Green Car Insurance - How It Stacks Up

Although a large number of people are wanting to do their bit for the environment and trade their unhealthy car for a greener alternative, some fear the costs will be too high. A leading financial website has revealed however that people switching to these greener automobiles will not be paying more for their insurance than they would if they stuck with their standard cars

Following their recent statement regarding ‘green office insurance’, online megasite Moneysavingexpert.com just put motorists minds at ease over the fears that environmentally-friendly cars cost more to run. They have said that not only is the insurance of hybrid or battery-powered cars no greater than standard cars but also people will make financial savings in the long run from a whole range of other factors. These include

• Lower cost of fuel as electrical cars are much cheaper to fill up than all-petrol or diesel cars
• Lower tax as the government is implementing tax breaks for environmentally friendly vehicles
• Lower excise duty, in some cases this is scrapped all together for green cars.

This is good news for the government who are in the middle of a real push to get older, more harmful cars off the road and better cars onto them. One of the first things that people take into account when changing their car is how it will affect their finances, and much fewer people would take the step if they thought their insurance premiums would go up.

Following the government’s scrappage scheme which seems to be going well, there are even talks of bringing in an insurance subsidy plan if green cars or green business vans insurance costs do increase at all. This will help out not only individuals with their insurance costs but also vehicle-based companies who are being urged to go green but are wary about their business insurance charges