More car manufacturers are seeking to take perceived risk away for potential customers with different forms of unemployment insurance. After helping Hyundai to add sales in the US, the idea is spreading in the US and now across the Atlantic.
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Honda and Volvo have recently introduced schemes in the UK that take some of the risk out of financing new car purchase.
GMAC UK has now announced the launch of free involuntary unemployment cover on all its new and used car finance packages, covering repayments of up to GBP1,000 per month. The GMAC offer is the first of its kind in the UK and is based on clear and simple eligibility criteria.
“Our aim is to give consumers confidence that now is a great time to visit your Vauxhall, Saab or Chevrolet retailer and purchase a new or used car,” says Dennis Foley, Managing Director, Sales and Marketing, GMAC UK.
“This market-leading offer means customers can take advantage of the great finance deals available in the showroom such as 0% terms, ‘You Pay, We Pay’ and low rate or finance deposit contribution, with the added confidence that their investment is additionally protected in case of involuntary unemployment.”
GMAC says it has created simple rules. Customers simply need to be aged between 18 and 65, and living/working in the UK at commencement of the finance contract. They also need to be in full-time employment or self-employed (working over 16 hours per week) and not be aware of any impending unemployment.
Free IU cover is available on all GMAC finance contracts taken out from April 3rd until 30th June 2009, providing customers with 24 months of free cover in the event of unexpected involuntary unemployment, covering repayments of up to £1,000 per month, for a maximum of 12 consecutive payments.
