Care by Volvo - UK subscription service explained

  • Slick and easy way to drive a brand new Volvo
  • Can be expensive compared to other forms of finance
  • The most flexibile way to finance

Subscription services are all the rage in this day and age. Customers love the perceived value for money, while companies love the regularity of payments coming through the books.

Which is why car subscription services are here to stay.

Volvo's is called Care by Volvo. It launched nationwide in September 2020 following a successful trial in Germany, the Netherlands, Norway and London.

Volvo reckons its subscription service 'brings unrivalled flexibility' to the market - something customers are desperately seeking out. For instance, Volvo's own research shows that customers on a three-year, or a four-year PCP deal want to change after two years.

Care by Volvo

What is Care by Volvo?

Care by Volvo bundles the cost of a new Volvo, maintenance, and roadside assistance into one monthly fee. There are no deposit or sign up fees, and all prices listed are without Volvo's insurance bundled in. Volvo will also sort out insurance, for an additional fee.

The monthly cost of Care by Volvo includes:

- Scheduled servicing
- Wear-and-tear maintenance and repairs
- Replacement tyres
- 24/7 roadside assistance cover
- 10GB in-car WiFi per month (data plan lasts the duration of the Care by Volvo subscription)
- Annual road fund licence
- MoT testing (where applicable)
- Access to a dedicated Care by Volvo customer service team

Care by Volvo cost UK

Customers can choose from any model in the current Volvo line-up. Polestars are not available with the Care by Volvo.

Volvo XC40 from £559 per month*

Volvo V60 from £639 per month*

Volvo XC60 from £699 per month*

Volvo V90 from £709 per month*

Volvo XC90 from £859 per month*

Volvo S90 from £1,079 per month*

Volvo S60 from£1,299 per month*

Prices for models change depending on which trim and engine choices are picked, as well as stock levels.

Volvo full car range

How does Care by Volvo work?

Broadly there are four steps:

- Go to Care by Volvo homepage
- Choose from cars for in stock or configure new car
- Pick mileage (6-24,000 mileage)
- Get delivered to home, or pick up from dealer

In stock cars are delivered within 30 days.

Volvo is giving potential users the opportunity to try the service risk-free for 30 days without any notice period. It basically works like a 30-day trial, while insurance is provided and there are no cancellation fees - customers will just need to pay the monthly cost.

After the 30 days, customers can change their car or end their subscription with just three months' notice. The subscription is open-ended and there is no cancellation fee.

In essence, it works like a leasing package with services thrown in, and the option to opt in to Volvo's insurance package too.

What if I want to do it via a dealership?

During the trial period, 70% of customers did not visit a dealer.

This doesn't mean you can't do it in a dealership.

Guy Twiselton, Volvo Franchise Dealer, Endeavour Automotive, said: "Care by Volvo means we can offer something new for customers, rather than just PCP or HP.

"In some aspects, our role as a retailer doesn't change. We're there to help customers choose the right car. Plus we're also there to help with the sign up process if they'd prefer not doing it from home. Sometimes people need a bit of reassurance.

And of course, customers need us for servicing and maintenance."

Care by Volvo desktop

Basic price comparison:

Care by Volvo

Car: Volvo XC40 T3 Momentum
Mileage: 8,000 per year
Contract length: rolling
Initial deposit: £0
Monthly cost: £574
Cost for 24 months (24 payments): £13,776

Typical leasing deal

Car: Volvo XC40 T3 Inscription
Mileage: 8,000 per year
Contract length: 24 months
Initial deposit: £500
Maintenance package: £36.55
Total monthly cost: £513
Cost for 24 months (23 payments): £12,299

Total cost difference here is £1477 over two years (or £61.50 per month).

Whether you think this is good value depends on whether you think £61.50 per month is a lot to pay for the ability to chop and change more regularly. Plus Care by Volvo offers little extras that leasing companies don't provide - like Care by Volvo customer service team and wear-and-tear repairs.

Further reading

>> The best new car deals
>> Leasing: explained
>> 0% APR car finance: all of the latest deals
>> How to buy a new car online

* These deals are indicative examples of some packages available as at 2 September 2020, but are subject to change without prior notice