Motorway launches FCA-regulated insurance for used cars bought online

Used car marketplace Motorway is launching a new insurance product designed to protect dealers from mechanical and electrical issues when buying used vehicles online.

Partnering with Opteven which specialises in warranties and mechanical breakdown coverage across Europe, Motorway Protect covers dealers for up to £5,000 in repair costs for £29.99 per vehicle.

The insurance policy, regulated by the FCA, aims to safeguard dealers from costly mechanical surprises, helping them maintain profit margins when buying stock online.

Motorway Protect is available for vehicles up to 10 years old and with fewer than 100,000 miles, making it suitable for a wide range of used cars.

Coverage begins the day after payment and dealers can make claims easily via an online portal, which is accessible 24/7. This portal allows dealers to submit claims in just a few minutes, with a decision typically made within two hours.

James Wilson, COO of Motorway, commented: "Every product and feature we launch, from fast, secure payments with Motorway Pay to hassle-free transport with Motorway Move, aims to enhance the car-buying experience for our dealer partners. Motorway Protect is no different.

“We know that unexpected mechanical and electrical issues can be costly and time-consuming. To address this, we're introducing Motorway Protect, an industry-leading product, backed by trusted partners, at a highly competitive rate. The easy claims process and quick decision-making ensures a hassle-free experience, protecting dealers' margins. We're thrilled to offer this to our dealer partners."

James Barr, head of national programmes at Opteven added: “Motorway has a vision to build a better car market for everyone, harnessing the power of technology to deliver an amazing experience. In partnership with Opteven, this experience has now been further enhanced through the provision of a market leading insurance solution to give retailers that additional level of confidence when using Motorway.’’