Co-op launches ‘green’ car insurance policy

Co-operative Insurance (CIS) has launched what it claims is the UK’s first green motor insurance product. Its ‘eco-insurance’ policy offers discounts for fuel-efficient cars, an environmentally-sound claims service, and a partial carbon offset for vehicle emissions.

“Whilst many people accept that motoring is a necessary means of transport, many motorists now recognise the environmental impact driving a car has on climate change,” said David Neave, CIS’ director of general insurance. “This product doesn’t just help to offset the carbon emissions at outset, it contributes to the management of the environmental impact throughout the entire journey.”

The policy includes a 10% discount for hybrid petrol and electric vehicles, as well as those with high fuel efficiency, although the exact details have not been finalised, a CIS spokeswoman said.

For each new policy, the company will make a contribution of around £25 ($47) to Climate Care, a voluntary carbon offset company, to offset 20% of the vehicle’s annual emissions.

CIS also requires its approved mechanics to meet certain environmental standards, such as for waste management.

Finally, in common with other CIS customers, eco-insurance customers get the opportunity to shape CIS’ ethical investment policy, via regular surveys.