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Hybrid Car Insurance - A Cheaper Way To Get Car Insurance

We've all heard the buzz term "hybrid car" and many of us are wondering if it's something to get on board with or not. The newest fuel to the craze is that many hybrid car insurance companies will offer a cheaper premium for people looking for hybrid car insurance. This multiplies the savings and makes the proposition much more enticing to consumers looking for hybrid car insurance. These fuel efficient vehicles are the coming trend and we are going to see more and more of them on the road in the next few years. People are getting caught up in fuel efficient vehicles and hybrid car insurance mania and for many good reasons.

You may wonder "what is so great about fuel efficient cars and hybrid car insurance, and how do they work?" Fuel efficient vehicles save fuel by alternating between an electric motor and conventional gasoline engine. The passive energy created in an automobile when it slows down or coasts down a hill is converted to battery stores in a hybrid. Many people still believe that you have to "plug in" your hybrid car overnight, but that isn't true unless you select a plug in model. The gasoline engine acts as a generator to recharge the battery components if they fall below their minimum capacity. Electric power moves the car while it's traveling in the lower mph's. Once you need greater power, the internal combustion engine resumes and you go faster. You can expect to obtain anywhere from 30-60 mpg with hybrid cars. Newer, plug in hybrid cars are coming onto the market which do require connection to the grid for charging and may need different hybrid car insurance. These cars have even greater fuel economy and a new tax break for 2009. Plug ins use the electric engine as the main power source with the combustion engine as the backup. With today's uncertain prices at the pump, often that is reason enough to send customers looking to buy these types of fuel efficient vehicles. Lately, however, there is another push to the hybrid option: cheaper premiums for when people look for hybrid car insurance.

Statistically, hybrid drivers are considered safer on the road and therefore will get cheaper hybrid car insurance. Due to environmental concerns, these drivers tend to drive less than the average miles per year of a random driver. Also, they are regarded as a thoughtful and intelligent group which are less likely to participate in reckless activities. Also, insurers have discovered that these drivers are most often married and middle aged, thus meeting additional low risk criteria. More and more hybrid car insurance companies are recognizing and passing a discount to these drivers. Typically, we are seeing discounts in the range of 10%. When you take into consideration fuel benefits with cheaper hybrid car insurance premiums, these fuel efficient vehicles are a very sound choice for most consumers.

Sales of fuel efficient vehicles, and therefore hybrid car insurance, like sales of traditional vehicles have been suffering with the current economic trends. If you are in a position to purchase a new or used fuel efficient automobile, you couldn't ask for better timing. According to Green Car Congress, U.S. hybrid sales are down 45.5% in April of 2009. Like the housing market, the auto market is a buyer's bonanza, enabling the purchaser to wield deals unheard of in the past. Toyota, for example, is not increasing the price on it's 2010 Prius Hybrid ($22,000) and is debuting a new, less expensive ($21,000) Prius model to compete with Honda's Insight series. Toyota has also announced plans for an even cheaper hybrid based on it's Yaris model which should appear in 2011. All these models will need some form of hybrid car insurance.

Although sales of fuel efficient cars are lagging (as are the sales of conventional automobiles), I don't think we can argue the trend is favorable for these cars. There is a gas incentive, a tax incentive, a green incentive, and a hybrid car insurance incentive. Pick the right hybrid and you will see savings easily in the first year of ownership. Although some tax incentives for fuel efficient vehicles have expired, several models still qualify for 2009, including the Ford Escape (2WD and 4WD),the Mercury Mariner (2WD and 4WD), and the Volkswagen Jetta 2.0L TDI Sedan and SportWagen. Note that some states have additional alternative energy credits for these cars as well. New legislation has been passed for plug-in hybrid tax credits up to $7,500. It pays to know about these tax breaks along with your hybrid car insurance discounts to make the best financial decision.

We are definitely going to see more fuel efficient vehicles on the road in the next few years. So, many more car insurance companies will offer hybrid car insurance and hybrid car insurance discounts. Some analysts feel that the hybrid car insurance benefits we enjoy now will dry up as mainstream America turns to this alternative transportation; the logic being that as the general population buy these vehicles, the distinguishing factors of the present group of drivers cease to exist. Stereotyping is an integral aspect to shaping hybrid car insurance premiums whether we like it or not. However, with hybrids only claiming a 2.65% share of the market in April 2009, it would appear that a glut is a long way off at this point. Price is still daunting in difficult economic times, as hybrids can cost considerably more than strictly internal combustion models. The best advice on that score is to choose your hybrid wisely. Do the math on projected fuel costs, hybrid car insurance factors, tax incentives, and environmental impact before buying your next vehicle. It has to make sense financially and emotionally.

Lastly, if you still aren't swayed by multiple discounts in relation to buying this type of car, what about corporate schemes? Many companies like Bank of America, Google, and Timberland offer their employees subsidies toward the purchase of hybrids. Check with your own employer. Also, EZ pass (Green Pass) in NY and NJ offer a 10% discount on thruways for vehicles getting 45mph and meeting low emissions standards. And, if that isn't enough, several states offer hybrids the right to drive in the car pool lane while some local municipalities will allow free meter parking to hybrids. Towns offering free parking are few and far between, but it's a sweet thought for hybrid drivers.

Check your hybrid car insurance company's rates for this type of vehicle. Cheaper hybrid car insurance premiums are available along with many other money saving programs for hybrid drivers. Make sure that you compare the cost of the hybrid you want with the financial incentives that go with it before you make your final decision. Not all hybrids are created equally, as you will discover if you do your homework. Always compare. A hybrid car not only gets us from "A" to "B", it's an investment in the future and in the world around us. Smart decision, smart car.


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