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Electric cars can cost more to insure, but the story is more complicated than that

In the excitement of buying a new car, few of us consider the cost to insure it. But with the transition to Electric Vehicles well under way, those purchasing a new EV may be facing a higher insurance bill than they had with a traditional gasoline-powered car.

So why is that? Generally, more-expensive vehicles are more expensive to cover, and most EVs  right now tend to have steeper price tags. 

Secondly, EV batteries  are  costly, and high in value. And finally, EVs might have less mechanical parts than an internal combustion engine vehicle, but they're chock-full of expensive electronic components and sensors.

On the positive side, even though EV insurance and upfront costs look more than with a gas-powered car, drivers could see substantial fuel and maintenance costs-savings from going electric. They also come with lower repair and tire costs. 

One AAA estimate suggests owning an EV costs 60 cents per mile, compared with 75 cents per mile for a medium SUV and 69 cents for a medium sedan.

Read the full story

Electric cars have a lot of similarities to gas-powered cars, but they also bring some distinct differences. Right now, new EVs cost more on average. They have powerful batteries. And they're more electronic than ever. All of those factors could play a role in an EV owner's insurance policy.

Tags

electric vehicle, car, driving, insurance, automotive, english, highlight

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