I am thinking of buying a new car. Is there a car that will cut the cost of my insurance?


Have you heard of hybrid cars? Hybrid cars are also known as HEV or hybrid electric vehicle. It has been tagged as an environment friendly vehicle because it features a small fuel-efficient gas engine combined with an electric motor that assists the engine when accelerating. The electric motor is powered by batteries that recharge automatically while you drive.

The hybrid technology contributes to less burning of fuel and carbon emissions. This is because hybrid car uses the electricity it generates. The energy is stored in a battery until it is needed. Alternative renewable fuel sources can also be used such as biodiesel or ethanol. Regenerative braking, electric motor drive assist and an automatic shutoff and start system are among its features.

Major car companies have been selling and developing this type of car. Toyota, Nissan, Ford, Honda, and General Motors are the top sellers of hybrid cars.

It is gaining popularity among Americans citizens because of its contribution in reducing greenhouse gas emissions, saving on fossil fuels, and cutting down on the cost of driving. People who want to cut cost on their fuel and get car insurance discounts should buy a hybrid car. It is a very practical choice for consumers.

The benefits of owning a hybrid car has been recognized by the federal government. It is an active advocate in encouraging people to switch to fuel efficient cars. In fact President Obama already enacted the CARS law or Car Allowance Rebate Systems. This program gives financial support to people who are willing to switch for hybrid cars and given $3500 to $4000 dollars in discounts when trading their cars from July to November 1, 2009.

Car insurance companies are now offering discounts to drivers who switch and use hybrid cars. This kind of discount is called ‘green’ discount. Drivers who use eco-friendly vehicles may get lower premiums or given a 10% discount by some insurance companies.

They are on the preferred insurance categories because research indicates that hybrid owners tend to be lower risk drivers, less likely to be involved in accidents and less likely to file insurance claims.

Hybrid cars can be quite expensive compared to an ordinary car but you can get myriad benefits. Some lenders offer discounted loan rates for hybrids. In addition, hybrids are holding their value better. You will get more money when you decide to sell it compared to a non-hybrid car.