Are car subscription services worth it? Yes, and here’s why.

2021-04-30 13:55

Are car subscription services worth it? Yes, and here’s why. 

In the past, if you had a subscription, it was likely for a magazine or gym membership. Nowadays, there’s a subscription for almost anything you can imagine – streaming television, movies and music, food, clothes, pets, beauty products and shaving. Yes, shaving. If it’s recurring, there’s a monthly subscription for it!

So, why not cars? I’m glad you asked. You may or may not have heard of car subscription services before. Odds are that you haven’t. Car subscriptions are a relatively new concept for the automotive industry. The first major vehicle subscription services, Flexdrive and Clutch Technologies, launched in 2014. They acted more like tech startups and software companies than rental car or leasing companies. Manufacturers such as Cadillac, Porsche, Volvo and Ford didn’t start experimenting until 2017.

Fast forward a few years to today and monthly car subscription services like are booming in major cities in the United States like Los Angeles, California. Why? Consumers are searching for alternatives to the traditional car buying experience. They’re tired of the cost associated with buying and maintaining cars. Plus, most consumers simply don’t drive cars for as long as they use to. According to IHS Markit, the average car ownership is about 79 months. That’s typically longer than I hold on to my cars.

Let’s face it, buying a car is more expensive than ever. It’s right up there with buying a house. You can now easily spend $100,000 for a 2020 Cadillac Escalade. I hate to be the bearer of the bad news but guess what? That same Cadillac Escalade you just bought will be barely worth $50,000 in just a few short years. Cars are among the worst financial investments out there. In fact, we shouldn’t refer to them as investments. Cars depreciate like a rock unless you have a rare, collectible or classic car. Then you can call it an investment because it’s going up in value.

So, are car subscriptions worth it? Yes or no? 

While there can many benefits to car subscription services, they’re not for everyone. It really depends on the individual. Let’s find out if it’s right for you by going through some of the advantages and disadvantages of car subscriptions. If it sounds like something you’re interested in, you should definitely visit a car subscription service near you.

Get more car for less

One of the major benefits of a subscription service is that you get access to a new or slightly used car that you may not be able to afford it you were to buy or lease it outright from a dealership. This is great for anyone that wants a new car but can’t afford a hefty down payment. Car subscriptions require little down if anything. It’s all baked into the monthly subscription price.

Flexibility to swap out cars 

Do you get tired of driving the same car day after day? Maybe you drive a big truck or SUV and wish you had better gas mileage or zip around quicker. Maybe it’s feeling crammed in a small sports car or sedan and all you want is some more room. Maybe you want to drive a luxury car for a few months.

Whatever the reason, car subscriptions offer you the flexibility to switch cars each month based on availability. Check out the current car selection from to get an idea of what you can get with a car subscription program.

Convenient access to a car 

Sometimes you need a car and you need it now. Maybe you totaled your car in an accident. Maybe your employment status changed, and public transportation is no longer an option. Most of the time you don’t have time to shop for car.

Renting a car is out of the question. Hertz, Enterprise or any of those other rental companies can be very expensive even if it is long term or short-term rental. We’re talking about $55 USD per day for a Toyota Rav4. Compare that to a car subscription starting at $199 per month plus tax.

No long-term commitments 

Whether buying or leasing a car, you’re going to have a long payment term. The average lease term is 36 months. That’s three years if you don’t pay for the maintenance and insurance upfront, you could be looking at your lease payment for all 36 months plus maintenance and repairs when you turn it back in. Not to mention the cost of registration and plates. Ouch.

All-inclusive car subscription programs

You may not realize all of the costs associated with car ownership. That’s because it is spread out throughout the year. You probably get plates once a year. Insurance is either monthly or bi-annually. Maintenance and repair expenses occur every couple of months. Roadside assistance if you have it is additional.

All of that changes with a car subscription. Imagine being able to have a fixed monthly cost for driving your car. You are basically consolidating all of your costs into the monthly payment. Makes perfect sense to me.

However, keep in mind that if you are in an accident that’s your fault, you will be responsible for the deductible. That could be anywhere from $500 or $1,000.

Is a car subscription right for you?

Car subscriptions like the ones offered by are great alternatives to buying, leasing and even renting a car.

Think back to your last couple of car purchases and ask yourself some questions. How long did you keep the car? Did you get tired of it quickly and want to trade for something else? How much did you spend on the car over the period? Do you feel like you got ripped off by the dealership?

If you answered yes to any of those questions, a car subscription may be worth trying. After all, it’s short term and you can always stop after the first month or two. It may be a good idea to try it out for fun before you get ready to sell your car or turn in your lease.

Interested in learning more about car subscription services in Los Angeles, California. Make sure to contact by visiting our website or emailing