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Insurance Groups · Group 2

Insurance group 2 cars & cost explained (UK 2026)

A car in insurance group 2 typically costs a mid-range driver about £400–£550 a year to insure comprehensively in 2026 — comfortably below the ~£600 UK average. Group 2 sits in the cheapest band of the 1–50 scale, covering small, low-powered city cars like the Hyundai i10, VW Up!, Toyota Aygo and Kia Picanto. Your age, postcode and claims history still move the price far more than the group alone. Here is what group 2 means, which cars are in it and how to pay less.

What “insurance group 2” means

Every car sold in the UK is placed in one of 50 insurance groups, 1 to 50, and group 2 is the second-cheapest to insure. It sits one step above group 1 in the cheapest band of the scale, so cars in it are still among the least expensive to cover — small, low-powered petrol city cars that are cheap and quick to repair, inexpensive to replace and well protected by security equipment. The ratings are set by the Group Rating Panel, made up of members from the Association of British Insurers (ABI) and the Lloyd’s Market Association, using research and testing from Thatcham Research. A car is scored on repair cost and time, parts prices, new-car value, performance, bodyshell cost, safety and security and courtesy-car cost. The group only sets your base premium; your age, postcode, mileage and claims history do the rest. For brand-new models registered since August 2024, insurers increasingly use the newer Vehicle Risk Rating (VRR) 1–99 scale, but the familiar 1–50 group system still drives the quote for the small, affordable cars most group 2 buyers are looking at.

Driver age bandIndicative group 2 annual premium (comprehensive)Notes
17–24 (young / new driver)~£1,050–£1,400Age and inexperience dominate; a black box cuts this most
25–34~£550–£750Falls fast as no-claims builds
35–64~£400–£550The cheapest band for a group 2 car
65+~£450–£650Creeps up gently at the oldest ages
UK average (all cars & ages, 2026)~£600Confused.com Price Index

Sources: ABI/Thatcham Group Rating; Confused.com 2026 Price Index (UK average ~£600; drivers aged 17–24 average ~£1,099 across all cars); Car Insurance Expert composite quote sample for a typical group 2 city car. Figures are indicative for a driver with full no-claims and are illustrative only — your postcode, mileage, exact car version and history change the price more than the group itself. Refresh: quarterly.

Cars often rated around insurance group 2

The same model can span several groups depending on engine, trim, gearbox and year, so no car is always group 2 — always confirm the exact version. That said, cars often rated in or around group 2 include:

  • Hyundai i10 (1.0 petrol) — frequently group 1–2; the standard manual often lands in group 2, one of the cheapest new cars to insure.
  • Volkswagen Up! (1.0 petrol) — typically group 1–2; discontinued but plentiful used and a first-car favourite.
  • Toyota Aygo (1.0 petrol) — lower trims sit around group 1–3, with entry versions near group 2.
  • Kia Picanto (1.0 petrol) — base versions rate around group 2–4, backed by Kia’s long warranty.
  • Citroën C1 (1.0 petrol) — the Aygo/108 sister car, low trims around group 2–4.
  • SEAT Mii / Skoda Citigo (1.0 petrol) — VW Up! siblings, commonly group 1–2 used.

The pattern is clear: sub-1.2-litre petrol city cars in their lowest-powered trims. Add a turbo, a sportier engine or a premium badge and the group climbs quickly. To check any specific car, use our car insurance by vehicle pages or a free online group checker before you buy.

How to pay less in group 2

Group 2 already gives you a low base, but the group is only part of the quote. These moves stack on top:

  • Consider a black box (telematics) — for under-25s this is usually the single biggest saving on a group 2 car.
  • Pay annually, not monthly — monthly instalments carry interest (often 20–30% APR), so paying in one go is cheaper.
  • Raise your voluntary excess — a sensible increase lowers the premium, provided you could still afford to claim.
  • Build and protect no-claims — every claim-free year cuts the price; protecting your bonus keeps it if you do claim.
  • Set accurate mileage and secure parking — lower annual miles and off-road/driveway parking both reduce the quote.
  • Shop around and renew early — quoting around three weeks before renewal typically beats auto-renewal; compare like-for-like cover, not just price.
  • Check the exact trim before buying — a lower-group version of the same model can save more than any single discount.

Insurance group 2 FAQs

Group 2 is cheap. It is the second-lowest of the UK’s 50 insurance groups, so cars in it are among the least expensive to cover. A mid-range driver with no-claims typically pays around £400–£550 a year for a group 2 car in 2026, below the ~£600 UK average. Only group 1 is cheaper, and the practical difference between groups 1 and 2 is small — both cover the same kind of low-powered city car.
Cars often rated in or around group 2 are small 1.0-litre petrol city cars — commonly the Hyundai i10, Volkswagen Up!, Toyota Aygo, Kia Picanto, Citroën C1 and the SEAT Mii / Skoda Citigo. The same model can span several groups depending on engine, trim and gearbox, so no version is guaranteed to be group 2. Always check the exact derivative before you buy, as a different engine or higher trim can sit several groups higher.
A lot. The group sets your base premium, but your age, postcode, annual mileage, claims and convictions history, occupation, overnight parking and whether you use a black box all move the price — often by more than the group itself. That is why a 17-year-old and a 45-year-old in the identical group 2 car can pay wildly different premiums. Choosing a low group protects your base; the rest is about your personal risk profile and how you shop.
Enter the make, model and exact trim into a free online insurance-group checker — tools from Confused.com, MoneySuperMarket, Quotezone and Compare the Market all pull ABI/Thatcham group data. You can also check the manufacturer’s brochure or specification sheet, which lists the group per derivative, or use our own car insurance by vehicle pages. Match the precise engine and trim, because two versions of the same model often sit in different groups.
Only group 1, and the saving is modest. Group 1 is the very cheapest band and covers the same style of small city car; in practice a group 1 and a group 2 car cost within a few percent of each other to insure. If cutting the premium further matters, the bigger levers are a black box, higher excess, lower mileage and building no-claims — these save more than dropping a single group. See our group 1 guide to compare.
No. The group is one ingredient among many. It gives insurers a starting point based on the car’s repair cost, performance, value and security, but the final price is built from your age, location, mileage, no-claims and dozens of other rating factors. A group 2 car guarantees a low base, not a low absolute price — a new driver in a group 2 car still pays far more than an experienced one. The group is the floor; you and your circumstances set the rest.
The traditional system rates cars 1–50, with groups 1 and 2 the cheapest. From August 2024, Thatcham introduced the Vehicle Risk Rating (VRR), which scores newer cars on a 1–99 scale across performance, damageability, repairability, safety and security to reflect modern driver-assistance tech and complex sensors. For older and cheaper cars, including most group 2 candidates, the 1–50 group still applies. Over time, VRR will replace the 1–50 groups for new models.

Our sources

Reviewed by the Car Insurance Expert editorial team

Group ratings are taken from ABI/Thatcham Group Rating data and average premiums from the Confused.com Price Index, cross-checked against our own multi-insurer quote sampling and reviewed by the Car Insurance Expert editorial team. Methodology: example premiums are indicative for a driver with full no-claims unless otherwise stated. Questions: editorial@carinsuranceexpert.co.uk.

Last updated: 2026-07-06