Myth: InsurÂance for EVs is more expenÂsive because they are not as safe or reliÂable as gas cars.
Myth BustÂed: EVs are no less safe or less reliÂable than gas cars. EV insurÂance increasÂes slightÂly due to the develÂopÂing technology.
When you purÂchase insurÂance for your new elecÂtric vehiÂcle, you may notice that your preÂmiÂum increasÂes. We’ve had a few quesÂtions in recent weeks from ColÂoradans conÂsidÂerÂing EVs about why that is.
Let me state it now: your car insurÂance does not increase when you own an EV because your car is in any way less safe or less reliÂable comÂpared to your oldÂer gas modÂel car.
Rather, the insurÂance costs increase because EVs are still a fledgÂing indusÂtry and are more expenÂsive to manÂuÂfacÂture comÂpared to interÂnal comÂbusÂtion engines. This means that the cost to repair your elecÂtric vehiÂcle after a colÂliÂsion or othÂer acciÂdent is comÂpaÂraÂbly more. EVs house expenÂsive batÂtery sysÂtems, which can require rare mateÂriÂals or equipÂment design to fix. DealÂerÂships and car repair shops may not have the corÂrect parts or equipÂment on hand to quickÂly fix your EV, so they may need to speÂcial order parts, which increasÂes the cost and increasÂes the wait time for repairs. AddiÂtionÂalÂly, you may be payÂing more to covÂer the cost of the speÂcialÂized mainÂteÂnance or repair techÂniÂcian who has trainÂing with elecÂtric cars. Also, rememÂber that even though your insurÂance preÂmiÂum may be highÂer, you will be savÂing on mainÂteÂnance and fuel costs over the lifeÂtime of the vehiÂcle. Want to learn more about insurÂing elecÂtric vehiÂcles? Check out this Bankrate artiÂcle here.
As well, rememÂber that elecÂtric vehiÂcles are less comÂplex machines, meanÂing there is less that can go wrong in a colÂliÂsion. LikeÂwise, EVs are conÂsisÂtentÂly ratÂed as some of the top cars for safeÂty in the UnitÂed States. EVs have heavÂier chasÂsis which can help preÂvent rollovers and have improved crumÂple zones due the lack of an engine in the hood of the car. If you are lookÂing for a deep dive into EVs and safeÂty, the EV SafeÂty AdvanÂtage Report by CleanÂTechÂniÂca is a great resource. If you’d like to look up the parÂticÂuÂlar safeÂty ratÂings for a modÂel you are interÂestÂed in, check out the NationÂal HighÂway TrafÂfic SafeÂty Administration’s Rating’s dataÂbase here.
While safeÂty recalls do occur (most notably the recall of all Chevy Bolt EVs in 2021), these are rare. Yes, elecÂtric vehiÂcles can catch fire, but they are much less likeÂly to comÂpared to your interÂnal comÂbusÂtion engine. It’s imporÂtant to rememÂber that because EVs are an emergÂing techÂnolÂoÂgy, acciÂdents, fires, and othÂer inciÂdents receive far more media scrutiÂny comÂpared to the munÂdane gas car incidents.
Source 1: HanÂley, Steve. More Than 150 Gas Car Fires Per Day — Can We Please Get SeriÂous About ElecÂtric Car BatÂtery Fires? CleanÂTechÂniÂca. 03 June 2019. https://cleantechnica.com/2019/06/03/500-gas-car-fires-per-day-can-we-please-get-serious-about-electric-car-battery-fires/.
Source 2: Posey, MariÂah. EveryÂthing you need to know about insurÂance an elecÂtric vehiÂcle. Bankrate. 05 August 2021. https://www.bankrate.com/insurance/car/electric-car-insurance/.
Source 3: KBB EdiÂtors. Does it Cost More for ElecÂtric Car InsurÂance? 12 FebÂruÂary 2021. KelÂley Blue Book. https://www.kbb.com/car-advice/is-there-any-difference-in-electric-car-insurance/.
Source 4: ShaÂhan, Zachary. The EV SafeÂty AdvanÂtage. CleanÂTechÂniÂca. July 2018. https://cleantechnica.com/files/2018/07/CleanTechnica-EV-Safety-Advantage-Report.pdf.