Online vehicle leasing business Vanarama is offering one year’s free fully comprehensive insurance on every car leased from its ‘hot offers’ range.
It says customers will save an average of £538 as a result.
Vanarama founder and chief executive Andy Alderson said: ‘We’re delighted to launch this proposition at a time when customers are looking for – and, more importantly, deserve – a seamless car-buying experience.
‘People really dislike buying insurance because of the friction and monotony involved in the process. It’s a legal obligation paid at a premium for something they never want to use.
‘Our customers can now get a great car deal and we’ll offer them free insurance for a year to go with it.’
He added: ‘We’ve offered multi-year fixed insurance for a number of years, but thanks to our continuing investment in our tech capabilities and the way we use data, we can now offer an even wide range of innovative insurance products because insurance partners love our customers.
‘Our free insurance proposition will make our customers’ lives so much easier and driving their dream car a lot more affordable.’
The free insurance offer is available to drivers aged at least 25 who live on the UK mainland, and applies to cars in the ‘hot offers’ range.
Alderson founded Vanarama in 2004 after spending some time in used car sales, switching the business fully to being a leasing broker in 2007.
He’s stayed with the Vanarama name, even though he shifts just as many cars these days, and it’s grown to become a hugely successful company – in 2019 it turned over £85m, up from £71m in 2018, and if Covid hadn’t happened, last year would have been better than 2019.
Vanarama says it’s set to lease more than 30,000 vehicles online this year and plans to increase its turnover to £2.75bn within four years.
Last autumn, Alderson spoke to Car Dealer about why car dealers needed to focus on making online sales work – you can watch our interview at the top of this post.