Car leasing with insurance included

  • Leasing with insurance
  • Offered via manufacturers and independent companies 
  • Convenient, but not usually the cheapest option

If you're the type of person who likes things to be simple with the minimum number of outgoings necessary, leasing a car with insurance bundled in is most likely for you.

Leasing, also referred to as PCH (Personal Contract Hire) is the easiest and simplest way of driving a new car. It works much like a long-term rental. Hand over an initial payment, set up a series of fixed monthly payments, then when the contract has run its course you hand the car back and start again.

With most leasing deals, you'll need to sort the insurance out yourself. But there are ways to combine your leasing deal with insurance, saving you the hassle of doing it yourself.

Car manufacturer leasing with insurance

A few carmakers are offering all-in-one leasing deals.

>> Search for car leasing deals

Care by Volvo

Care by Volvo

This bundles the cost of a new Volvo, maintenance, and roadside assistance into one monthly fee. Insurance can be added into this bundle.

There are no deposits/initial payments - but the prices you see advertised are generally sans insurance.

Cars start from around £560 per month (without insurance) and generally over the course of a two-year PCH deal it works out as more expensive than sorting all of the elements out yourself. You are paying for the convenience of Volvo doing it all for you - but it is by far and away one of the simplest and most flexible leasing systems out there.

Just Add Fuel - Peugeot

Not a leasing deal, but worth mentioning in this list. Just Add Fuel covers everything you need, except for fuel.

It's a 37-month PCP (Personal Contract Purchase) agreement at 4.9% APR and includes three years' insurance, three years' car tax, three years' warranty, three years' roadside assistance and three years' routine servicing.


Jaguar offers PCH deals but doesn't bundle everything together - yet.

Speaking to CAR, JLR's UK sales director, Scott Dicken, said: 'Subscription models are something we're looking at, and looking at with interest.

'It's a different car usage model. One benefit is that it provides flexibility – customers can plug and play, pick it up, drop it down, and in times like we're going through with Covid, for some customers flexibility is more important than overall price. We are looking at it.'

Car leasing companies that offer insurance too

There are hundreds of independent leasing companies in the UK offering leasing deals on pretty much every car for sale.

Jaguar F-Pace

Most of these companies don't offer an insurance bundle - but a few of them do. These are very simple solutions, and most work like Peugeot's Just Add Fuel. Everything is included and you just need to pay for petrol/diesel/electricity.

Like with the others on this article, it is usually cheaper to do it all yourself.

Car leasing with free insurance

Leasing with free insurance, especially for young people, is hard to find. Most leasing companies will not offer free insurance.

There are a few specialist finance companies out there that offer cars with free insurance if you take up a PCP deal.

Although marketed as 'free' it's essentially just a bundled price for your PCP deal and insurance together. It's always worth shopping around for insurance deals to see if you can pay less by buying insurance separately.

Car leasing with insurance for used cars

You're really clutching at straws here, and it'll be pretty much impossible to find insurance bundled into a used car leasing deal.

This is because leasing is most common with new cars. If you're after a used car, PCP can offer a simple solution. With PCP you don't need to buy at the end of the agreement, so it can work much in the same way as a lease.

Further reading:

>> How does car leasing work?
>> PCP finance: can I get out early? 
>> Leasing explained: young drivers