With Global Warming on the increase more British motorists are looking for ways in which to do their part. From eco cars to vegetable based fuels.

Warranty Direct, the leading automotive warranty provider, has launched the Green Warranty (www.greenwarranty.co.uk) to support motorists of Low CO2 emitting vehicles and those looking to off-set their carbon footprint.

Under the scheme, customers receive a discount off the normal price of cover based on the Road Fund Licence Tax Band of their vehicle. They will also off-set the carbon footprint of their vehicle, and sign up to the firm’s “Driving Greener Charter” of tips on improving fuel efficiency and reducing emissions.

For every tonne of carbon offset, Warranty Direct will contribute £10 to the Carbon Footprintä UK Tree Planting project*.

Owners of models in the lowest emitting Tax Bands A and B of less than 120g/km will receive a 25 percent discount off the normal price of their chosen level of warranty cover. Those in Groups C and D – 121g/km to 165g/km – get a 10 percent discount, and Group E (166-185 g/km) 5 percent.

Although higher polluting vehicles in Group F and G, over 186g/km and 226g/km respectively, will not be eligible for discounts, they can still opt for the Green Warranty by signing the ‘Driving Greener Charter’ and off-setting their annual carbon footprint.

The offset contribution is calculated by multiplying estimated annual mileage by the average carbon emissions for the vehicle’s Tax Band**.

For example, a MINI One produces Tax Band C emissions of 128g/km, or approximately 2.3 tonnes of Carbon Dioxide for every 10,000 miles travelled. With a Green Warranty, the Company’s ExtraCare cover would cost £237.09 and include a £23.69 carbon offset contribution to the Carbon Footprint UK Tree Planting project.

The “Driving Greener Charter” is a pledge to try wherever possible to reduce CO2 emissions by driving in a more environmentally friendly way. The latest awareness campaign by the EU estimates that the average driver can cut fuel consumption by up to 30 percent by adopting simple ‘eco-driving’ techniques.

And with underinflated tyres costing the British motorist an estimated £1.2bn in additional fuel***, every Green Warranty customer will receive a digital tyre pressure gauge.

Explaining the motivation behind the Green Warranty, Duncan McClure Fisher of Warranty Direct explains: “We wanted to incentivise those who had consciously bought more environmentally friendly cars with a discount and at the same time allow them to off-set their carbon footprint.”

The level of cover available with the Green Warranty is the same as a normal policy and includes Warranty Direct’s industry firsts of cover for faults discovered during MoT and Service, plus Consequential Loss and Wear & Tear protection.

Visit www.greenwarranty.co.uk or call 0800 731 7001 for a quote.

Tips to keep your car insurance costs down

Whether you have convictions for using your mobile or speeding or not, there are plenty of ways to drive down the cost of car insurance.

Shop around
Use an internet-based comparison service such as Confused.com or moneysupermarket.com to compare quotes but bear in mind that some insurers such as Direct Line aren’t featured by comparison services so get a quote from them too.

Don’t accept your renewal quote
When it’s time to renew your car insurance your current insurer will send you a renewal quote. In many cases this will be more expensive than the cheapest quotes from rival insurers – firms tend to rely on consumer apathy and hope you will simply accept their price. Don’t do this – instead get some other quotes and ask your insurer to match or beat them.

Pay upfront
When you have found a good deal try to pay for it in one go, rather than by monthly direct debit. If you pay monthly most insurers charge you extra for the privilege of spreading your payments.

Up your excess
If you’re prepared to pay a higher excess on your policy, you may also be able to enjoy cheaper premiums. The excess is the amount you will have to pay in the event of a claim, before the insurance kicks in and pays the rest.

Drive carefully
Not causing any accidents or making any claims will earn you a no claims bonus which will qualify you for discounts on future premiums. The no claims discount can be transferred between insurance companies and you could get up to 75% discount on typical prices if you manage to stay claim-free for five years.

Tips to cut the cost of driving

Drivers can also cut costs in other areas such as car finance, road tax and fuel. If you’re buying a new or second hand car it also pays to haggle over the price.

According to Sainsbury’s Bank, British motorists can save an average of £1,468 off the price of a new car if they are prepared to negotiate on the price. It’s also wise not to accept the finance package offered by a car dealership and shop around for a personal loan instead.

According to price comparison site uSwitch.com the average car dealership finance is at an APR of 10.17% - 2.77% higher than the cheapest unsecured personal loan available at 7.4% APR.

Time to think tax
When choosing a new car bear in mind how much road tax you will have to pay. In this year’s budget Alistair Darling announced that from 2009/10 there will be six new VED (vehicle excise duty) bands including a top band for cars emitting more than 255g of carbon dioxide per kilometre. These cars will pay an increased VED rate of £425. But greener cars, emitting 150g or less per kilometre, will pay less.

Finally, make sure you shop around for the cheapest fuel. Website Petrolprices.com allows users to enter their postcode and then lists the cheapest petrol stations in their area. The difference between the cheapest and most expensive fuel can be up to 15p/litre - £6 every time you fill up a 40 litre tank.

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