Insuring an electric vehicle is similar to insuring a regular car. Most insurance companies do not have policies that specifically apply to electric vehicles. Policies will be issued based upon a standard risk assessment process conducted for all potential new customers. Once a customer selects an insurance company to cover their electric vehicle, they will need to choose which policy best suits their individual needs. Before you begin shopping around for insurance, customers should be aware of some of the challenges and benefits involved in insuring electric vehicles so that they make more informed policy choices.
Challenges of Insuring Electric Vehicles
When it comes to insuring an electric vehicle, there is an important factor customers should be aware of as they are trying to find the best insurance plan. Electric vehicles are much newer to the automotive market and require specialized parts, as well as specially-trained mechanics to properly repair them after an accident. As a result of the infancy of the electric vehicle market, parts often are not available locally and will have to be ordered which will cost more money. Additionally, the specialized mechanics required to work on your electric vehicle also will cost more money. Generally, people who purchase electric vehicles do so because they are more environmentally friendly, not because of the cost. However, knowing ahead of time that repairs to the car will be significantly more expensive than with many common gas vehicles allows customers to make a more informed decision not only about which insurance company to choose, but also which plan offered by that company will offer both the best benefits and the most reasonable premiums for their individual needs.
Benefits of Insuring Electric Vehicles
To help promote the use of environmentally-friendly hybrid and electric vehicles, one benefit that customers receive when insuring an electric vehicle is a 10 percent discount on their insurance premiums. This 10 percent discount has become a fairly standard practice throughout the last few years. Customers shopping around for electric vehicle insurance are advised to inquire about the discount even if it is not directly offered; some companies may offer the discount, but choose not to advertise it as prominently as other companies. Beyond this discount for the type of car itself, the best way customers can see extra savings in their premiums is to combine multiple small discounts offered by insurance companies. Some of the most common discounts offered by insurance companies are based on:
Common Discounts Offered By Insurance Companies:
- A person’s age
- past driving record, occupation
- military service
- opting to pay your bill quarterly or annually instead of monthly to reduce fees
- good student discounts
- whether your electric vehicle is equipped with an onboard safety system.
Miles Walker is a freelance writer and blogger who usually compares car insurance deals over at CarinsuranceComparison.Org.
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