Lease car insurance

Why should I compare car insurance quotes for leased cars?

Like anything else in the car insurance sector, it’s important to start your journey by comparing the different policies on offer.

You may be hoping for a top-quality new car, be it a Bentley or a Tesla. But truthfully, these are expensive cars to keep on the road. For this reason, you should always check how much it’ll cost you to insure a potential new car before signing any lease contract.

Does car leasing include insurance?

Leasing is a great alternative to buying your own car, but certain legal stipulations still apply.

You can’t drive on public roads without car insurance, which is your responsibility to arrange. So, before all else you’ll need to check how much you’ll pay for cover. This is as important a consideration as what car you want. After all, you could find your desired model is way too costly to insure.

How much does it cost to insure a leased car?

A car is a car. Some are more expensive to cover than others and insurers won’t discriminate between bought or leased vehicles. What’s more important is how you go about insuring your new car. You should invest some time and effort into shopping around for the best cover.

You should, of course compare prices with us, but also speak to friends, family and colleagues, if you’re looking for a new car. You may find the specific model you’re set on costs a whole lot more than a similar one to insure.

If you’re a young driver and looking to insure a lease car you may find insurance costs rather alarming. Telematics, or black box, car insurance may prove cheaper, as you’ll be rewarded for better, safer driving with lower prices, however you may have to check with the leasing company that it’s ok to install a black box in the car, as some insurers will opt for a professional installation rather than a self installed device. You can find more tips to save on your car insurance in our guide.

Does car leasing include VED?

Quite often yes. A leased car or vehicle will commonly have Vehicle Excise Duty as part of the deal or lease agreement. In any other case the registered keeper of the vehicle is always liable to pay for and arrange this, for instance in a private or trade sale. Technically leased vehicles don’t belong to the person leasing but to the finance company. While this is often included within many lease agreements, it’s always important to check, as if it’s not, you will be liable. A good dealer or company should point this out for you when going through the agreement.