INTRODUCTION
As with petrol or diesel vehicle insurance, when it comes to EV insurance, there are several options available.
Whether you already own an EV, or you’re thinking about switching to EV, choosing the right electric car insurance requires careful consideration.
HOW IS INSURANCE FOR ELECTRIC CARS DIFFERENT FROM OTHER TYPES OF CAR INSURANCE?
Although most large insurance providers offer insurance for electric cars, some do not. So, it is important to check if your preferred provider offers the type of cover you need.
EV insurance works in the same way as petrol or diesel vehicle insurance, with some added features designed to help protect your EV, such as cover for your charging equipment and battery.
WHAT ARE THE DIFFERENT TYPES OF EV INSURANCE AND WHAT DO THEY COVER?
Most EV insurance providers will offer three levels of cover;
- Third party cover – this is the minimum legal level of insurance, only covering claims made by other people, such as those who might be involved in an accident with you. It doesn’t cover damage to your car or any medical bills you may have if you get into an accident.
- Third party, fire and theft – one step up from third party cover, third party, fire and theft cover protects you against the cost of any damage or injury you may cause to another person or their vehicle. It will also protect you if your vehicle is damaged in a fire or stolen.
- Fully comprehensive cover – the top level recommended for drivers; fully comprehensive plans cover damage to your car in many scenarios, such as accidents, vandalism or natural disasters such as flood and storms.
Many fully comprehensive policies also assist with medical costs if you are injured in an accident, and compensation if personal possessions are damaged or stolen
- Add Ons – some insurers will also offer additional features to their EV insurance, such as out-of-charge recovery, charging cable and wallbox cover, and protection for any injury or damage caused by charging cables, such as someone tripping on your cable.
HOW MUCH DOES ELECTRIC CAR INSURANCE COST?
The amount you pay for your EV insurance will depend on your provider and the type of cover you opt for. Generally, insurance for electric cars can be more expensive than that of petrol and diesel cars, but this gap is slowly closing as more drivers are going electric and EV insurance becomes more popular.
According to Nimble Fins, the average yearly cost to insure an EV in the UK is £654 (based on the current most popular electric models).
If you are considering switching to EV, you should consider the overall cost involved in owning and running your vehicle. Although you may be paying more for your insurance, EV running costs are typically lower than that of a petrol or diesel vehicle. This is because the cost of charging your car is often lower than the cost of fuel, and EV maintenance costs are often lower, as batteries contain fewer moving parts than ICE engines, meaning there is less that can go wrong and need expensive repairs.
WHAT FACTORS AFFECT THE COST OF ELECTRIC CAR INSURANCE?
As with all types of car insurance, there are lots of factors that will impact the amount you pay for your EV insurance, for example:
- The model and value of your car – more expensive vehicles will cost more to insure, as providers will need to factor in the potential cost to them if you make a claim. For example, it will be more expensive to replace parts for a higher value car. The overall risk profile of your vehicle will also be factored into your insurance cost.
- Your driver profile – your age, gender and how long you have been driving will also affect your insurance quote- unsurprisingly- with younger, newer drivers typically paying more.
- Milage – the more often you drive your car, statistically, the more likely you are to get into an accident and need to make a claim. Therefore, frequent drivers may end up paying more for their EV insurance.
- Where you store your car – cars that are stored on driveways or in garages may have lower insurance costs as they are less likely to be damaged or stolen than cars left on streets or in public places.
- Your location – certain location factors will also play a role in your insurance prices, for example, areas with high crime rates, busy cities or areas prone to flooding may result in higher rates.
- Your driving history – previous claims, speeding tickets, and any other negative marks on your driving history will result in higher insurance costs.
THINKING OF MAKING THE SWITCH?
Whether you’re a business or an individual, if you’re thinking about switching to electric transport, we can help. At Yü Charge, we offer professional EV charger installation services, as well as a range of free EV guides to help you get to grips with your new vehicle.