As electric vehicle (EV) usage surges in India, thanks to affordable models, expanding charging infrastructure, and growing air quality concerns, one mandatory expense for EV owners is car insurance. Despite government subsidies, every Indian EV must have current car insurance. It’s important to note that EV insurance operates differently from traditional petrol or diesel vehicle insurance. Let’s delve into the specifics of electric vehicle motor insurance.
What Your New Electric Vehicle Requires: A Quick Guide to An Electric Car Insurance Policy
1. Third-Party Premium Is Determined By Battery Capacity
Third-party insurance premiums for electric cars vary based on battery capacity. For EVs with under 30 KW capacity, it’s just Rs. 1,761, while those with 30-65 KW pay Rs. 2,738, and over 65 KW is Rs. 6,707. These rates are notably lower than those for traditional vehicles, thanks to a 15% concession by the IRDAI, encouraging the adoption of eco-friendly electric cars. ##
2. EVs Are Just As Dangerous As ICE Vehicles
Electric vehicles (EVs) are just as dangerous to drive on the road as petrol or diesel vehicles. Due to this, it is crucial to have electric car insurance, and it is essential not to let the fact that these vehicles have lower third-party premiums deceive you. It would help if you chose a comprehensive car insurance policy that covers both your own damage and third-party damage as an owner of an electric vehicle. *
3. The Cost Of Insurance Is Higher For EVs
Third-party insurance is more affordable thanks to the Insurance Regulatory and Development Authority of India (IRDAI’s) 15% concession on EV third-party premiums, but the overall (comprehensive) premium is less affordable. The overall cost of a comprehensive electric vehicle insurance plan for an electric car is marginally higher than that of a petrol/diesel car because electric vehicles are more expensive than their equivalent petrol/diesel siblings. Higher repair costs for EVs, a smaller network of specialised network garages that can repair EVs, and the high cost of battery replacement are additional factors that contribute to higher electric car insurance premiums. You can make use of a car insurance calculator to check your estimated premiums.
4. It’s Crucial To Obtain Flood Damage Protection
Roads that have been flooded are familiar during the Indian monsoon. Electric cars are particularly at risk when driving across flooded roads, especially the battery pack. Since an electric car’s battery is typically located at the lowest point of the vehicle, any underbody damage from wading through water or running into hidden objects could harm the battery. An electric car must have flood damage protection because the battery pack is expensive.
5. Obtaining Zero Dep Insurance Is Essential Due To The High Rate Of Battery Depreciation
The battery pack accounts for almost 40% of an electric car’s overall cost and is also the component that depreciates the most throughout an electric car’s lifespan. If the battery pack of your electric vehicle is damaged, not choosing zero depreciation insurance could leave you with a significant financial hole. You must select a zero-depreciation insurance policy for your electric vehicle. *
*Standard T&C Apply
##All savings are provided by the insurer as per the IRDAI-approved insurance plan. Standard T&C apply
Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms, and conditions, please read the sales brochure/policy wording carefully before concluding a sale.
