Care by Volvo - what are your thoughts?

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shrunkenhead
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Care by Volvo - what are your thoughts?

Post by shrunkenhead » Sun Mar 11, 2018 6:18 pm

Hi,

I'm strongly considering buying a new Volvo XC40. It's a fabulous new car - just won European Car of the Year and is shortly going to be available in the USA. The car currently comes in two models -Momentum and R-Design. The latter has a somewhat sportier setup. I would probably opt for the R-Design version. If I bought the car, outright, with all the planned options (amazing, almost self-driving and incredible safety features) it would cost around $45,000 plus NYC sales tax of 8.875% (yeah, tell me about it).

However, Volvo is introducing a new plan called Care by Volvo. With this approach, you order one of the two models and pay either $600 or $700 (for the model I want) per month for 24 months. For that $$$, you get the car, insurance (regardless of state), all service, replacement of things like tires, wiper blades and other "usables" as needed. You also get some kind of concierge service. If you want to renew your plan, you can do it at 12 months or you can just wait out the 24 months, at the end of which, you renew or walk away (obviously, without the car) or you can even buy the car at a pre-arranged and advertised price. There is no up-front money - there is no haggling about price. The only issue is whether you qualify for the credit and as an insurance customer. (Insurance by Liberty Mutual). You get a 15,000 mile allowance and if you go over that, it's 25 cents per mile.

My current insurance costs about $1000 per year, so that gets erased from the formula. It's hard to predict repairs, etc. on a new car, but I'm guestimating a figure of $400 per year (for two years) - thus, between the $1000 for insurance and the $400 for service, I'm erasing $1400 from the formula. Therefore, my theoretical annual cost is reduced from $8400 (12 x $700) to $7000.

The intriguing thing for me is the notion that I'll have a new car every 2 years (or after even one year if I so choose). With technology changing so radically, that means I'll always have a car that's up-to-the-minute in safety and advanced features. These cars are gorgeous, perfect for my needs and I will not ever exceed the 15,000 miles per year limit. Also, as someone who's been thoughtful about my car ownership all my life (I'm 70 years old), I sort of want to have a little more luxury and newness. I love cars - I always have. I've suppressed, somewhat, that excitement for a long time, in an effort to embody sanity, financial thoughtfulness and other similar values. I feel like I "deserve" some fun and cool and luxury.

Compare the above with a purchase price of $45,000 over who knows how many years I might keep the car (I tend to keep cars for 8 years and more)PLUS $1000 per year cost of insurance PLUS likely increasing cost of service and tire replacement over the duration of ownership. PLUS I no longer get a new car every 2 years. I'm "stuck" with an aging (but really nice) car.

So - what do you think Bheads?

HEDGEFUNDIE
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Re: Care by Volvo - what are your thoughts?

Post by HEDGEFUNDIE » Sun Mar 11, 2018 6:24 pm

Sounds like a good deal.

A year ago I purchased a CPO 2015 5-series for $35k. It had 30k miles on it so I hoped the worst of the depreciation was past. Put $5k down and the rest on a 2% loan. Monthly payment (including insurance) comes to $700.

Just went on KBB and it turns out the private party value would just cover the loan payoff amount. In other words it’s been equivalent to me renting the car for $700/month. And paying $5k upfront for the privilege no less.

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bottlecap
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Re: Care by Volvo - what are your thoughts?

Post by bottlecap » Sun Mar 11, 2018 6:37 pm

I think this money is already spent and you are the exact consumer they are targeting.

Enjoy!

JT

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Re: Care by Volvo - what are your thoughts?

Post by LadyGeek » Sun Mar 11, 2018 6:44 pm

This thread is now in the Personal Consumer Issues (car - deciding on purchase).
Wiki To some, the glass is half full. To others, the glass is half empty. To an engineer, it's twice the size it needs to be.

anoop
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Re: Care by Volvo - what are your thoughts?

Post by anoop » Sun Mar 11, 2018 7:04 pm

This sounds like leasing taken to the next level by including insurance. (With BMW, maintenance, even for consumables was covered until recently.)

Assuming you want to change cars every 2 years, it is probably worth it.

A few things to watch out for.

Interest rates are low right now so that allows manufacturers to make leases attractive. If interest rates go up, you may find that the payments have gone up a lot the next time you're up for a new car. Many BMW owners, e.g., are finding out that lease deals are no longer as great as they were a few years ago and now they are in a quandary, in many cases being forced to downsize.

What does the insurance policy cover in terms of liability? What is the deductible? What happens if you have a couple of accidents--will your payments increase? Does it cover things like bent rims or a blown tire?

shrunkenhead
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Re: Care by Volvo - what are your thoughts?

Post by shrunkenhead » Sun Mar 11, 2018 8:18 pm

anoop - thanks for your thoughts.

Here's a statement from Volvo re: one of your points:

"With Care By Volvo, when your vehicle is returned we will waive up to $1,000 of excess wear. Coverage includes large dents and dings to body panels, windshield damage, tire replacement due to wear, scratched, gouged wheels and worn interior."

As to insurance, Here's what Liberty Mutual has to say:

Bodily Injury Liability: $250,000 per person; $500,000 per accident
Property Damage Liability: $100,000
Comprehensive: $500 Deductible
Collision: $500 Deductible
Underinsured/Uninsured Motorist: $250,000 per person; $500,000 per accident
Medical Payments: $5,000

And, of course, you're right - there's no guarantee that the rates don't go up for this plan after the two years expires. I would assume that if Volvo gets enough takers for this plan, they'll be pretty careful with the rates, but we'll see.

shrunkenhead
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Re: Care by Volvo - what are your thoughts?

Post by shrunkenhead » Sun Mar 11, 2018 8:27 pm

Hi bottlecap -

Haha - actually, I think it's pretty clear that I am exactly NOT the demographic to which Volvo is marketing this car/plan. They're looking for young (30's and maybe 40s) folks - primarily urban - safety conscious - small families - looking for an easy way to "subscribe" to a car in the same way they subscribe to Netflix, Spotify or cell phone service.

While I am indeed an urbanite and I love the idea of a safe, fun car, I don't think there will be a ton of 70 year olds like myself and my wife going for this car or this plan. Maybe those people can buy my 2010 Subaru Forester XT Turbo with 65,000 miles on it.

anoop
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Re: Care by Volvo - what are your thoughts?

Post by anoop » Sun Mar 11, 2018 8:28 pm

That sounds like a very decent policy. I tend to carry a lower comprehensive deductible ($100) because I have tendency to getting the windshield damaged from rocks on the highway.

I don't see anything wrong with doing it.

If you do it, I'd strongly recommend the R Design for the seats alone. They are the most comfy ever.
https://www.volvocarsgilbert.com/blog/2 ... rgeons.htm

Although it sounds like the newer cars' seats are not as good as the older ones (but still better than anything else).
https://jalopnik.com/volvo-made-the-bes ... 1792318372

inbox788
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Re: Care by Volvo - what are your thoughts?

Post by inbox788 » Sun Mar 11, 2018 8:48 pm

shrunkenhead wrote:
Sun Mar 11, 2018 6:18 pm
The only issue is whether you qualify for the credit and as an insurance customer.
Seems like an OK deal, but don't like the concept. Chances are you only qualify for these rates if your credit is excellent and so is your driving record, but if that is the case, you will likely do better on your own. And if they add surcharges for credit or driver risk, again, you would likely do better on your own. It's a bit like group insurance rates, where individuals often can do better on their own, but each deal is different for each individual and there may be some that the dealer program is better.

If the difference isn't big, and you like the convenience, go for it, but if you want to save some money, negotiate a better lease and shop around for your own insurance.

http://www.businessinsider.com/why-volv ... ers-2017-9

HEDGEFUNDIE
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Re: Care by Volvo - what are your thoughts?

Post by HEDGEFUNDIE » Sun Mar 11, 2018 9:12 pm

inbox788 wrote:
Sun Mar 11, 2018 8:48 pm
If the difference isn't big, and you like the convenience, go for it, but if you want to save some money, negotiate a better lease and shop around for your own insurance.

http://www.businessinsider.com/why-volv ... ers-2017-9
Does not look like leasing is the better deal:
“For leasing customers, Volvo plans to offer the base XC40 T5 Momentum at $325 per month for 36 months with $3,000 down. (With no money down, that monthly rate climbs to $600 — the same as the subscription fee.) Looked at another way, over the 24-month subscription, you're spending $14,400 on a car that retails starting at $35,200. Compare that with with $14,700 total over 36 months for the conventional lease, including the $3,000 down payment but excluding insurance, maintenance and repairs.”

For a popular model, like this one is shaping up to be, it is unlikely a dealer would give lease incentives beyond the manufacturer guidelines.

https://www.autoblog.com/2017/11/30/vol ... e-leasing/

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Alexa9
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Re: Care by Volvo - what are your thoughts?

Post by Alexa9 » Sun Mar 11, 2018 9:27 pm

I'd compare the total cost of this for 10 years with buying the car and owning it for 10 years. I think you will find it being at least 2 to 3 times more expensive. Not to mention comparing it to a CR-V but that's a different debate.

ssquared87
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Re: Care by Volvo - what are your thoughts?

Post by ssquared87 » Sun Mar 11, 2018 9:56 pm

This doesn’t seem like a great deal. You won’t really have any consumables in the first 36 months other than oil changes for $100 each or less, so you’re just bundling insurance with a lease.

To give you perspective, I am leasing a $66k Bmw for 740 a month with no money down at all. That includes maintenance but not insurance.

Volvo care would cost roughly the same monthly although you’re getting insurance included, so essentially I’m paying $100 a month more or 14% more (assuming insurance is $1.2k/year) for a car that costs 30% more and has the same maintenance included

inbox788
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Re: Care by Volvo - what are your thoughts?

Post by inbox788 » Sun Mar 11, 2018 10:18 pm

HEDGEFUNDIE wrote:
Sun Mar 11, 2018 9:12 pm
“For leasing customers, Volvo plans to offer the base XC40 T5 Momentum at $325 per month for 36 months with $3,000 down. (With no money down, that monthly rate climbs to $600 — the same as the subscription fee.) Looked at another way, over the 24-month subscription, you're spending $14,400 on a car that retails starting at $35,200. Compare that with with $14,700 total over 36 months for the conventional lease, including the $3,000 down payment but excluding insurance, maintenance and repairs.”
Someone replied with:
Your math is wrong. If the standard lease is $325 a month with $3K Down as a cap cost reduction, that works out to $83 a month increase with $0 down. That should be $408/month on a standard lease. Even rolling in insurance ($50-100 month), and taxes and registration fees into the lease payment, you should still be be under the $500 mark. So the verdict here is using Volvo's service you could get out of a lease a year faster, but you're paying 30% more over the cost of the lease. That seems pretty dramatic, and for those who drive less, you would be able to benefit from a higher residual value on a lower 10k mileage lease.
I wouldn't worry the XC40 is not going to be popular at $600/month. You can probably get an XC60 for that price as well as a number of other choices. Anyway, some people may benefit, but I'm guessing most won't. You won't know until you crunch the numbers for yourself (OP), but if you don't, you'll never know (if that matters).

ny_knicks
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Re: Care by Volvo - what are your thoughts?

Post by ny_knicks » Sun Mar 11, 2018 10:25 pm

shrunkenhead wrote:
Sun Mar 11, 2018 8:18 pm
"With Care By Volvo, when your vehicle is returned we will waive up to $1,000 of excess wear. Coverage includes large dents and dings to body panels, windshield damage, tire replacement due to wear, scratched, gouged wheels and worn interior."
Does this mean large dents are covered when you turn it in or up to $1,000 worth of damage?

Because I walk the streets of NYC everyday. Almost all the cars (including high end) have an absurd amount of wear and tear on them.

Even the garages pack cars in like sardines. I would be concerned about needing to pay a good chunk of change when you return it unless scratches, dings, dents etc. are all covered.

maroon
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Re: Care by Volvo - what are your thoughts?

Post by maroon » Sun Mar 11, 2018 11:49 pm

If you live near me, will you sell me your Forester? :wink:

shrunkenhead
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Re: Care by Volvo - what are your thoughts?

Post by shrunkenhead » Mon Mar 12, 2018 10:28 am

Hi All and thanks for your responses -

hedgefundie is right about the lease being no better. I checked the numbers, based on a purchase price of $46k (for my model with my extras) - for 36 months at 10K miles per year (that's 5K less miles allowed) - They want $407 per month -
Based on 36 months, $4,407 due at signing, $0 security deposit required.
- 10,000 miles per year, additional mileage charge at $.25 per mile.
- For well qualified customers with minimum credit score of 750.
- $350 disposition fee due at lease end unless customer purchases vehicle or decides to re-finance.
- $350 lease-end purchase option fee.


When I crunch the numbers, add insurance , guess at service, I come up with a comparable lease costing $670 BUT with 10K miles per year allowed instead of 15K and for three years instead of two. So, for $30 more per month, I get more miles allowed and a new car a year sooner (and also I can renew after ONE year, if I so choose - thus getting a new car in 12 months.

alexa9 - um 10 years...no thanks, in 10 years I might be dead and you'll be driving the next gneration of Volvo - a car that massages your feet while you receive financial advice from your entertainment center in the language of your choice and automatically calls your friends when you're lonely or nearby. As to a CR-V compared to the XC-40...it's too big (for me), too slow (for me), less comfortable than the Volvo, not as safe, not as good looking (in my opinion)...oh and did I mention, too slow?

squared87 - um...is that lease for three years or two? Sounds like a sweet deal. Also, what's the mileage allowance? Insurance on the BMW costs more, I'd guess.

inbox788 - I don't want an XC60 (which is a gorgeous and wonderful car, that if I wanted the model I would order, it would be upwards of $60K -DEFINITELY not similar money) or other car. I want this car.

maroon - I live in Park Slope in Brooklyn and may be selling the car to my daughter for 0 dollars (now, she's DEFINITELY getting a great deal)

inbox788
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Re: Care by Volvo - what are your thoughts?

Post by inbox788 » Mon Mar 12, 2018 11:38 am

shrunkenhead wrote:
Mon Mar 12, 2018 10:28 am
inbox788 - I don't want an XC60 (which is a gorgeous and wonderful car, that if I wanted the model I would order, it would be upwards of $60K -DEFINITELY not similar money) or other car. I want this car.
I wasn't suggesting paying more for the XC60. It seems the leases people are comparing on XC40 are very expensive, and if they cost as much as XC60 or other (e.g. BMW, Lexus, Audi, etc.), someone must really want the XC40 to pay more than its worth.

Volvo probably makes some money on the insurance side to subsidize the lease and they may be lowering margins to kick off this program. I don't think it's sustainable, so take advantage of it while you can, since the numbers seem to work out for you.

Typically, you have 3 choices, cash, finance or lease. Most folks don't switch between these choices, and for the most part, they're competitive. Conventional wisdom was cash > finance > lease, but some great lease deals can sometime turn thing upside down and zero/subsidized interest financing can beat cash.

Anyway, the way Volvo seems to be pricing the new option, lease with insurance package is as a replacement for the simple lease option, but I think there are plenty of people who want to lease (i.e. can't afford to make finance payments). By making the simple lease option a foolish choice, they're eliminating a big chunk of potential customers, which I don't think they'll be doing. Market forces will drive the simple lease to reasonable level, and IMO, these insurance plans will go the way of extended warranties, services contracts, tire protection, fabric protection, paint protection, undercarriage protection, etc.

BTW, if you have other cars, you may lose multi-car insurance, and if you bundle your auto with home or other insurance, you might lose that discount as well. Just another factor that may impact the overall numbers.

shrunkenhead
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Re: Care by Volvo - what are your thoughts?

Post by shrunkenhead » Mon Mar 12, 2018 12:43 pm

Thanks inbox788 -

If I bought the XC60 - which I was considering before I knew about the smaller XC40, it would cost about $59k in the setup I'd like. The lease would be $594 per month, with $4600 down at the time of the lease. Adding in the insurance and the rest, my monthly expense would be in the neighborhood of $880 per month. Indeed, a different neighborhood from the one I'm discussing. Again, that's for 10k miles and three years as opposed to 15k miles and two years. Of course, I'm wary about the potential price increaase after 2 years, but I still think they'd have to keep it in a similar ballpark.

XC40 R-Design (Care by Volvo) for 24 months: total outlay (insurance, service, etc.) : $16,800 with 15k miles and renewable after 12 months. (cost per year: $8400.00)
XC40 R-Design (Volvo Lease) for 36 months: total outlay (my own insurance, service, etc.): $24,120 for 36 months with only 10k miles and locked in for three years. (cost per year: $8,040)
XC60 Inscription: (Volvo Lease) for 36 months: total outlay (my own insurance, service, etc.): $31,680 for 36 months with only 10k miles and locked in for three years. (cost per year: $10,560)

soccerrules
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Re: Care by Volvo - what are your thoughts?

Post by soccerrules » Mon Mar 12, 2018 1:14 pm

shrunkenhead wrote:
Sun Mar 11, 2018 6:18 pm
It's a fabulous new car * (amazing, almost self-driving and incredible safety features) * I'll have a new car every 2 years (or after even one year if I so choose). These cars are gorgeous, perfect for my needs * Also, as someone who's been thoughtful about my car ownership all my life (I'm 70 years old), I sort of want to have a little more luxury and newness. I love cars - I always have. I've suppressed, somewhat, that excitement for a long time, in an effort to embody sanity, financial thoughtfulness and other similar values. I feel like I "deserve" some fun and cool and luxury.

So - what do you think Bheads?
I think you want it-- go get it!
I am not sure if this lease option is right for you or the best financial decision, but if you have the money and it will not impact your day to day finances-- that's up to you.
I have owned 2 Volvo's, after about 7-8 years -- it's $1000 anytime I take them to the shop. They are not cheap to maintain and repair.
Don't let your outflow exceed your income or your upkeep will be your downfall.

limeyx
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Re: Care by Volvo - what are your thoughts?

Post by limeyx » Mon Mar 12, 2018 1:18 pm

inbox788 wrote:
Sun Mar 11, 2018 8:48 pm
shrunkenhead wrote:
Sun Mar 11, 2018 6:18 pm
The only issue is whether you qualify for the credit and as an insurance customer.
Seems like an OK deal, but don't like the concept. Chances are you only qualify for these rates if your credit is excellent and so is your driving record, but if that is the case, you will likely do better on your own. And if they add surcharges for credit or driver risk, again, you would likely do better on your own. It's a bit like group insurance rates, where individuals often can do better on their own, but each deal is different for each individual and there may be some that the dealer program is better.

If the difference isn't big, and you like the convenience, go for it, but if you want to save some money, negotiate a better lease and shop around for your own insurance.

http://www.businessinsider.com/why-volv ... ers-2017-9
I think its the start of getting people ready for self-driving cars. One assumption is that once they become ubiquitous then no one will "own" cars anymore, so if people are already used to the subscription ... it will be a much easier transition

ssquared87
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Re: Care by Volvo - what are your thoughts?

Post by ssquared87 » Tue Mar 13, 2018 12:57 pm

shrunkenhead wrote:
Mon Mar 12, 2018 10:28 am
Hi All and thanks for your responses -

squared87 - um...is that lease for three years or two? Sounds like a sweet deal. Also, what's the mileage allowance? Insurance on the BMW costs more, I'd guess.
My lease is for 36 months and 12k miles. If I remember correctly, they wanted $30/month more for 15k miles.

Insurance for me is high because of where I live...when I moved to CA I had to pay 50% more than what I was paying in NY with the same car, and double what I paid in Seattle.

I looked into the S90 quite a bit, but decided against the Volvo for a few reasons. Lease rates are more expensive for Volvo vs. BMW because BMWs residuals are higher. Residual on my car is 61% after 36 months. That significantly lowers the cost of the lease. Volvo had a lower residual think it was 55% or 52% cant remember exactly, but it made it much more expensive. BMW also included the maintenance for 4 years so I'm covered for oil changes and pretty much everything except brakes for the entire term of the lease. I don't anticipate needing new brakes at 36k miles, but we shall see.

The Volvo is also less athletic, and I prefer more agility. Finally, I was concerned with reliability. Volvo has always been somewhat of a temperamental car, but BMW can be extremely reliable if you get the right model/engine.

Believe it or not, the deal I got on my car is about average compared to what other people on the BMW forums are getting. There are a bunch of credits a lot of these guys were able to apply to get them even lower than where I am. Volvo was not as flexible in negotiations for whatever reason.

michaeljc70
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Re: Care by Volvo - what are your thoughts?

Post by michaeljc70 » Tue Mar 13, 2018 1:07 pm

A bunch of thoughts:

I think they must be charging a premium to put this package all together and make it convenient. You can probably run the numbers yourself taking into account your insurance costs, what it would cost to finance the car, and estimated resale value after 2 years. You may even be able to get a $0 down loan (but probably at higher rate).

Since everyone is paying one amount, there is no room to negotiate which you may be able to do if you bought the vehicle or leased it.

If you live in a high cost insurance area, this benefits you more than if you live in a low cost insurance area. I don't know what the underwriting standards are, so it might also benefit you more if you have a tarnished record (yet are still able to get approved). Since most people have multiple policies (home/auto) at one carrier to get the discount, that is also a factor. I guess what I am saying is this one price for everyone will benefit some and hurt others.

$400 for repairs? What repairs do you have on a new car that aren't covered under warranty? In my 1st year I paid for one oil change at Jiffy Lube.

What about sales tax? I believe where I live (IL), you pay that on the lease. I wonder if that is broken out or are you paying sales tax on the insurance portion too.

inbox788
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Re: Care by Volvo - what are your thoughts?

Post by inbox788 » Tue Mar 13, 2018 3:45 pm

michaeljc70 wrote:
Tue Mar 13, 2018 1:07 pm
I guess what I am saying is this one price for everyone will benefit some and hurt others.
...
What about sales tax? I believe where I live (IL), you pay that on the lease. I wonder if that is broken out or are you paying sales tax on the insurance portion too.
Yup, lots of little things get in the way. Those that benefit will line up for the deal, while those that are hurt will run away, so their costs will have to take that into account further exacerbating the effect of those being hurt.

Sales tax will be an are of dispute with tax authorities in how they break out the accounting, and there's plenty of wiggle room. Free insurance with lease might cost too much in sales tax, so they can sell the lease at cost and provide the insurance for a big markup. Since you can't unbundle, neither is really true and figuring out the midpoint where the car company and tax authorities agree can get complicated. It's these types of games lead to $100+ tax on a free cell phone.
https://www.ocregister.com/2010/11/05/i ... ull-price/

http://articles.latimes.com/2010/oct/25 ... s-20101026

And don't be surprised by added costs that continue to creep in like in cell phone service:
Image
http://money.cnn.com/2013/07/10/technol ... ess-taxes/
http://www.businessinsider.com/sneaky-w ... -2016-2#-8

sco
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Re: Care by Volvo - what are your thoughts?

Post by sco » Tue Mar 13, 2018 11:16 pm

Where has a 4.25% local tax? So that I can make sure to never go there?

ssquared87
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Re: Care by Volvo - what are your thoughts?

Post by ssquared87 » Wed Mar 14, 2018 11:12 am

sco wrote:
Tue Mar 13, 2018 11:16 pm
Where has a 4.25% local tax? So that I can make sure to never go there?
Lot of places around NYC.

I'll take that over the sales tax where I live - 10.25% in Santa Monica.

michaeljc70
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Re: Care by Volvo - what are your thoughts?

Post by michaeljc70 » Wed Mar 14, 2018 11:14 am

ssquared87 wrote:
Wed Mar 14, 2018 11:12 am
sco wrote:
Tue Mar 13, 2018 11:16 pm
Where has a 4.25% local tax? So that I can make sure to never go there?
Lot of places around NYC.

I'll take that over the sales tax where I live - 10.25% in Santa Monica.
That was a cell phone bill posted, but our sales tax on most merchandise is 10.25% here in Chicago as well. 1.75% is the city, the rest is county and state.

inbox788
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Re: Care by Volvo - what are your thoughts?

Post by inbox788 » Thu Mar 15, 2018 1:52 am

michaeljc70 wrote:
Wed Mar 14, 2018 11:14 am
That was a cell phone bill posted, but our sales tax on most merchandise is 10.25% here in Chicago as well. 1.75% is the city, the rest is county and state.
With cars, you have "documentation", "advertising" fee, tire fee ( https://www.tirebuyer.com/education/tir ... -tirebuyer ), electronic transfer, etc. EVERYTHING is negotiable, but some things the dealer likes to fix in stone, like the doc fee and some pass thru fees, so the only recourse if the buyer insists is for the dealer to reduce the sales price, which they will do if that's what it takes to make the sale. As long as the out the door prices is set ( though there are stories of extra fees popping up after the sale ), it shouldn't matter how they want to break the up.

Diogenes
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Re: Care by Volvo - what are your thoughts?

Post by Diogenes » Thu Mar 15, 2018 3:50 am

It's another leasing deal, lots of threads about those here. Leasing is usually not a good deal for an individual, although it appeals to those who want a new car every couple of years. You're renting it, doesn't belong to you. If you can, why not just pay cash and shop around for better insurance prices?

You're 70, time to treat yourself to what you want. No reason you shouldn't try it since it's just 2 years if you are uncomfortable with the purchase. I've never run into (unintended pun...) a 70-year-old who is leasing a car other than for business reasons, do they have an upper age limit on renewals?

Last Volvo I bought came with 5 years of total service anyway. Good cars, minimal service needs. Good resale value.

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