Mini dealers should enjoy high retention levels for accident repair business after BMW launched an insurance scheme in conjunction with Green Flag.

Paul Harris, marketing manager at Mini Financial Services, said Mini Cover would find an affordable insurance premium for every customer. Some motorists, he said, found it difficult to source insurance if they had a chequered claims history or lived in high crime areas.

“The rates will vary, of course, but we promise to offer everyone insurance. The main drive, though, is to keep Mini within our approved repairer network,” said Mr Harris.

Dealers will be encouraged to act as an introducer to the insurance product, for which they receive a “small token of remuneration” for their effort.

“We don't want them to get involved with selling the policies because of the new General Insurance Standards Council regulations,” said Mr Harris.

Mini has been launched with a range of aftersales features, including free accident management, designed to maximise retention rates for the dealer network.

Customers can purchase a comprehensive five-year/50,000-mile servicing package for £100, which covers all scheduled servicing, including parts and labour. The package will be transferable to a new owner when the car is sold on.

Trevor Houghton-Berry, Mini UK general manager, said: “Mini will re-write the rulebook for the small car.”