This year marks the 10th anniversary of NRMA Best Cars, and the Passat was selected from a competitive field of models from Audi, BMW, Saab, Mercedes Benz, Volvo and Honda.

Managing director for Volkswagen in Australia, Ewan Ramsay, was delighted to accept the NRMA's award.

"In Europe, the Passat has established new benchmarks for technology, performance, safety, environmental friendliness and, above all, value for money," Mr Ramsay said.

"Inclusion in NRMA's "Best Cars" list has confirmed that the car meets the needs of Australian drivers every bit as well as it does for their European counterparts."

The NRMA Best Cars judges assessed the cars during the entire year looking for cars that best filled the following criteria:

• How well a car does the job buyers expect of it, in terms of design and function, on-road performance and value for money.

• Design and function - includes space, quality, comfort, safety and security.

• On-road performance - includes space, quality, comfort, safety and security.

• Value for money - includes purchase price against competitors, standard features, running costs and warranty.

The NRMA said the Best Cars Awards looks at models that represent the best the car industry has to offer.