As electric vehicles (EVs) gain popularity, drivers are enjoying benefits like lower fuel costs and a reduced environmental impact. However, when it comes to car insurance, premiums for electric cars can sometimes be higher due to factors like specialised repair costs and advanced technology.
Fortunately, there are ways EV owners can manage and even reduce their car insurance costs. Here are the top five strategies for electric car owners to save on their insurance premiums.
Choose Models with Lower Repair Costs
One of the primary reasons car insurance can be higher for electric vehicles is the cost of repairs. EVs are often equipped with high-voltage batteries and sophisticated electronic systems, which can be costly to repair or replace. To save on car insurance, consider choosing an electric vehicle model known for reliability and lower repair costs. Brands like Nissan and Hyundai offer EV models that are not only efficient but also have more affordable repair parts, which may translate to lower premiums.
Researching a car’s long-term maintenance costs and insurance rates can pay off in the long run. By selecting a model with a proven track record for reliability, you’ll not only have peace of mind but may also see savings on car insurance premiums.
Look for Green or Eco-Driver Discounts
With growing emphasis on sustainability, some insurers now offer “green” or “eco-friendly” discounts specifically for electric car owners. These discounts recognise that EV drivers are contributing to reduced emissions and environmental conservation.
To find insurers that offer green discounts, use comparison tools like MoneySuperMarket car insurance to see what’s available. Shopping around can help you find policies that reward eco-conscious choices. MoneySuperMarket’s recent auto study supports this trend, as it found that electric cars like the Porsche Taycan and Tesla models not only appeal to environmentally conscious drivers but are perceived positively in other areas of life too. As the study notes, “Electric cars attract an average of 15% more swipes on dating apps, proving that eco-friendly choices are increasingly attractive to others as well.” This growing preference for electric cars reflects a broader shift that insurers are starting to recognise with tailored discounts.
Consider Usage-Based Insurance (UBI)
Usage-Based Insurance (UBI) is a modern option that could save electric car owners money. With UBI, premiums are based on your actual driving habits rather than general risk factors. Using telematics devices or app-based tracking, insurers monitor factors like mileage, braking habits, and speed. EV owners who typically drive less, especially for short commutes or errands, may find UBI an ideal way to cut down on car insurance costs. Since electric cars often attract drivers with lower mileage needs, they’re prime candidates for UBI policies.
Another advantage of UBI is that it rewards safe driving habits, which EV owners may already practise due to their eco-conscious approach. By reducing risky behaviours like harsh braking or high-speed driving, EV drivers can lower their UBI-based premiums and enjoy further savings.
Invest in Advanced Security Features
Security is always a concern, but it becomes even more important with electric vehicles due to their high value and high-tech components. Installing advanced security features such as GPS trackers, dashcams, and immobilisers can deter theft and make your car less risky to insure. Insurers often offer discounts for cars equipped with these features, as they reduce the likelihood of theft or damage.
Given that EVs come with higher upfront costs and advanced technology, having the right security measures in place is especially important. Enhanced security not only gives peace of mind but can also lead to lower premiums as insurers recognize the added protection.
Shop Around Regularly for Competitive Rates
Even after securing an initial car insurance policy, it’s worth re-evaluating your options each year. As the electric car market grows, more insurers are entering the EV insurance space, which means more competitive rates and tailored policies are emerging.
Using a price comparison website like MoneySuperMarket car insurance can help you quickly compare premiums and identify discounts or incentives designed specifically for electric car owners.
The EV insurance landscape is constantly evolving as insurers gain more experience with electric vehicles. By staying updated on available policies and comparing quotes, you may find new opportunities to save on car insurance each renewal period.
Final Thoughts: Embracing the Shift to Electric
Driving an electric vehicle brings numerous benefits, from reduced fuel costs to a smaller carbon footprint. Yet the transition to EVs requires some adjustments when it comes to car insurance. By choosing reliable models, exploring eco-friendly discounts, considering UBI, investing in security, and shopping around regularly, EV owners can ensure they’re not overpaying on car insurance.
The MoneySuperMarket study highlights how the world’s perception of electric vehicles is shifting: not only do EVs appeal to eco-conscious drivers, but they’re also gaining popularity for their modern appeal and low emissions. In many ways, electric cars are becoming symbols of positive change, and as this trend continues, insurers are likely to offer more tailored, affordable options for EV owners. Whether it’s through green discounts or competitive rates, the future of EV car insurance looks promising for those willing to explore all options.
