All the things You Want To Know About Electrical Automobile Insurance – Forbes

Electric vehicle (EV) sales boomed in 2021, despite a general slump in new registrations.

According to the Society of Motor Manufacturers & Traders, nearly 750,000 new electric vehicles were registered last year, which is almost as many as the number of new gasoline and diesel vehicles. EV leasing company DriveElectric predicts that another 330,000 (at least) new electric vehicles will be registered in 2022, continuing the upward trend.

As more people buy or consider electric vehicles for the first time, questions about electric vehicle ownership will inevitably arise. An example of this is how auto insurance works for electric vehicles.

Everything you need to know about electric vehicle insurance is here.

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Coverage, costs and claims

Nowadays, most insurers can insure an electric vehicle. From big names like Direct Line and Aviva to smaller companies specifically marketed to EV owners, EV insurance policies are everywhere.

And insurance for an electric vehicle is not much different from insurance for a diesel or gasoline vehicle in the sense that an insurer weighs up how likely it is to make a claim (and what a claim could cost) before filing a claim. Your premiums accordingly.

This means that the value of your vehicle and the auto insurance group it belongs to will research your driving and damage history, as well as the crime rates in your area of ​​residence.

Is electric car insurance more expensive?

There are some quirks with electric vehicles that can make their insurance more expensive than internal combustion (ICE) vehicles.

For example, replacement parts – especially those needed to power an electric vehicle – can be expensive. The insurers pass this on to you in the form of higher premiums.

Electric vehicles are also usually classified in higher and more expensive motor vehicle insurance groups than their ICE equivalents. A car's insurance group reflects its value, safety, and security. The vehicles are assigned to a group between 1 and 50, with 1 being the cheapest and 50 being the most expensive.

The Nissan Leaf, an electric vehicle, starts in Group 21, while its ICE equivalents like the Nissan Micra start in Group 1. This inequality can have a huge impact on what you pay for any coverage.

Some research has even found that since electric vehicles make less noise when driving, they are more likely to hit pedestrians because they are harder to hear. In 2015, guide dogs stated that an electric vehicle hit pedestrians 40% more often than an ICE vehicle.

Are my batteries and chargers insured?

Many electric vehicle insurance policies offer specific coverage for your vehicle's battery, whether you own or lease it, and your charger.

For example, LV, Admiral and AA protect your battery, charging cable, charger (s) and adapter (s) against accidental damage, fire and theft.

Some policies, including AA, even offer liability insurance in the event that someone outside of your property trips over your charging cable so you don't have to spend your own money to defend yourself against legal claims arising from a trip.

What if I run out of battery on the way?

The so-called "range fear" – the worry that the battery of your electric vehicle will run out and that you will be sitting miles away from the nearest charging station remains an obstacle to the widespread acceptance of electric vehicles. For example, a survey carried out by the car manufacturer Volvo showed that 58% of consumers cited range fears as an obstacle to buying an electric vehicle.

However, some EV auto insurance policies offer breakdown protection that will tow you to your nearest charging station either as part of the policy or as an optional extra in case your battery runs out while you are away.

How to get the best EV car insurance rate

Regardless of the type of fuel your vehicle is running on, a price comparison website is still the way to go to ensure you are getting the best price for the insurance coverage you need.

Enter your EV license plate number or EV number and our car insurance comparison service will instantly pull up information about it – including whether it is an EV or a hybrid.

You can then rest assured that every listing you see is from a company that is happy to insure an EV or hybrid and you can compare them for cost and features.

Remember that the cheapest premium may not provide the coverage you want, e.g.

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Choose from a range of insurance options for affordable coverage that suits you and your car.

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