Posts Tagged Geico

Green Auto Insurance Part 3

Posted by on Tuesday, 9 March, 2010

This is my third article about green auto insurance. Why is this topic so important? Many of my friends have purchased cars such as the Toyota Prius and the Honda Civic Hybrid. People are willing to go out of their way to get a hybrid car as a symbol of their concern about the environment and to have the chance to save some money on their fuel bills. After spending that much effort to get a car that conserves gasoline, they’ll have to make sure that their car is insured. Are you really going to just consider price when you’re buying auto insurance? A little more research and you can find a policy that helps preserve the environment. Of course, greenwashing is always a problem to be considered, so today I am going to look up a few auto insurance companies and find out how green their policies are.

Green auto insurance is important enough that Consumer Watchdog has done some reporting in this area. One of the most visible auto insurance companies is Geico. We’ve all seen the commercials with the Geico gecko, but how green is this company? Got2BeGreen lists five companies as the most green auto insurance companies, State Farm, Progressive, Geico, Allstate, and Esurance. This is a bit surprising considering the policies that other companies have offered, including Better World Company, AAA, and Fireman’s Fund. So I decided to look up Geico and see what I could find. This site, Eco Smart Insurance mentions some of Geico’s green policies. The Geico Auto Repair shops have to take an environmental and safety training program. That’s certainly helpful. Geico sponsors tree planting and wildlife conservation, and has made efforts to reduce its use of waste paper. Steps in the right direction, although the special policies competitors offer including bicycle roadside assistance and discounted hybrid car rentals aren’t mentioned here.

We’ll look up State Farm next, another major insurance company. Eco Smart Insurance lists some of the benefits of their policies. All of the State Farm buildings are Energy Star rated, they have a large alternative fuel vehicle fleet and they power their operations center in Austin Texas on green power. Again, no hybrid car rental discount, it looks like Better World Company is still the leader in that area.

Progressive is also mentioned, so I decided to look them up and find out what kind of green policies they offered. MyRate is a big selling point. The California legislature is implementing pay as you go laws, which tax drivers according to the amount of miles they drive. MyRate gives discounts for cars that are driven less often, allowing people who make less trips and use carpools and public transportation to pay lower premiums for their auto insurance. Drivers do have to plug a device into their car to track mileage, which seems intrusive to me as it records driving speed and frequency as well as total mileage. Should give the actuaries better numbers to crunch, so you can get discounts this way if this is okay with your standards of privacy.