27 Jun 2013
This is a contributed blog article by Jeff Rieger outlining the basic facts and (economic) advantages of switching to an alternative car.
Looming on the horizon is a future of high gas prices and disuse for most cars on the road today. More and more drivers are getting on board with alternatively-powered vehicles and more manufacturers are offering modern, sustainable solutions. According to the U.S. Department of Energy, in 2010, vehicle dealers in the U.S. offered 56 alternative-fuel models; by the start 2013, that number had increased to 162 models on the market.
With a variety of different fuels hitting the market to replace the age-old consumption of gasoline, drivers of these new vehicles have fuel choices like electricity, propane or hydrogen. Regardless of the source of your car’s power, there are a handful of essential tips you need to know for insuring your alt-ride.
Types of Alternative Vehicles
Insuring Your Alternative Car
In the spring of 2012, The Hartford Insurance Company announced that it would offer a 5% discount to electric vehicle owners. Based on demographic information, drivers of electric and hybrid vehicles are likely to be more mature, conscientious, and risk-averse than those who drive traditional gas-powered vehicles.
And the savings aren’t limited to electrics and hybrids. According to Esurance, biodiesel- and ethanol-powered vehicles can be 4% to 7.5% cheaper to insure than gas-powered variants of the same vehicle models.
Regardless of your vehicle’s fuel type, the trick to saving money on your insurance is to find an insurer who recognizes their own savings and passes those on to the consumer.
Aside from asking about savings, drivers of alternative vehicles should treat their insurance policy the same as ever—with one exception: your vehicle’s value. In the event of a total loss claim, you’ll need to establish your car’s value for a final settlement.
From government incentives, fuel economy, emissions, and lower insurance premiums, there are a number of reasons to switch from gas-powered vehicles to their alternatives. If your insurer doesn’t recognize such savings, consider switching to an insurer who sees beyond the fog of gas-powered engines!