A subscription service is a new way of owning an electric car (EV). It is very different from traditional forms of car ownership, which makes the sector more affordable for everyone. What's more, its revolutionary nature offers many benefits.
If you're wondering whether an electric car subscription is worth it, you're in the right place. Read this guide to learn more.
This guide will focus on the benefits of an EV subscription. If you're looking for more details about what a subscription service is, check out this guide: What is an Electric Car Subscription?
An electric car subscription service doesn't include a long-term contract. The minimum term length is often 1-3 months and many providers offer you the ability to stop & start your contract at will. This makes it the perfect option if you only need a car for a few months.
However, you can always extend your contract if you want. All you need to do is continue paying the monthly subscription fee. The rolling contract makes an electric car subscription very appealing.
With an electric car subscription service, you get everything included. You don’t just pay to drive the car, you also pay for servicing, tax and breakdown cover. Depending on your chosen provider, you might also get insurance, Congestion Charge Autopay and/or free public charging included. This means you don’t have to worry about sorting out your car’s running costs yourself.
It also means you end up paying roughly the same amount per month as you would if you entered into a lease or personal finance contract.
Unlike when you buy or lease a car, not every electric car subscription provider charges an initial fee. Even if they do, it is much lower than you would pay for a lease or finance package. This means you don't have to hand over a large sum of money when you sign the contract.
Electric car subscription providers offer access to the latest electric cars. Thanks to the short-term contracts, that means that you can drive a brand-new EV every month if you wanted to.
Younger or newer drivers may not be accepted by EV subscription providers. Many require you to be over 25 and have held a full UK/EU driving licence for at least a year, if not longer. Some also require proof of a no-claims bonus, no driving convictions or penalty points on your licence in a set time frame. This can make it difficult for some drivers to benefit from a subscription service.
Not every provider allows you to cancel or change your vehicle for free. Even though the contracts are short, the minimum term is often between 28 and 90 days. If you only need a car for a week or two, you may want to consider hiring one instead.
You also have to provide enough notice if you want to cancel or change the vehicle. This is so the subscription provider can arrange the collection of the vehicle. Make sure you know how much notice you have to give before trying to cancel.
If you rely on on-street parking, applying for a new permit every time you switch vehicles can be time-consuming and frustrating. The hassle of completing the paperwork frequently may mean you'd be better off with a more stable form of vehicle ownership, such as an EV lease.
If you can't make use of the flexibility of an electric car subscription service, it might not be worth it for you.
While there are comparison sites for insurance, maintenance and other car running costs, it is currently very difficult to compare EV subscription providers. If you don't know who offers this service, it is difficult to find the best deals.
You must decide whether an electric car subscription is worth it before committing one way or the other. It is completely a personal preference but we hope this guide provided the information you need to make a decision.
What's more, while the monthly payments may seem higher, remember that your subscription also includes running costs. This means that the total cost of ownership is roughly the same as buying or leasing an electric car.
If you are considering an EV subscription service, we would recommend that you:
Before deciding on how you will afford an electric car, make sure that your driving needs will be met if you own one. Read this article to find out how to decide if an electric car is right for you.
If you’re wondering whether an EV subscription service offers better value and is more worthwhile than leasing an electric car, check out this article. We compare the benefits of the two and aim to help you make an informed decision about which is best.