Is insurance Really cheaper on an electric car?
No, not usually.
Most of time, electric car insurance costs more than petrol or diesel four wheelers.
But there are ways to reduce your premium. Before buying a electric car insure, First go through below detailed information for your reference.
Contents
📊 Key Points
| Question | Quick Answer |
|---|---|
| Is insurance cheaper on an electric car? | Mostly no, often more expensive. |
| Why is it more expensive? | Repairs, battery cost, fewer garages. |
| Can it be cheaper sometimes? | Yes, depends on model and insurer. |
| How to lower premium? | Compare, claim NCB, install security. |
Let’s break it down.
🔧 Why Electric Car Insurance Is Often More Expensive
1. ⚙️ Expensive Repairs
- EVs have advanced tech and complex parts.
- The battery is the most expensive component.
- Even a minor accident can cost a lot to fix.
- Repair bills are often higher than petrol cars.
2. 🔋 High Battery Replacement Cost
- EV batteries can cost thousands of dollars to replace.
- Insurers include this cost in your premium.
3. 👨🔧 Fewer Certified Repair Centers
- Only selected garages can handle EV repairs.
- This adds to repair time and cost.
- Some insurers write off EVs after small crashes due to high costs.
4. 💸 Higher Car Value
- EVs are usually more expensive to buy.
- Higher car value = higher insurance declared value (IDV).
- That increases the premium.
5. 📈 More Claims
- Studies show EV owners are more likely to file claims.
- This adds risk from the insurer’s point of view.
📉 But EV Insurance Can Be Cheaper (Sometimes)
Some EV owners pay less than they did for their old petrol or diesel car.
Here’s why:
- Newer EVs come with advanced safety features, reducing accident risk.
- Some insurers offer special EV discounts.
- If you have a good driving history, it helps.
Example user reviews (real feedback):
“My EV costs less to insure than my old Skoda.”
“I saved around $25 on my insurance when I switched to an EV.”
“It’s about the same as my petrol car, maybe slightly cheaper.”
🧾 What Affects Electric Car Insurance Rates?
| Factor | Impact on Cost |
|---|---|
| Car Model | Luxury EVs like Tesla = higher premium |
| Battery Cost | Expensive batteries = more risk |
| Driving History | Clean record = discounts possible |
| Location | High-risk areas = higher premium |
| Availability of Service | Fewer EV garages = more expensive claims |
| Policy Type | Comprehensive = more expensive |
💡 Tips to Lower Your EV Insurance Cost
- Compare car insurance quotes online – Check all car insurance website and after that take decision.
- Use No-Claim Bonus (NCB) – This can give you a good discount during buying a car insurance.
- Increase voluntary deductible – This reduces your premium.
- Install anti-theft devices – Many insurers give discounts for this.
- Bundle your insurance – Combine car + home for savings.
- Avoid unnecessary add-ons – Choose what you really need.
❓ Frequently Asked Questions (FAQs)
Q1: Why is electric car insurance more expensive?
Electric car insurance is often higher due to costly repairs, expensive batteries, and limited service centers.
Q2: Is insurance cheaper on an electric car for all models?
No. Some smaller or safer EV models may have lower insurance, while premium EVs like Tesla can be costly.
Q3: Does driving history affect EV insurance?
Yes. A clean record can get you discounts, just like with petrol or diesel cars.
Q4: Are there any special discounts for EV owners?
Some insurers offer green or EV-specific discounts. Always ask your provider.
Use your No Claim Bonus, compare multiple quotes, install anti-theft systems, and avoid unnecessary add-ons.
🏁 Final Words
So, is insurance cheaper on an electric car?
In most cases — NO.
But the story doesn’t end there.
Smart choices, the right model, and safe driving habits can bring your premium down.
Always compare quotes, understand your needs, and choose the right coverage.
