According to the terms of a new insurance promotion being offered by the Detroit automaker and insurance provider MetLife Auto & Home, Washington and Oregon car buyers will receive a year of prepaid auto insurance with their purchase of any 2010, 2011 or 2012 Cadillac, Chevrolet, Buick or GMC car. The offer is valid for drivers who take delivery of the aforementioned new cars between July 6 and September 6.
From Insurance Journal:
GM said it is testing auto insurance as a standard feature to determine consumer appeal. It is available only to Oregon and Washington residents with valid driver’s licenses who title their vehicle in those states. The vehicle owner can seek to renew the insurance at the end of one year or go elsewhere for coverage.
GM is trying to raise awareness of some of its new products like the Chevrolet Cruze, Buick Regal, GMC Terrain and Cadillac CTS Coupe, hoping that they will be "even more appealing with a year's worth of insurance," said Chris Perry, U.S. vice president of General Motors Marketing.
The auto insurance includes both liability and physical damage coverage and exceeds requirements in the two states, according to GM.
The policy covers the vehicle and anyone who drives it with the owner’s permission for a full year from the date of purchase, as long as the original purchaser continues to own or lease the vehicle, according to Bill Moore, president of MetLife Auto & Home. The policy is not available on vehicles purchased or leased for certain commercial or fleet purposes.
While I'm not sure about the economics of the offer for MetLife and GM, as far as I can tell, the offer seems legit from a consumer perspective. The coverage limits look fairly standard for an auto insurance policy, although you'll want to check out the terms more closely at www.metlife.com/campaign/autoandhome/gm/insurance.html before taking the plunge.
It still remains to be seen whether the deal will be made available to car buyers in other states at some later date, but this seems like a pretty attractive offer.
What do you think? Would you be more likely to buy a GM car if it came with free auto insurance for a year?