Jan. 18, 2018—Mercedes-Benz and BMW announced plans to launch vehicle subscription pilot programs later this year that include insurance options.

This follows in the footsteps of Volvo, which announced a similar subscription package in December 2017.

This is notable for collision repair because, as Jerry Albright noted in a recent story, if insurance companies want to remain relevant, they’ll need to partner with OEMs as vehicles become more and more connected.

In fact, CCC Information Services is pushing for that OEM-insurance partnership with CCC Drive, which is a telematics platform that allows a vehicle to automatically notify an insurer when a crash occurs

The moves would help the two luxury manufacturers keep pace with competitors such as Porsche and Cadillac, which are already testing similar subscription services.

Mercedes already has subscription plans operating in both Germany and Italy, as noted in a recent al.com report.

A subscription service allows customers the ability to drive a vehicle for a monthly fee and also allows customers to switch among available vehicles. The monthly fee includes maintenance, and insurance, as well as pickup and delivery.

Most OEMs’ subscription services cost around $600 per month—such is the case with the new Volvo XC40, for example, which will be part of the Care by Volvo subscription ownership service by this spring.