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Leasing shouldn't push up Car Insurance costs

Tue, 25 Oct 2005

Leasing a vehicle is proving to be very popular with consumers and should not push up drivers' Car Insurance costs.

Many people wishing to drive the latest car models are considering leasing as it can prove cost-effective in the long run as vehicles often lose 70 per cent of their value during the first three years of ownership, reports the Times.

Leasing has traditionally been a business service but increasingly private individuals are seeing the advantage of being able to change their vehicle on a regular basis, without incurring a large financial cost.

"About four years ago, 70 per cent of our trade was business and 30 per cent was private. That ratio has reversed now," said Simon England, managing director of Car Leasing UK.

A leased car is generally no more expensive to ensure that other vehicles, however, some Car Insurance providers may only offer cover to registered owners, so potential leasers are urged to double-check the policy terms.


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Endsleigh Insurance Services Limited is authorised and regulated by the Financial Services Authority. This can be checked on the FSA Register by visiting its web site at www.fsa.gov.uk/register.
Endsleigh Insurance Services Limited. Company No: 856706 registered in England at Shurdington Road, Cheltenham Spa, Gloucestershire GL51 4UE.