Electrical Car Insurance
India’s automobile sector was ranked as the fourth largest in the world in 2022 and accounts for around 6.4% of the country’s GDP. However, rising noise and high fuel costs are the industry’s biggest problems. In many Indian areas, fuel costs above Rs 100 per litre.
Electric vehicles are the only way to safeguard your wallet from increasing gasoline prices and costly ICE vehicle maintenance costs. Yes! EVs are affordable, have no carbon emissions, and don’t need expensive maintenance.
Congratulations, you are in a win-win situation if you already own an electric vehicle. It is important to confirm whether you have protection for your electric mobility because you have already insured yourself by purchasing an EV and saving money on gasoline and maintenance.
Why insurance is crucial for Indian electric vehicles
Your electric vehicle will be protected if you have insurance against unintentional damage, in-transit damages, natural disasters, man-made disasters, etc. A private accident cover that guards against unintentional harm or death is also provided to the operator of the insured vehicle.
Why is insurance for electric vehicles so expensive?
Insurance serves as a kind of financial protection against both liability and physical harm brought on by auto accidents. Insurance for electric vehicles is more expensive than for ICE vehicles. it is The cost of replacing the battery in an EV is considerable due to the batteries technology utilized, and as a result, the insurance premium is more than it would be for an ICE vehicle.
Why Are Electric Car Insurance Premiums Higher?
Electric car insurance costs are higher for a number of reasons.
- Due to their small weight, electric automobiles are more likely to crash and do more damage.
- An expensive battery that has an expiration date powers an electric automobile, so the owner must replace it before it stops functioning correctly.
- Because of the high level of technology, maintenance and labor costs are considerable.
In comparison to other autos, the premium costs have been set at a 15% savings.
Benefits of Purchasing a Coverage for Your Powered Cars
EV Insurance’s Pros and Cons
- In the unfortunate event that you hurt a third person or damage their property, your insurance will take care of these obligations.
- In the event of fires, natural disasters, riots, and theft-related losses, the insurance provider will typically cover a significant portion of the repair costs. This implies that in the event of damage, you won’t have to foot a high repair fee.
- You will receive full financial compensation in the event of any unforeseen circumstances, including accidental death, physical injuries, or partial or whole impairments as a result of an accident.
The drawbacks of having electric vehicle insurance
Due to the advanced technologies used, electric car prices are greater than those of conventional ICE vehicles. Additionally, because electric vehicles have a higher Insured Declared Value (IDV), their insurance costs are also higher.
The cost of the car’s numerous parts is high. The electric car’s battery, which makes up more than 60% of its value, is the most costly of them all. The car’s battery has an expiration date, and since it can be expensive to repair or replace these parts, the owner usually changes the battery before it stops functioning properly, which raises the cost of car insurance.