SAVINGS
Protections
Insurance for your electric car
The fuel source doesn’t increase premiums, but expensive parts and repairs will.
Insuring a zero-emission car is quite similar to that of any other type of car. We wouldn’t treat the car any differently. Whether the premiums are higher depends largely on the model of the car, not its fuel source. The more expensive a vehicle is to replace, the more expensive it is generally to insure. Electric vehicle batteries, for example, are expensive to replace in the event of a collision. Their repair may also require more specialized services. As a result, you may pay a slightly higher premium. What we highly recommend to all of our customers is to get an insurance quote from their auto insurance broker before purchasing a vehicle, to ensure that the customer has budgeted for the cost of the new vehicle as well as the cost of their insurance. If the customer can get the VIN of the vehicle they are considering insuring, the broker can provide a more accurate quote, rather than relying solely on the year, make and model.”
Does it cost more to insure an electric or hybrid vehicle?
Zero-emission vehicles (ZEVs) have become popular options. According to Statistics Canada, more than 65,253 hybrid electric cars were registered in 2021, and the data is only for the first nine months. According to a 2021 KPMG survey, seven out of ten Canadians who plan to buy a new car in the next five years are likely to buy an electric or hybrid vehicle.
With the rise in interest in zero-emission vehicles comes an increase in demand for EV auto insurance. In July of this year, Assur360 saw a 115% year-over-year increase in the number of drivers searching for electric vehicle car insurance quotes on its website. With the generous incentives offered in Quebec, it’s no surprise that more and more people are looking for a green car.
How to save money by insuring a hybrid or electric vehicle?
In fact, there is nothing different that the consumer needs to know, except perhaps whether they are getting an additional discount because they own a hybrid or electric vehicle. Some Assur360 insurers offer “green vehicle” discounts on car insurance for electric or hybrid cars. You do not have to fill out any special documents to be eligible as soon as the insurance broker enters your vehicle identification number, the discount is automatically applied. If you’re buying a zero-emission vehicle (or any other vehicle, for that matter), be sure to compare insurance to get the lowest possible rate.
How to insure an electric or hybrid vehicle?
Many people choose to buy a hybrid-electric vehicle, as the standard versions do not need to be charged and therefore do not require the necessary infrastructure for an electric vehicle. Instead, they recharge through what’s known as regenerative braking when you brake or coast, a generator stores electricity for later use.
Whether you opt for a hybrid or a fully electric vehicle, there will be no impact on your insurance reduction. Insurance companies make it clear that the discount applies to all zero-emission vehicles, which includes hybrid and electric cars in general.
Assur360 is a free website and independent property and casualty insurance brokerage that allows Canadians to compare rates from multiple providers for various financial products, such as auto and home, boat, and commercial insurance.
