This service is whereby you get a car and use it for a period of time. One does not actually have to own the car. The fee paid for the service covers maintenance, insurance and assistance. Some organizations offering the service allows for car flipping requiring only a few days’ notice.
Companies offering the service
The car subscription services are offered by different car owners throughout the country. Care by Volvo service is the only service currently available country wide. 2019 S60 sedan and 2019 Volvo XC40 luxury SUV are among the cars available for subscription. Canvas, a subscription service by Ford offers the service in Los Angeles and San Francisco. Book by Cadillac subscription service is available in New York, Dallas and Southern California.
The business has also attracted startup companies. They include drive flow in Winston-Salem and Raleigh of North Carolina. Fair is based in Los Angeles and offers the service in several cities in California. PrimeFlip offers luxury sedans in the New England area. The startups only concentrate on a small area in the country.
Costs of car subscription
The cost of the service varies depending on the car and the organization. Care starts at $650 per month. Cadillac service costs $1,800 per month with an option of selection among: ATS-V, Escalade, CT6, CTS-V, XT5 or CTS-V Wagon.
The plan in the Mercedes –Benz is $ 1095. Porsche charges a fee of $2,000 and $3,000 depending on the type of car in their collection chosen. The companies in the business also charge a start fee ranging between $200 and $600.
Interesting aspects that come with this service include: its convenience, potential cost saving, flexibility and less commitment. For most of the companies offering the service, they will deliver the car to where you are once you have subscribed.
The service has a potential of cutting cost since down payments are eliminated. The option by some of the providers to enable one change the cars at their pleasure increases the flexibility of the subscribers.
On the negative side, owning a car may be of importance to you. You may want to pay it all at once. Owning a car frees you from the monthly subscription and the service start fee. The companies offering the service may have some restrictions on what you may or may not do in their cars. Some programs do not allow smoking in the cars.
If you buy a car, then you make your own rules. You may be someone who is not pleased by the car switching program; therefore the service is of no added importance to you.
Regulations put in place by the companies
Before you are accepted into the service, driving history and credit are checked. One is expected to agree to be periodically checked to ensure they are maintaining a credible driving record. A credit card is needed to sign up for the service. The cars in the service are not always new. You may find a current model which has been driven by someone else. Premium programs promise cars which are in an excellent state. Some programs set the mileage limits. If you exceed the mileage, an extra cost is added to your monthly cost.
Companies may put restrictions on how their cars may be used. This will minimize their cost of repair and reconditioning. Most services prohibit smoking in the cars. An extra cost may be charged if the car has excess wear when being turned in. Most companies also forbid drinking and drugs. For a car, only one known driver is permitted. In case of additional drivers, you need to report to the company before they can drive.