We explore the complexities of EV car insurance in the UK for you.
Electric Car Insurance: What You Need to Know
Electric vehicle (EV) insurance premiums have dramatically increased, with some now costing double that of ICE vehicles. This rise in costs, attributed to higher repair expenses and a lack of qualified EV technicians, could deter potential EV buyers and slow the shift towards electric transportation.
When it comes to electric car insurance, it’s important to understand that the specifics can differ significantly from traditional petrol or diesel car insurance.
The insurance cost for electric cars can be influenced by several factors, such as the model and value and any new technology. While electric car insurance rates are generally comparable, specific aspects like battery sizes and replacement costs affect the premiums.
The used EV market is currently not as buoyant as expected, affecting the end-of-contract values in PCP deals. This situation impacts the insurance market as well, as insurers recalibrate their risk assessments and premiums.
Cheapest Electric Car Insurance in the UK
If you’re seeking the cheapest electric car insurance in the UK, it’s crucial to shop around and compare electric car insurance quotes. While electric car insurance costs can vary, there are competitive options available.
Some insurers offer specific policies for EVs, which sometimes provide better rates.
The challenge is particularly difficult for those with limited years of No Claims Discount (NCD)and premiums can seem exorbitant. Some suggestions are to consider providers like Direct Line who are often recommended as well as deals with providers like the AA, for multi-car and home insurance.
Parkers are a great source of information regarding the insurance group ratings for electric vehicles. Looking at what we have learned, electric car insurance providers to get quotes from are Direct Line, AXA, The AA, LV, Admiral and Aviva who all provide specific electric vehicle insurance.
Interestingly, there appears to be room for negotiation with insurers. Customers who have called to cancel their policies have sometimes been offered cheaper renewals, suggesting some insurers may be willing to adjust prices to retain customers.
While cashback sites like Quidco can offer savings, there’s a growing concern that some insurers might inflate prices for customers coming through these channels. It’s advisable to compare prices directly on insurers’ websites and through different browsers or devices.
Multi-Car Policies and Negotiations
As the market evolves, it’s wise to explore multi-car policies for households with more than one vehicle. Negotiating with insurers at the end of the PCP terms can also potentially lead to better deals and savings.
Finding Cheap Electric Car Insurance
To find cheap electric car insurance, it’s advisable to compare multiple quotes and consider insurers that specialise in EVs. This can often lead to finding the cheapest electric car insurance that meets your needs without compromising on coverage.
When seeking car insurance on electric cars, it’s beneficial to provide accurate information about your vehicle and driving habits to get the most precise quotes. Comparing quotes from different insurers can give a clear picture of the market and help you find the best deal.
Best Electric Car Insurance in the UK
Identifying the best electric car insurance in the UK involves considering factors such as coverage options, customer service, and value for money.
EV-specific policies might offer additional benefits like coverage for batteries and charging equipment. You can search review sites such as Trustpilot to get an idea of how good the customer service is and any potential issues you may face.
Why is Car Insurance for Electric Cars So Expensive?
Many wonder why electric vehicle car insurance is so expensive. The primary reasons include the higher cost of EVs, the lack of mechanics to repair EVs and the potential extra expense as well as the cost of replacing batteries.
However, as EV technology becomes more widespread, repair costs are decreasing and insurance rates will become more competitive.
Battery and Cable Cover
The battery is the most expensive component and electric car insurance policies emphasise battery protection. This coverage is essential, considering the cost and importance of the battery in the overall functioning and value of the EV.
A good electric car insurance policy will typically include coverage for charging cables too, ensuring that you’re protected against the financial burden of replacing them.
An often overlooked aspect of owning an EV is the potential hazard posed by charging cables, especially when they are used in public spaces. There can be a risk of injury or damage to third parties, like someone tripping over the cable. Electric car insurance policies can provide liability cover for any injuries or damages, offering peace of mind in these scenarios.
Specialised Breakdown Cover for Running Out of Charge
Running out of charge is a unique challenge for EV owners, different from the usual breakdown scenarios. Electric car insurance policies are adapting to include EV breakdown cover.
This cover is designed to assist you if your vehicle runs out of charge. Helping to transport your car to the nearest charging point or providing roadside recharging services.
Electric Courtesy Car Cover
In the event of repairs, EV owners typically prefer not to switch back to Internal Combustion Engine (ICE) vehicles. Recognising this preference, some electric car insurance policies now offer the provision of an electric or hybrid courtesy car.
Strategies for Lowering Insurance Costs on Electric Vehicles
When it comes to insuring your electric vehicle (EV), there are several strategies you can employ to reduce the cost. Here are some tips for all EV drivers looking to save on their car insurance:
- Telematics-based insurance policies, that monitor driving habits, can be a smart choice. Demonstrating safe and responsible driving through these devices can lead to lower insurance premiums for your EV.
- Increase Your Voluntary Excess, This approach means you’re willing to cover a larger portion of any claim, which reduces the financial risks for the insurer. This will lower the upfront costs.
- Storing your EV in a secure location, like a garage, and using approved security systems can lower the risks and reduce your insurance premiums.
- A lower annual mileage typically results in cheaper insurance, as less time on the road equates to a lower risk of accidents, but be sure to accurately report your expected mileage to your insurer as you could invalidate your insurance.
- Completing an advanced driving course can not only make you a safer driver but also signal to insurers that you pose a lower risk.
Remember, the specifics of each policy can vary widely, so it’s important to consider your individual needs and driving habits. You can also read more about keeping your EV safe from thieves in our post here.
Disclaimer:
The information provided in this article regarding electric car insurance is for general informational purposes only and should not be considered professional insurance advice. Insurance policies and coverage can vary significantly depending on the provider and individual circumstances. It’s important to consult with a licensed insurance professional or company to obtain advice tailored to your specific needs and to understand the terms and conditions of any insurance policy before making a decision. The article does not endorse or recommend any specific insurance products or companies.
