So the price of gas is making you seriously consider purchasing a hybrid car next time around. You're not alone. The cost of gas has a lot of Canadians miffed at the pump and reconsidering their next new vehicle.
There is a lot of buzz about how much hybrid vehicles can save you in gas because of their fuel efficiency, but do savings appear elsewhere, like your insurance rate?
What other costs or savings are there with a hybrid?
Sure, hybrids are marketed as an environmentally-friendly way to save you money when it comes to the cost of gas, but what about other costs? Or better yet, savings? The following is a snapshot of the costs or savings you might find when buying a hybrid.
Hybrid auto insurance
After comparing online quotes at Kanetix.ca for the Toyota Camry Hybrid, Ford Escape Hybrid, and the Honda Civic Hybrid it appears there is no one particular trend when it comes to the insurance rates for hybrids. When compared to their gas-powered alter-egos, the cost to insure a hybrid vehicle was neither consistently higher nor lower.
The good news for hybrid drivers is that some Canadian insurers offer an insurance discount for drivers of hybrids. The fact that this discount is available suggests insurers like the drivers of hybrids as a group and believe they are low-risk.
While fuel efficiency is certainly a bonus in your pocketbook, it typically comes at the expense of a slightly more expensive vehicle compared to the non-hybrid version.
There is a perception that hybrids cost more to maintain. To offset this perception-and to put their money where their mouth is so to speak-some hybrid manufacturers offer warranties that extend beyond the basic coverage on their hybrids. Toyota for example, offers 160,000 km warranty coverage on their Prius and Highlander hybrid-related components. Warranty aside, it's also been reported that a hybrid's regular preventative maintenance costs are comparable to its gas-powered counterpart.
What about incentives from the government to encourage consumers to buy green? On the provincial level, there is good news if you live in Quebec or Prince Edward Island. These two provinces offer a tax rebate or credit (depending on the province) varying from $1,000 to $3,000.
Looking out for future trends
While still relatively new to most drivers, interest in hybrids continues to grow. Auto makers are coming out with more hybrids every year and Canadian consumers are buying them. The Kanetix.ca snapshot of hybrid vehicles shows there is also activity afoot among insurers. Announcements about insurance discounts for hybrid drivers suggests you'll likely see more activity, and hopefully more savings, as insurers and the public learn more about hybrids. We'll keep you posted as changes happen.
Buying a hybrid? Compare quotes
The only way to know if you can save money on your insurance by buying a hybrid car is to compare quotes. Compare hybrid insurance quotes online today to see if you could be saving money on your auto insurance premiums with a fuel-efficient vehicle.
Looking for more on hybrid car trends, fuel efficiency, and auto insurance rates?
Over the years, Kanetix® has compiled a series of articles that you might find of interest:
- Hot hybrids: The 10 most popular hybrids
- Hybrid car popularity soars, but will your auto insurance?
- Fact or fiction? The scoop on hybrid cars and hybrid car myths
- Autos that save you money: In gas and in your auto insurance premiums.
- Gas prices driving you to walk? You don't have to park the car yet.
- Gas prices affecting your choice of vehicle for you next purchase?