A car owner using their car for nine hours a week could save £250 a year if they switched to a Car Club; and for those driving only four hours per week, for example, the saving increases to £1,663.

A study by iCarhireinsurance.com, a leading provider of specialist Car Club and car hire excess insurance, looked at the costs to own a car compared to using a Car Club. It found that an owner of a Ford Focus using their car for nine hours a week (and driving around 2,000 miles a year) would pay approximately £2,958 a year*, whilst a Car Club user would pay £2,750** a year to drive for 9 hours, while someone driving only 4 hours a week would pay only £1,295***, a saving of £1663.

Membership of a Car Club costs around £60 a year with Zip Car or Enterprise Car Club and includes insurance, petrol (up to 60 minutes a day), full MOT and servicing and breakdown cover. Members can then use a mid-sized club car, e.g., a Ford Focus, from around £4.90 per hour (weekdays) to £5.60 per hour (weekends), costing between £19.60 and £22.40 a week.

An additional consideration is Car Club excess insurance to take the excess amount to zero in the event of the car being damaged or stolen. Specialist providers, like iCarhireinsurance.com, sell an annual Car Club policy for £69.99 reducing the excess to zero, while Enterprise charges a monthly fee of £10 to take the excess to £100, or there is a £750 excess without it. This makes a yearly cost, using an independent Car Club excess policy, and driving a standard vehicle Car Club car, e.g., a Ford Focus, for four hours a week of £1,295. NB. This is based on the higher charge rate of using the car at the weekends.

To run a car for a year, based on a driver living close to a large city (i.e., Hayes, Middlesex) and leaving their car on their driveway at night, costs around £970**** for comprehensive car insurance (the average cost of three quotes across ages), £226***** petrol costs, as well as running costs i.e. MOT (approx. £55), a full service (around £159 from a Gates Ford garage) and breakdown cover (approx. £50 from Green Flag / AA). The calculation also includes purchasing a Ford Focus 2015 1.6 Style 5 door car costing £7,489****** and paying £1,498 per year over five years. This makes a yearly cost of £2,958.

“If you only use your car for occasional use, then you could save hundreds of pounds a year by getting rid of your car altogether and using a Car Club,” said Ernesto Suarez, founder and CEO of iCarhireinsurance.com.

“Car Clubs are a great option for people who live in cities and urban areas with good public transport who do not need a car for everyday use. The costs are surprisingly reasonable, so you can just access a car when you need one without all the hassle and costs that comes with owning one,” said Ernesto Suarez.

For further information, take a look at our Car Club versus Car Ownership infographic

Disclaimer: All prices contained in this article were correct on the original date of publication. Prices may change over time, so for current prices, please get a quote.