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NCD News: More Than Car Insurance - 17.05.07

Bookmark and ShareMore Th>n Eco-Friendly Car Insurance Launched: It seems that green-ness is not just something being pushed on drivers from a taxation angle. Last month car insurance giant Royal & Sun Alliance announced the creation of "green car insurance" policies through their More Th>n brand. The move is in response to Tony Blair's WITT (We're in this together) campaign regarding climate change.

So how does it work? You will be provided with a GPS enabled tracking box to place in your car to monitor your usage. It doesn't just track the miles you travel but how you travel as well, with incidents such as idling for long periods of time and taking short journeys that could have been easily walked marked as non-eco-friendly practices. This will obviously result in savings for the insurer also as the box records your speeds, meaning that getting out of claims payments could be easier should they be able to prove dangerous driving on the driver's part. Such reverse angle views are not mentioned by the groups involved with most press coverage stating that the policies are aimed at helping consumers to lower their costs, not just in premiums, but also in wear and tear to the car itself as people will start to drive more sensibly. Backing that up, the Energy Saving Trust have stated that by driving more carefully and avoiding things like sharp acceleration and braking, people can save around £120 a year in fuel costs.

Extra savings can be had if you insuring an "eco-car", a term we're not fond of as the term is used, not to described actual eco-friendly cars, but cars with eco-friendly intentions such as using electric motors or alternative fuels even though many have been proven to use more fuel and/or give out more emissions than their non-eco counterparts. Should the scheme be successful, More Th>n have also promised to pioneer eco-friendly savings to other products such as home insurance for people who choose to reduce their energy consumption and employ other green practices.

To get demand flowing More Th>n have stated there will be only 1000 free boxes issued in the UK over 2007 with no mention of whether charges will be introduced in later years or what those charges might be. † Bookmark and Share

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