A lot of people will tell you that going green is the way to go these days. It is important for businesses and individuals alike, but you can also turn “going green” into sweet returns for your wallet. There is more to it than just feeling good about reducing personal greenhouse emissions. You can also feel good that you are saving money on your car insurance premiums. Driving a green car saves you money at the pump and on your coverage.
Can turning my car “green” lower my insurance premiums?
Yes! There are a few other qualifying factors, but insurance companies like when their drivers take the next step in reducing their carbon footprint.
What would I have to do to qualify?
You need to either purchase a car that falls under the hybrid or green category for the easy way, but you can modify your existing car in order to have it fall under this category.
Types of car mods that typically qualify
- Biodiesel
- Gas-electric hybrid
- Hydrogen
- Electric car (battery)
- Flex Fuel
Can anybody apply for a lower rate with their eco friendly car?
Nope, just people in New York, California, and Massachusetts. There are more and more states that are adding premium discounts for green cars If you live in one of those states, then you’re good to go, depending on your insurance provider.
How much can I save with a “green” car?
It varies by insurance agency, but the going average is 10 to 15 percent on your premium. Over the long haul, if you are paying about $60 bucks a month on insurance, then you can save about 600 bucks over five years, and that’s nothing to laugh at. Furthermore, energy efficient cars often garner better offers on car title loans — should times get hard.
How much does it typically cost to convert my car?
It depends on a few factors, but just about every car can be converted. The going price is a pretty broad range, but you are most likely looking to spend $3,000 to $5,000 for your conversion if you’re starting from scratch and going from a normal combustion engine to a gas-electric hybrid. For biodiesel, the average conversion kit runs for $1,300. However you decide to mod your car, you’re going to pay a lot up front, but the savings at the pump could easily compensate for what you’d spend for the conversion.
If you’re lucky enough to own an alternative fuel car, then now is a good time to check with your insurance agency to see if you qualify for a green car discount.