Environmentally-friendly vehicles, such as electric and hybrid cars, can offer significant financial benefits to motorists, it has been claimed.
Paul Cosh, managing director of Motorinsurance.co.uk, said that typically most hybrid cars are within the lower tax brands, although car insurance can still depend on a number of factors.
"Generally it is believed that electric and hybrid vehicles offer better fuel consumption, cheaper tax costs, and start in lower insurance bands, therefore reducing the overall running cost of the car," Mr Cosh remarked.
The widespread use of hybrid and electric vehicles may also help to bring repair costs down throughout the market, he added.
Duncan Bowker of Co-operative Insurance called for more manufacturers to produce eco-friendly vehicles to ensure that a greater number of people are able to take advantage of cheaper car insurance
People who choose to "buy with a conscience" can now "insure with a conscience", he added.
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