Everything you need to know about electric car insurance – Forbes Advisor uk

Electric vehicle (EV) sales exploded in 2021, despite an overall decline in new vehicle registrations.

According to the Society of Motor Manufacturers & Traders, nearly 750,000 new electric vehicles were registered last year, almost as many as the number of new gasoline and diesel vehicles. Electric vehicle rental company DriveElectric predicts that an additional 330,000 (minimum) new electric vehicles will be registered in 2022, continuing the upward trend.

With more and more people buying or considering electric vehicles for the first time, more questions about electric vehicle ownership are sure to arise. One example is how auto insurance works for electric vehicles.

Here’s everything you need to know about VE auto insurance.

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Choose from a range of policy options for affordable coverage that’s right for you and your car.

Coverage, cost and claims

Today, the majority of insurers can provide coverage for an EV. From big names like Direct Line and Aviva to small businesses specifically marketed to electric vehicle owners, there are electric vehicle insurance policies everywhere.

And insuring an EV isn’t all that different from insuring a diesel or gasoline vehicle, in that an insurer will look at the likelihood of you making a claim (as well as what a claim could cost them) before setting your premiums. Consequently.

This means that it will look at the value of your vehicle and the auto insurance group it belongs to, your driving and claims history, as well as crime rates in the area where you live.

Is electric car insurance more expensive?

There are a few quirks with electric vehicles that can make them more expensive to insure than internal combustion engine (ICE) vehicles.

For example, spare parts – especially those involved in powering an EV – can be expensive. Insurers pass this on to you in the form of higher premiums.

Electric vehicles also tend to be placed in higher and more expensive auto insurance groups than their ICE vehicle equivalents. An auto insurance group reflects its value, safety and security. The vehicles are divided into a group between 1 and 50, with 1 being the cheapest and 50 the most expensive.

The Nissan Leaf, an electric vehicle, starts from Group 21, while its ICE vehicle equivalents like the Nissan Micra start from Group 1. This disparity can have a big effect on what you will pay for coverage for each. .

Some research has even suggested that because electric vehicles make less noise when running, they are more likely to hit pedestrians because they are harder to hear. In 2015, Guide Dogs claimed that pedestrians were 40% more likely to be struck by an electric vehicle than an ICE vehicle.

Are my battery and charging equipment covered?

Many VE auto insurance policies offer specific coverage for your vehicle’s battery, whether you own or rent it, and your charging device.

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

Some policies, including the AA’s, even provide liability coverage in the event someone trips over your charging cable outside of your property, meaning you won’t have to spend your own. money to defend yourself against any legal claims arising from travel.

What if I run out of battery on the road?

So-called “range anxiety” – the fear that your EV’s battery will drain and leave you stranded miles from the nearest charging station, remains a barrier to widespread adoption of EVs. A survey by carmaker Volvo, for example, found that 58% of consumers cited range anxiety as a barrier to buying an EV.

However, some EV auto insurance policies offer outage coverage, either as part of the policy or as an option, which will tow you to the nearest charging station if your battery drains while you are away from home. at your house.

How to Get the Best Price for EV Auto Insurance

No matter what type of fuel your vehicle is running on, a price comparison website is always the way to go to make sure you get the best price on the coverage you need.

Enter the registration number of your EV, or the number of the one you are considering purchasing, and our auto insurance comparison service will immediately give you information about it, including the fact that it is of an EV or a hybrid.

You can then rest assured that every quote you see is from a company that is happy to insure an EV or hybrid, allowing you to compare them in terms of costs and features.

Keep in mind that the cheapest premium may not provide the level of coverage you are looking for, such as breakdown coverage, individual accident coverage, statutory coverage, or a voluntary deductible level that you would be comfortable paying. to make a claim. .

Compare auto insurance quotes

Choose from a range of policy options for affordable coverage that’s right for you and your car.


About Robert Pierson

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