The Car Insurance and Overall Cost of Electric Cars
In 2021, there were more than 6.6 million electric vehicles (EV) sold globally– more than twice the three million sold a year earlier. The number of sales of electric vehicles in 2020 outpaced 2019 by 40%. What made this remarkable was that the 2020 sales growth for electric vehicles happened while the traditional auto industry shrunk by a whopping 16%.
Understanding the costs of managing, repairing, and powering this environmentally friendly transportation option is essential. This includes a solid understanding of how car insurance, developed explicitly for owners/drivers of electric vehicles, may differ from insurance policies for gas-powered cars.
Safety Standards And Car Insurance Repairs
Electric cars have been shown to be equally safe, with most experts agreeing that the extra weight from the battery required to power an electric vehicle helps its safety ratings.
Electric cars damage easier and are more costly to repair than cars powered by a traditional combustion engine. In addition, the parts required to repair an electric vehicle can be challenging to locate, and specialized labor exceeds typical rates. For these (and other) reasons, auto insurance for electric cars and trucks usually results in higher premiums compared to gas powered cars of similar size and cost.
However, when factoring in some of the applicable financial offsets – such as potential tax credits and fuel efficiency, the overall cost of ownership for electric cars is much more affordable than it used to be, and they are becoming more competitive each year (as the sales figures indicate).
The Car Insurance Long Game For Electric Cars
As time passes and more electric vehicles are on the road, the mechanical expertise available will likely cause repair costs to taper off. This could have a positive impact on insurance costs because electric cars will become less expensive to repair and easier to estimate damages. In the meantime, research the options, check for tax credits, and let us help you find the best insurer to protect your investment.