figure is the result of a data analysis of policies sold by Go.Compare car insurance for drivers of all ages, annual payment types and all cover types. 

Save cash, buy a sports car

The data revealed that the classic MGB is the only vehicle with an average premium below £100, while the MGB was followed by the Rover Mini, which costs an average of £116 to insure, and the BMW Z3 came in third at £152. 

In fact, sports cars faired extremely well in terms of cost-effectiveness, with the MG TF (£155) and Toyota MR2 (£172) completing the top five. 

Go.Compare notes that MG and Peugeot both have two models in the top 10 cheapest to insure. If you're looking to keep costs down, these makes might be worth considering.

Average prices on the rise

The average cost of an annual car insurance policy on Go.Compare is now £403, while the average premium sold across all UK insurers is £560 according to the Association of British Insurers (ABI). The industry body cites higher parts prices and the increasing complexity of vehicles as the reason for the cost of cover.

"Some models cost more to insure due to factors like repair costs and risk of theft," says Tom Banks, Go.Compare car insurance spokesperson. 

"It might seem surprising that the MGB is the cheapest car to insure, but when you scratch beneath the surface, it makes sense. It was MG’s top-selling model, meaning parts are widely available, and owners of these cars tend to be mature motorists who only take them short distances, all of which brings down the average premium."

Cheapest cars to insure for young drivers

Go.Compare also crunched the numbers for those under 25, with the Volkswagen Fox coming out on top costing an average of £529 to insure, just pipping the SEAT Mii, at £533.

The Fiat 500 (£542), Skoda Citigo (£543) and MINI One (£554) complete the top five.

Ask HJ

Any suggestions for an inexpensive first car for an 18 year old?

Any suggestions for an inexpensive first car for an 18 year old? We appreciate insurance will be a factor. Many years ago you suggested a Honda Jazz for our niece, this worked well. I think she has now forgiven us but it proved reliable and safe for that first experience!
It depends on how much you're spending - if it's a brand-new or nearly new car, we'd recommend a Hyundai i10, which tops our list of best cars for new drivers (see link below). If you're going a bit older/cheaper, try the VW up!/Skoda CitiGo/Seat Mii. They're all essentially the same car with different badging and light styling changes. They're great for first-time drivers, because they're easy to drive and have excellent visibility. They're also cheap to insure, generally, but be aware that the insurance groups can vary a little. We'd always recommend getting a quote for a potential purchase before committing. https://www.honestjohn.co.uk/guides/best-first-car/
Answered by Matt Robinson
More Questions