As others have said, look at unpopular cars in basic spec, in good condition. Getting something cheap is a great idea, not just for insurance, because eventually it will need work, and not be worth getting it to a dealers for. So you get a manual and learn to do it yourself.
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Look at Fiat Cinquecento, Skoda Felicia in basic spec, or Skoda Favorit in better spec (a J-K plate blackline favorit is nicely specced with some leather detail and electric windows etc and can be had for £500 and is in insurance group 4-5 depending on the insurer), Citroen AX or ZX should be cheap enough too.
If you can handle the insurance, a Volvo 240, or a Saab 900i (easily avialable for 500 for a late 80's model) is a good car to learn in, because you get used to larger vehicle and they are built for safety. With regular care, a good 240 or 900i will outlive it's owner, and go onto 300-400-500 thousand miles without major problems. Don't go for a Turbo, the insurance will kill you, a Saab 900 turbo 16v S is group 17.
MG RoverYou have to feel sorry for all the people who work at MG Rover and indeed all the suppliers to them, there future is very...
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