Fleet News

Activa Contracts launches affinity car scheme

Ian Hill, managing director, Activa Contracts

Activa Contracts has launched an affinity car scheme for existing fleet customers.

The personal contract hire (PCH) product will allow employers to offer employees who have either opted out of a company car scheme or are not eligible for the benefit access to a new vehicle.

Activa Affinity Cars will allow users to select models from all major manufacturers via an online portal and drivers can select contract period, contract mileage and service, maintenance and repair levels.

Ian Hill, managing director of Activa Contracts, said: “Employees that have decided to opt out of a company car scheme are more inclined to take their PCH car on a like-for-like basis; typically requiring a full maintenance solution including tyres.

“They are maybe opting out of a company car scheme for lifestyle reasons, employer constraints governing vehicle choice or rising benefit-in-kind tax, but they seek the hassle-free in-life comfort associated with a company-provided vehicle.

“However, employees that have not benefited from a company car by virtue of their job are usually seeking out their car of choice at the lowest possible monthly rental.

“Very often this means that they opt for a PCH solution that excludes maintenance services in the belief that they can maintain the cars at a lower cost themselves.

“While this may not be the case, we felt that it was important to offer employees an option that enabled them to self-manage SMR costs.”

Data from the British Vehicle Leasing Association shows a 24% surge in the personal contract hire (PCH) demand between Q4 2017 and the same period last year, and Activa Contracts has launched its product to capitalise on that

Activa Affinity Cars is available only to employees of existing Activa Contracts fleet customers.

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