Car Insurance: Petrol Prices not Having an Effect on Drivers

Petrol is now at a record high, with unleaded and Diesel prices breaking the 100 pence barrier recently. As you can imagine this has caused a lot of grumbling from motor vehicle owners. But this grumbling seems to not have persuaded drivers to ditch the car and get the bus instead.

Many believe the rise in fuel tax has been an unnecessary penalty on car drivers. Tax at the end of 2007 was as high as 56.94 pence per litre for conventional Diesel with Unleaded at 53.65, however prices have since risen above one pound per litre and it doesn’t look like dropping too soon.

A study by insurers eSure, has revealed that in order for car owners to ditch their cars in favour of public transport, prices would have to be double what they are presently. The whole situation has arisen from government commitments to becoming more eco-friendly which has seen an increase in tax on cars.

The problem it has to overcome is that 37% of motorists would not change their car for a more fuel efficient model in the next three years. The car insurance firm also found that as many as a third of drivers do not pay attention to where fuel is cheapest in their area and don’t have any intention of travelling further a field to get it.

There are other contributing factors towards petrol prices rising, conflict in the Middle East which is a major source of crude oil has seen the price on crude alone shoot up. The weakness of the dollar (the currency which oil is traded in) has also had an effect too.

car insurance experts are saying that in order to help minimize the money spent on fuel you should drive safely and not excessively. Cutting out any unnecessary hard braking or accelerating can also help let that fuel last a bit longer.

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