Car insurance for subscription, lease and owned cars

First, check whether you need your own policy

Some car subscriptions include insurance in the monthly fee. If yours does, you are covered by the provider's policy and generally do not need to buy your own for that car, although you should still check the excess, the drivers allowed and whether business use is included.

If your subscription or lease does not include insurance, or you own your car, you will need to arrange cover yourself before you drive it.

What level of cover a subscription or lease car needs

The law requires at least third party cover to drive on UK roads. Owners of financed, leased and subscription cars, however, nearly always require fully comprehensive insurance for the whole agreement, because the car is their asset. Your contract will set out the minimum, and may ask for the provider to be noted on the policy.

If you own the car outright, you can choose third party only, third party fire and theft, or comprehensive cover. Comprehensive is not always the most expensive, so it is worth comparing all three.

Insuring a car for a short agreement

Short-term insurance products exist, but they tend to cost more per day than an annual policy. An alternative is an annual policy that you cancel or transfer to another car when the agreement ends. Cancellation and adjustment fees may apply, and you are unlikely to earn a no-claims year if you cancel early, so read the policy terms.

How comparing works

1. 01

   Enter your registration

   Start with the car's registration number, or choose the option without one if you do not have it yet.

2. 02

   Add your details

   Answer the questions about drivers, usage and cover on our comparison partner's secure form.

3. 03

   Compare quotes

   Review prices from participating insurers alongside the excess and the features included.

4. 04

   Buy direct from the insurer

   Choose a policy and complete your purchase with the insurer or broker you select.

What insurers will ask you

Having these details to hand makes the comparison faster and the quotes more accurate.

• The car's registration, or make, model and year
• Where the car will be kept overnight
• Your estimated annual mileage and how you will use the car
• Details of each driver, licence history, claims and convictions
• Your no-claims bonus and preferred voluntary excess

Paying monthly or annually

Paying in one go is usually cheaper. Paying monthly spreads the cost but often involves a credit agreement, which can add interest and may involve a credit check. The quote will show the total amount payable, which is the figure to compare.

Comparing beyond price

The cheapest quote is not always the best fit. Check the compulsory and voluntary excess, whether a courtesy car is provided, any windscreen cover, legal expenses cover and whether the policy covers driving in Europe. For a subscription or lease car, also check whether the insurer will settle a total loss with the owner on the terms your contract requires.