States May Slow Spread Of Vehicle Subscription Services

Law360 (October 11, 2019, 2:09 PM EDT) -- Motor vehicle subscription services — similar to auto leases, except with no long-term commitment, the ability to change vehicles periodically, and insurance and maintenance bundled in — have only been around for a few years, but they’ve been embraced by some automakers, insurers and consumers.

However, the services face potential roadblocks from state lawmakers and regulators that could keep “subscribing” for a car from becoming as commonplace as “buying” or “leasing” one.

Vehicle subscription services have existed since at least 2014, when Cox Automotive Inc., the Atlanta-based auto auction, financial services and media company that owns AutoTrader Group Inc. and Kelley...

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