Honda is trying a different method to attract buyers to electric cars by offering free insurance to anyone who purchases a car.
The incentive is the latest tactic by car manufacturers to attract buyers to electric cars as consumers seem wary of the limited range and higher sticker price of the electric vehicles.
Honda plans to offer people free insurance with the purchase of their new all-electric Honda Fit, the company’s fight electric vehicle in the U.S, according to The Los Angeles Times.
The company said the average driver will save $600. The offer was prompted over concerns insurers would have trouble rating the vehicle, according to The Los Angeles Times.
The isn’t the first time car manufacturers have offered free insurance for buyers.
General Motors experimented in offering free insurance to electric car buyers in Oregon and Washington, but they let the offer expire without expanding the program, The Times reported.