Greener car 'could bring down car insurance costs'
Date: 02/05/2008 12:00:00
A greener car could lead to cheaper car insurance bills as well as lower tax charges, an expert has said.
The British Insurance Brokers' Association (Biba) says people could be tempted to switch vehicles due to the credit crunch, with less polluting cars one way of cutting bills.
Technical and corporate affairs executive for Biba Graeme Trudgill said four-wheel drive vehicles could become less popular as finances become more of a problem for some people.
He said: "There are financial benefits to driving greener vehicles, both in tax and insurance. People are looking at what the most affordable methods of transport are."
He added less gas-guzzling vehicles like the hybrid Toyota Prius are now coming on to people's radars as they tighten budgets.
The recent budget saw an increase in car tax and a 2p rise in fuel costs effective from October 2008.
Biba represents the interests of insurance brokers, intermediaries and customers, and has partner members from leading companies in the insurance industry.