Why electric cars cost more to insure - and what's being done about it

Electric vehicles (EVs) typically cost 30% more to repair than petrol or diesel models, leading to insurance premiums that can be 10-25% higher. Thatcham Research, working for the insurance industry, is conducting crash tests to understand why. In one test, a Dacia Spring EV suffered hidden damage to its high-voltage charging port and other integrated components at just 6mph, with repairs estimated at £4,000, likely leading to the car being written off. The issue stems from EV design, where components are integrated and glued together to save weight, making individual repairs difficult and costly. Industry figures stress the importance of making EVs cheaper to insure to boost adoption. Steve Fowler of Carblah notes that while EVs are not as expensive as some think, making them easier to repair is crucial. Dan Harrowell, a principal engineer, explains that the focus on weight reduction leads to integrated systems that must be replaced entirely rather than repaired. Despite surging EV sales in the UK, accounting for nearly one in three new cars in June, concerns over insurance costs remain a potential barrier for buyers.