Fiat 500

The Fiat 500 – A good car for the self-described ‘euro-chic’ – is a car that any young driver looking for a new car will likely have come across. The standard 2008 1.2 litre 500 can reach 62 mph in a respectable 9.4 seconds. The cheapest insurance premium averages in at around £994. The price of the car (and the insurance therein) fluctuate so be sure to check the market around the time you are looking to purchase/and insure a Fiat 500.

Citroen C1

The Citroen C1 is any insurers dream when it comes to Young Drivers. If it breaks down or gets into an accident, spare parts are easy and cheap to acquire thus minimising cost on the part of the insurer. The cheapest premium comes in at around £1,008 but this is dependant upon a number of factors, so your quote may come in higher or lower.

Volkswagen Up

The Volkswagen Up is a great choice for someone looking for a small car designed for life in the city. It isn’t known for its speed (clocking in at 14.4 seconds to hit 62mph) which is useful for when you start driving, it’ll help you get more comfortable with driving (and get your first years No Claims Bonus). It’s fuel efficient; its 1 litre engine can do 68.9 miles per gallon, saving you that little bit extra cash. The insurance premium isn’t outlandish as well, with the cheapest policy coming in at around £954 making this a good choice for drivers under 21. Like the Fiat 500, the price does fluctuate so be sure to check the market every now and then to see how much you can buy one for and how cheap the insurance can be (if this car takes your fancy).

Peugeot 107

Though production of the 107 ceased in 2014, it is still ranked in the GoCompare Top Ten. You can buy this car second hand from used car dealerships. It went through a slight facelift in 2009 to improve its exterior and interior finish, and also improve the fuel economy to 62.8mpg. The 107 can achieve 62mph in 14 seconds. The cheapest average insurance premium for 107s is around £1,022, the only downside being that there may be other costs at hand as well, considering the only 107s are second hand, such as repairs and upgrades.

Location

If you are starting out, you may be looking at where to offer your services as a motor trader, and if money is tight you might be thinking about operating from home. If that’s the case, you may be wondering do I need to run my motor trade business from a premises? The answer really does depend on what type of motor trade business you intend to run. If you want to operate a mechanic’s workshop, where customers come to you, then it might not be feasible to work from home. However if you want to be a mobile mechanic then there’s no reason why you can’t set your home as your base.

Skoda Citigo

This little gem was named What Car? Best car under £10,000 so it would be in your best interest to look at this one first. It has a 1 litre engine but makes up for the lack of power with increased space. The insurance premium is a little pricey, sitting in at around £1,031 but this could be cheaper for you so compare quotes and look at the current trend for insurance for this car if you decide to pick it up.

Conclusion

The cars chosen on this list all have their advantages and drawbacks; they’re not your standard “Volkswagen Golf” but they are good choices for those who want, or simply need, the cheapest insurance premium possible. On top of that it has hopefully given you a little bit of insight to the kind of cars that would be better suited to you for a first car when it comes to the insurance side of things.