Insurance Costs for Electric Vehicles Rise Faster Than for Gas-Powered Cars

Electric vehicle insurance premiums have increased by 30% over the past year, driven by higher repair costs despite fewer reported claims.

Insurance premiums for electric vehicles (EVs) have risen by an average of 30% in 2024, compared to a 25% increase for gasoline and diesel cars, according to Verivox data.
Higher repair costs for EVs, averaging 25% more than comparable internal combustion engine vehicles, are a key factor behind the premium hikes.
EV owners report 20% fewer insurance claims than drivers of traditional vehicles, but costly battery and electronic repairs lead to higher overall expenses.
Individual insurance rates vary significantly by model, with some EVs still offering lower premiums than their gas-powered counterparts, though the gap is narrowing.
Consumers are encouraged to compare insurance options and consider switching providers before the December 2 deadline to avoid overpaying.