Looking for a new car that comes with free insurance is like wading into gloomy water.
There you may get plenty of offers claiming to provide free insurance, but the fact of the matter is that you are likely to end up more than if you bought insurance separately.
This is an especially fact if you are a younger driver when it is more important to evaluate the insurance deal you are considering value for money.
Car finances with free insurance are something like a dream comes true. When you will become closer then you can find that there is nothing as free!
For most first-time drivers is to take out PCP car finance or traditional HP on a high-quality used car and source your insurance.
Best free insurance car deals:
Free car insurance on a new car it seems that you are driving your dream a reality; especially if you are a new driver.
There are free cars that are offered with free insurance, but the deal offered may differ from car to car.
Some of the companies offer a discount to cover the cost of insurance, whereas others apply a discount to a financial deal. Free insurance deals:
- Are often younger and new drivers
- Required a clean driver’s insurance
- Required drivers to be aged 18 and above
- Only cover the first year
- May be required to install a telematics recorder that will record how you will drive
Some other manufacturers offer their car finance deals that are open to all drivers, they also provide all-inclusive car deals that include insurance, maintenance for several years to a new model, and servicing.
There are also sometimes not free, sometimes it can take out little hassles allowing the car owners to more concentrate on their driving.
The top 5 best new cars with free insurance
Here, we are going to cover the top 5 new cars with free insurance, some of them come with 1 year of free insurance. But to be offered free insurance you need to meet certain criteria that are mentioned above.
The terms and conditions of the offered free insurance may vary. So, it will be better to read all the details before committing to the best deal. Discover the top 5 best cars that are likely to be offered with free insurance:
#1. Volvo XC40
- Impressive safety rating
- Stylish look
- Superb all-rounder
Volvo XC40 is renowned as one of the safest cars in the market, the super stylish Volvo XC40 comes with excellent safety features and a strong list of driver’s assistance.
It is suitable for new drivers. It is a confident car to drive on road and also capable of off-road with a four-wheel drive system and decent ground clearance.
The Volvo XC40 is available with the Care by Volvo Package which covers insurance, servicing, repair cost, and breakdown cover.
This includes tire replacement, replacement of cracked windscreens, wear, and tire, all for a monthly fee.
#2. Citroen C1:
- Dealers: Robins & Day
- Model: Citroen C1 Live 3dr
Citroen C1 is a small, stylish city car that can be a bag of fun to drive. Its small engine and proportions make it feel nice to drive on the road.
The interior quality has massive improvement from the newer edition to the older one. It offers a good driving experience, sprightly handling, and frugal engines for day-to-day running costs.
C1 is available for new drivers with one year of free insurance for the first year. This is typically 4 year PCP finance contract.
#3. Peugeot 108:
- Peugeot comes with similar features to Citroen C1
- Low running costs
- Funky looks
Peugeot 108 is a sister car of the Citroen C1, as it comes with almost the same features as C1.
But still has a unique look, thanks to its light steering and a tight turning circle that adds a more fun driving experience. The 108 also has a funky stylish look compared to its older siblings.
It offers low running costs and has a nice range of frugal engines.
If you want to stick out with this deal, you will get the advantages of the finance cost, insurance and breakdown cover, taxing, and servicing, all for one month free.
#4. Volvo V60:
- Excellent safety kit
- Very impressive and stylish look
The Volvo V60 is a very impressive and stylish-looking car, very comfortable to drive and very practical. It comes with a large boot and lots of hidden spaces.
It comes with a wealth of safety features including Volvo’s excellent City safety system that allows the car to detect cars, animals, and pedestrians, and to respond accordingly to avoid a collision.
In addition, this car is available with the ‘Car by Volvo’ package that lets you focus on the road, also covering everything from insurance to breakdown cover.
It also covers repairs, wear and tear, tire replacement, and the replacement of cracked windscreens.
#5. Volkswagen Polo:
Volkswagen Polo is another Finance car with free insurance for new drivers. It is one of the most popular cars in the UK and one of Volkswagen’s longest-running models.
It has excellent styling, high levels of reliability, strong build quality, and an upmarket cabin finished to a high standard.
It is also amazing to drive with low cost of running and useful safety tech, including autonomous energy breaking, and automatic headlights.
With a more frugal engine equipped, it comes with qualified group 1 insurance. You can also find the offers to have the 1-year insurance free.
Is insurance compulsory for car loans?
Ans: Yes, you have to have insurance for a car loan. According to law, all the vehicles that run on the road need to be insured.
The majority of accidents involve other parties, so owning insurance will protect you from further costs, which may often be much more beyond your imagination.
What type of insurance is mandatory for vehicle finance by the bank?
Ans: there are 3 main types of insurance coverage such as fully comprehensive; third party; and third party, fire, and theft.
For the most full coverage, you need to go for fully comprehensive coverage that will protect you, your vehicle, and your driver from damage.
It typically covers repairing costs, fire damage, and third-party damage to other cars including other people’s damage.
What happens if you don’t have insurance on a car with a loan?
Ans: If you don’t have insurance on a car with a loan then you can receive a fixed penalty of £300 and six penalty points on your license.
If you are caught by the police driving without having insurance on your car then the case may go to court and you may be charged an unlimited amount of fine and be disqualified from driving.
If you are determined to get a new car, you are thinking of a new car finance and insurance deal for first-time drivers, you can see these free car insurance differ from the usual car insurance options.
The fact is that these new cars with free insurance are PCP deals.
With PCp there is a monthly payment, a deposit, and an agreed value for the car. With this so-called free insurance, the cheaper monthly payment aspect to the PCP disappears, as your monthly payments will be much higher.