If you are a younger driver looking to insure your first car and get on the road affordably, or an experienced driver who wants to cut costs, you may be wondering which cars are the cheapest to insure in Ireland.

Recent industry data indicates that Irish motor insurance premiums have risen in the past year, making vehicle choice more important than ever.

This means that choosing a car that’s cheaper to insure has become a necessity in many cases rather than a ‘nice to have’.

This guide will explore how cars are categorised, how pricing works, and which cars are the cheapest to insure in 2026 in Ireland.

How Your Car Affects Your Premium

While some markets historically used fixed insurance groupings, Irish insurers now rely on dynamic vehicle risk rating models based on real-time claims data.

Irish insurers now rely on dynamic vehicle risk rating models based on real-time claims data, repair costs, vehicle value and safety performance.

But more recently, a more dynamic system of ‘vehicle risk rating’ means that real-time data on insurance claims can change a car’s rating over time. 

This newer system also considers the ‘repairability’ of the model, in part due to the high tech features of newer cars and the higher value of the battery in hybrid and electric vehicles.

Car Factors That Affect Your Insurance Premium

The premium you’re quoted will be affected by a number of factors, including the characteristics of your car.

Your car will set a baseline price for your annual or monthly insurance premium, before your provider even considers other factors such as your age or driving history. 

Among the things that insurers will consider are:

The make and model of car you drive has an impact on car insurance costs. Cars with smaller engines are typically driven at lower speeds and are involved in less high impact collisions, meaning that they will cost less to insure.

Acceleration, your car’s ability to go from 0 to 100 km/h, and the top speed of your engine, will also come into play here. In fact, smaller cars with more powerful engines may actually cost more to insure than a standard small car.

Petrol vehicles usually cost less to insure than diesel or hybrid models. However, this can change based on repair costs, claims data, and vehicle specs. Hybrid or electric cars are the most expensive, which is largely down to repair costs. Electric cars can be expensive to repair, usually requiring specialist technicians. 

In some cases, battery damage can significantly increase repair costs, which may influence insurer pricing.

Your car’s NCAP or safety rating will also give an insurer an idea of the car’s safety in a collision, and whether death, serious injury, or total write off is more likely.

Safety features such as anti-lock brakes (ABS) and airbags will bring down the cost to insure the car. Newer autonomous emergency braking (AEB) systems decrease the risk of rear-end collisions, and should land you with an even higher discount on your premium.

Repair costs for the specific vehicle make and model will also impact insurance costs. Cars whose parts are more expensive, like premium marques and cars that require specialist repairs such as some electric and hybrid cars, will be in a higher group and will cost more to insure.

Certain security features will affect how much it costs to insure your car.

Having an immobiliser fitted is now standard since 1998, an immobiliser will prevent the car from starting without the correct digital key. This means that the car cannot be ‘hotwired’ and means the car is more difficult to steal.

Watch out for imported cars as they may not be fitted with an immobiliser, which can make them difficult to insure.

Factory fitted car alarms are now almost ubiquitous but will be taken into consideration by insurers and should earn you a discount on your premium.

Having a GPS tracker may be required when insuring a high end or luxury car, especially models that are a target for thieves, but probably won’t be required when insuring a standard small car or family car.

Which cars are cheaper to insure?

There are certain categories of car that will get you the lowest quote for your car insurance, especially if you are a young driver:

These are usually the smallest cars in the car brand’s range with low powered 1.0L (or smaller) engines. These are generally fuel efficient and, if they have good safety ratings, are typically associated with lower insurance premiums as they cannot reach high speeds quickly.

These may be considered as ‘one step up’ from the city car, with a slightly larger body than city cars and a typically 1.0 to 1.2L engine.

Look specifically for non-turbo charged versions of these cars to avoid higher premiums due to the increased speed capability and more complex repairs.

Low spec saloons or hatchbacks are small to mid-sized vehicles, generally with standard 4 or even 5 door bodies, and a 1.3 to 1.4 L engine.

These are categorised as ‘family vehicles’ by car insurers and are typically driven by older, more experienced drivers leading to a lower risk profile.

If you wish to avail of ‘green’ discounts and go electric, it will be more affordable if you choose a model with a modest battery size and lower power output.

A budget EV with a power output of 45-65 kW, a smaller body and simpler tech, or a smaller EV from an established brand will avoid the shock that electric car insurance prices can sometimes bring.

Types of Cars to Avoid if You Want More Affordable Car Insurance

There are cars that will lead to a slightly higher premium, and then there are cars to avoid as they will lead to a significantly higher quote for your car insurance. Cars to avoid include:

These are often based on standard hatchbacks but as their parts, bumpers, lights and sensors, cost more to repair they will cost more to insure.

The difference in price may be minimal to an older, experienced driver with no claims, but may affect a younger driver when looking for a quote.

If you are considering a larger, heavier, ‘luxury’ car, or a high performance car, such as a sports car, then you will not save on your car insurance.

This is due to the higher cost of parts and repairs, their increased speed and powerful engines, and to their ‘desirability’ to thieves.

Although smaller cars are generally cheaper to insure, a ‘hot hatch’ or turbo charged version of even the most modest small car will cost significantly more to insure. Younger drivers may find cover more limited or significantly more expensive.

This is due to the increased power and acceleration of their engines and also the higher repair costs.

Although a modified car can be a family car with a roof rack fitted, modifications to your car, like alloy wheels or tinted windows, will generally significantly increase the cost of insurance.

These cars tend to have non standard parts leading to higher repair costs, are more attractive to thieves, and are statistically more likely to be involved in road traffic accidents.

A two-door car – even a small car with a 1.0L engine – is classed by insurers as a ‘sporty car’, which can increase costs.

Convertible cars are more expensive to insure compared to their fixed roof equivalent as they present an increased security risk and are engineered differently, leading to more complex and expensive repairs.

They also tend to have more powerful engines and are classed by insurers as a ‘sporty’ or ‘lifestyle’ car, both of which will push up your premium.

Old vehicles can pose challenges due to safety features, parts availability, and the model’s claims history.

Older cars are perceived as being more prone to mechanical failure and more difficult to repair due to the scarcity of replacement parts.

Keeping Costs Under Control

Irish motor insurance prices are highly individualised, with driver age, experience, and claims history, as well as where you park overnight and your mileage all weighing heavily on the ‘risk’ that you present to a potential insurer.

However, keeping an eye on the specs such as a smaller car, less powerful engine, and car safety and security features, you will save when it comes to looking for that all important car insurance quote.

Choosing a ‘low risk’ vehicle will allow you to navigate the insurance market with more confidence and keep your costs under control.

Author: Séamus Ó Doirín | Chief Insurance Editor

Séamus Ó Doirín is a Donegal based QFA who has been writing about insurance since 2020. His main focus is getting people the best value for insurance in the Irish market. His writing covers all areas of insurance and is a valuable part of the Compare Insurance team. 

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