Rising fuel & pollution prices are driving a lot of people to electric cars. The problem is that even though they may be more economical in the long run, the upfront cost for electric cars is still excessively high for many people.
By choosing the right cover for your electric vehicle, you can avoid out-of-pocket expenses. Similar to the car insurance policy for petrol and diesel vehicles, the EV car insurance policy offers financial protection to your vehicle against liabilities such as accidental damage, fire, natural calamities, and riots, theft of the insured vehicle and third-party injuries or damages to their property.
This article will go over everything you need to know about car insurance for electric cars in order to make an informed decision when it comes time to purchase your own policy. We'll cover topics like what types of coverage are available, how much coverage you should buy, and whether or not you're eligible for a discount.
Benefits of Using Electric Car Insurance:
Owning an electric or hybrid vehicle has more benefits than you might think. Here are a few highlights:
- Energy independence
- Lower environmental impact
- Reduce inhaled emissions
- Extended battery life
- Reduce maintenance expenses
Table of Contents:
What are Electric Vehicles?
Electric vehicles use electric motors to power the vehicle and are refueled with electricity instead of gas. It can also run on a battery, solar energy or an electric generator that converts fuel to electricity.
In India, the electric vehicles category includes:-
- Electric cars
- E-pick up, and
There are around 5 electric car manufacturers in India as of 2020, apart from brands making electric buses, three-wheelers, and two-wheelers. Most of the electric vehicles run on battery, but some work on hybrid technology. Such hybrid cars run on petrol or diesel, with a battery as a backup. But some of the rare variants of these electric cars run on hydrogen-powered electricity.
Electric cars can save you seven times the cost of petrol/diesel that you would need to use a conventional car. In addition, these cars are known for their zero contribution to air pollution as they cause no harmful emissions.
The Advantages of Owning an Electric Vehicle in Terms of Car Insurance:
Owning an electric car has many advantages in terms of car insurance:-
- They are considered safer and less likely to get into accidents.
- This is because they have less moving parts than traditional cars
- They use regenerative braking, which means that when the car slows down it actually charges the battery.
- Furthermore, electric vehicles are cheaper to maintain because there are fewer fluids and no engine oil changes required.
- And lastly, since electric vehicles produce zero emissions, they don't need smog checks or inspections for air pollution.
Why Insurance for Electric Cars?
Here are the advantages of insuring your electric car with a Comprehensive Insurance Policy.
1. Protect Against Third-Party Liabilities
In case of an unfortunate situation where you have caused an injury to a third-party or damaged third-party property, then your insurance policy will cover such liabilities.
2. Avoid Law-Mandated Penalties
As the Comprehensive Plan includes the law-mandated Third-Party Liability Cover, you will be protected against non-compliance penalties concerning car insurance.
3. Avoid Expensive Repair Bills
As the Comprehensive Cover offers Own Damage (OD) cover, it provides coverage for a major part of the repair bill in case of accidents, fire, natural calamities, riots and losses due to theft. This means you do not have to pay an expensive repair bill in case of damages covered by the plan.
4. Get Personal Accident Cover
With the law-mandated Personal Accident cover (PA), you get complete financial compensation against uncertainties such as accidental death, bodily injuries or partial/total disabilities due to an accident. Please note, this has to be bought separately with the Third-Party Insurance Plan or the Comprehensive Plan.
Why is Electric Car Insurance expensive?
As mentioned, premiums for electric car insurance policies are higher than conventional car insurance plans. Below are the reasons behind the high costs associated with electric car insurance:
- Electric cars are expensive to buy
- Electric car parts are expensive
- Batteries have to be replaced
- High labour costs
- Supply chain and infrastructure-related problems.
What is Covered & Not Covered in Electric Car Insurance?
|Injuries to third-party or damages to their property.
||Damages due to reckless driving.
| Accidental death or injury of the owner-driver.
||Damages due to electrical/mechanical failure.
|Losses due to the theft of the vehicle.
||Driving the EV without a valid driving license.
|Damages to your car in an accident.
||Damages due to regular wear and tear.
|Natural disasters such as earthquakes, floods, storms, etc.
||Driving your EV under the influence of alcohol or other intoxicating substances.
|Damages to the car in fire or explosion.
|Man-made disasters such as riots, vandalism, etc.
How to Raise a Claim under Electric Car Insurance?
With an electric vehicle insurance plan, you should be covered if anything unexpected happens to your car, just like with any other type of car insurance. In order to get a claim for the damage, you should know how to raise one. Follow the steps mentioned below:
- Inform your insurance company
- Take pictures of the incident
- Keep documents ready
- Compensation to the accident.
There are two ways to make an insurance claim for your electric car:
- Register the claim and notify the insurance company. You can reach them by calling their toll-free number or going to their website.
- Repair your car at a network garage near you.
- Please submit all required documentation.
- Your insurance will settle the claim directly with the network garage once the documentation has been validated.
- Notify the EV car insurance company of the damage.
- If your car is damaged by a third party or stolen, file a police report and provide a copy of it together with additional papers.
- At your own expense, have your car repaired at any nearby garage.
- Send the insurer the original bills as well as the payment receipt.
- Your claim amount is refunded once the documents are validated.
How much is the Cost of Car Insurance for Electric Cars?
The pricing of all electric car insurance policies is based on the cost of the vehicle, apart from other criteria such as location, the variant of the model and age of the EV. For more details, you can check the car insurance premium calculator to calculate the insurance cost for electric vehicles.
|VEHICLE TYPE (BATTERY POWER)
||PREMIUM FOR 1-YEAR POLICY
||PREMIUM FOR 3-YEAR POLICY
|Less Than 30 kW
|More Than 30 kW Less Than 65 kW
|More Than 65 kW
Factors Affecting Electric Car Insurance Premiums:
Here are some of the most important factors that influence your electric car insurance premiums:
- Year and Model of Your Car
- Frequency of Claims
- Coverage Offered
- Anti-Theft Devices.
Types of Electric Car Insurance Plans:
There are two different types of electric car insurance plans available, just like any other car.
Third party plan:
The Motor Vehicles Act of 1988 mandates that you insure your electric vehicle with this insurance. You will be covered under this plan for any liability stemming from third-party injury or property damage caused by your electric car. This plan third party car insurance does not cover your vehicle if it is damaged in an accident.
For your electric vehicle, this is an excellent automobile insurance policy. It provides coverage for both third-party and own-damage claims. If your vehicle is destroyed as a result of riots, vandalism, natural disasters, etc., you will be covered under comprehensive car insurance plan.
Add-ons/Riders for Electric Car Insurance:
Here is a list of useful add-on covers you can purchase on top of your electric vehicle insurance plan:
Zero Depreciation Cover: Zero depreciation cover add-on for your electric car ensures that the insurance claim amount is settled at the full market price of your car without any deductions for depreciation.
Personal Accident Cover: If you sustain any injuries as a result of an accident involving your electric car, this Personal Accident Cover in Car Insurance will cover the cost of treatment for those injuries.
Return to Invoice: In the event of theft or total damage to the car, this add-on will help you recover the entire cost of the electric vehicle as mentioned on the invoice without any reductions whatsoever.
Round-the-Clock Spot Assistance: This add-on ensures that you receive timely car assistance on the spot if you ever get stranded in the middle of the road.
How to Buy Car Insurance for Electric Cars Online?
Car insurance for electric cars old can be purchased online from PolicyBachat portal in two easy steps. In first step you need to enter the details of your car such as Make, Model, Date of registration, RTO location and click on submit to proceed to the next page.
In the second step you can adjust the IDV or add riders to increase the coverage. The third and final step would be the payment where you will be directed to payment page of the insurance company to complete the payment process.
At PolicyBachat we cater unbiased comparison of quotes, 24*7 customer assistance team your motive is to give our customers right quotes with compare car insurance rates online.
- Go to compare car insurance quotes online at PolicyBachat.com
- Fill in required details select your Car Model & Variant, RTO Location, Registration date, and Email address.
- Click on the “START SAVING MONEY”.
- Choose between a Third-Party Liability Only and a Standard Package (Comprehensive Insurance).
- Premiums with different insurance companies are displayed with low premiums
- Select required Add-ons/Riders and discounts, or you can Edit Policy Details as per your requirement
- After that fill in the ‘vehicle owner details and personal details’.
- Purchase best Car Insurance Policy using online payment
- If any queries are raised call: 1800–123–4003.
How to Renew Car Insurance for Electric Cars Online?
Car insurance for electric cars insurance can be renewed online by visiting the website PolicyBachat first and then selecting a suitable insurance company. It’s worth noting that each insurance company’s renewal process may differ slightly. The following is a step-by-step guide to renewing an insurance policy online:
- Step 1: log in to PolicyBachat.
- Step 2: Choose a policy that is about to expire or has already expired.
- Step 3: Select the coverage you require and click “Renew.”
- Step 4: Read the insurance policy’s inclusions and exclusions, as well as the terms and conditions. Also, make sure to read the small print.
- Step 5: Pay for the policy and receive it at your registered email address.
Car Insurance queries about Electric Cars:
Can Car Insurance Be Claimed For Electrical Components?
Yes, car insurance for electrical components covered under this electric car insurance with Top providers in India. Compare quotes and buy best car insurance policy with electrical and mechanical components add-on at PolicyBachat.
Can I Insure My Electric Vehicle In India?
Yes, you can insure electric vehicles in India. New-generation, eco-friendly vehicles, like electric vehicles and CNG powered cars, must also be insured. For coverage against damages to your EV, you can opt for the Comprehensive Insurance Plan that comes bundled with Third-Party Insurance and Own Damage cover.
Do Electrical Vehicles Cost More To Insure?
Generally, electric cars are more costly to insure than conventional vehicles. Because electric vehicles are pricier to both buy and repair, insurance providers charge their drivers more for coverage. That said, the savings you earn on gas and tax incentives might more than make up for your policy’s extra cost.
Does electric vehicle insurance cost more than insurance for petrol or diesel vehicles?
Generally, one factor that goes into calculating car insurance is the cost of the vehicle. When comparing electric vehicles to conventional petrol and diesel ones, they're usually slightly more expensive: the initial price is slightly higher, as well as the cost of repairing and replacing parts. However, due to the fact that they use up much less fuel at a time (even with regards to electricity) their total lifetime costs are often lower than those for fuel-based cars.
Although the cost of buying electric car insurance is on the higher side, there are many advantages to purchasing an electric car. Some of them include low maintenance charges, freedom from fuel price hikes, and reduced pollution levels.
An electric car insurance policy will provide you with financial support and protection in the event of an accident. It also provides protection against liability arising from the death, injury, or damage to other people or property as a result of the accident. If you are yet to secure your electric car with the right EV insurance, choose your preferred plan online today.