“If you have a green car, then you need green car insurance.” Maybe.

I happened up on the idea of “green car insurance” not long ago, and I thought I should share it with all of you. Nearly all the information I’ve found has been the U.K., but it’s interesting. The idea is pretty straight forward: an environmentally-oriented insurance company limits its coverage to green cars, includes carbon offsetting in the cost, and makes you feel good. This U.K. company, The Green Insurance Company, seems to have a good model. They recycle 99% of the company’s recyclable waste, offset the company’s own emissions, and donate 5% of profits to charitable causes.

The question is, do you need an insurance company like that? If the “green” insurance provides all the same coverage, good customer service, and costs the same amount of money as “ungreen” insurance, then the answer is an easy one. Indeed, the U.K. company I read about claims to offer all the environmentally-friendly trimmings without costing you extra. However, if you have to pay a little extra to get that “green” title, then I would be a little skeptical.

Most of you are probably familiar with carbon offsetting. (If not, have a visit to TerraPass.) Buying carbon offsets for a fuel-efficient vehicle costs about $30 for an entire year through TerraPass. So, if you’re willing to pay more than that on the green car insurance, maybe you should just buy your own carbon offsets instead of paying a premium to the insurance agency. It’s not really so simple though; perhaps you simply want to support companies who are making environmentally-sound behavioral choices. If that’s the case, then voting with your dollars is a form of advocacy.

I casually tried to look up the “green” credentials for a few insurance providers, but that information is not often easily found. I want to know how badly Pemco cares about the environment. Or State Farm or Progressive. Until we have something as straight forward as this U.K. insurance company, we’ll just have to wonder about the insurance providers here in the United States.