Not heard that, but the claims record of some is bad and before you buy you might need to check insurance costs to see if it is worth it. Possibly different makes and models are different so a bit of checking these for cost might be worthwhile.
I have renewed with LV as their price was the lowest that I could find. Here is a link where LV explain why premiums have risen. Nothing is said about what the effect of moving into Allianz ownership has had!
A number of the factors affecting costs are common to other areas of the economy, so it is not too surprising that there have been price increases. When more EV and PHEV hit the roads I wonder what the effect will be on non electric cars as the EV accident claims may skew the pricing structure. Perhaps we might see insurers who only deal with non electric cars, but even they will not be immune from other areas of cost changes such as labour rates, parts, energy paint etc. I had better start using my bicycle more and reduce our annual mileage estimates.
A number of the factors affecting costs are common to other areas of the economy, so it is not too surprising that there have been price increases. When more EV and PHEV hit the roads I wonder what the effect will be on non electric cars as the EV accident claims may skew the pricing structure. Perhaps we might see insurers who only deal with non electric cars, but even they will not be immune from other areas of cost changes such as labour rates, parts, energy paint etc. I had better start using my bicycle more and reduce our annual mileage estimates.
If, or as, EVs have a higher accident repair cost than an equivalent IC car, they'll simply be in a higher ABI Insurance Group - no different to time gone by when the GT version of a popular car would be in a higher group than the L version.I have renewed with LV as their price was the lowest that I could find. Here is a link where LV explain why premiums have risen. Nothing is said about what the effect of moving into Allianz ownership has had!
A number of the factors affecting costs are common to other areas of the economy, so it is not too surprising that there have been price increases. When more EV and PHEV hit the roads I wonder what the effect will be on non electric cars as the EV accident claims may skew the pricing structure. Perhaps we might see insurers who only deal with non electric cars, but even they will not be immune from other areas of cost changes such as labour rates, parts, energy paint etc. I had better start using my bicycle more and reduce our annual mileage estimates.
I don't see the need for any paranoia that EV repair costs are putting up insurance costs for IC cars.
The fact is a number of mainstream traditional motor insurers discovered even with loaded premiums the EV repair costs and the high number of total losses skewed their underwriting philosophy resulting in bottom line losses. Hence their departure from the motor insurance market.
The USA motor insurance market for example are so anti giving EV cover mr Musk has created his own in house EV insurance company. How long it lasts remains to be seenš¤
As Robert says EV claims should not skew ICE premiums as such. The insurers do rate every model individually so if any EV vehicle has a higher claims cost then that model is loaded to cover this. It does miss one point though as where the ICE vehicle is at fault when in collision with an EV the higher claims cost of the EV's claim against the ICE model will filter through in third party costs and push up all premiums.I have renewed with LV as their price was the lowest that I could find. Here is a link where LV explain why premiums have risen. Nothing is said about what the effect of moving into Allianz ownership has had!
A number of the factors affecting costs are common to other areas of the economy, so it is not too surprising that there have been price increases. When more EV and PHEV hit the roads I wonder what the effect will be on non electric cars as the EV accident claims may skew the pricing structure. Perhaps we might see insurers who only deal with non electric cars, but even they will not be immune from other areas of cost changes such as labour rates, parts, energy paint etc. I had better start using my bicycle more and reduce our annual mileage estimates.
Like many of you I have just had a shock with car insurance. I have not had any claims, car locked in garage overnight, low milage etc ,etc premium has gone up from Ā£282 to Ā£486 around Ā£200. I contacted Direct Line and asked if it could be looked into and was told take or leave it so you can guess what I did on principle. Went online for comparison sites and was staggered to get quotes of around Ā£800 I have managed to get insurance down to Ā£405 with Tesco. I also spoke to some brokers and asked why the massive increase E.V's was there answer which I think has been already mentioned.
I have managed to get insurance down to Ā£405 with Tesco. I also spoke to some brokers and asked why the massive increase E.V's was there answer which I think has been already mentioned.
Not quite car insurance, but our caravan insurance increased by Ā£6 taking into account the new price of the same caravan increasing by nearly Ā£3000 or over Ā£16000 from when we purchased new in 2017.
I can't see insurers deciding to only insure ICE vehicles, as in general when an incident occurs, whilst the driver may be in an ICE vehicle, there's an increasing chance the other party will be in an EV, and thus if EV's cost more to repair that will be reflected in claim, so th einsurer wouldn't be able to avoid the costs.
However I pretty certain that as EV's do become more mainstream, repair costs will become better understood, and they might reduce, but I'm not holding my breath as by the time the costs might stabilise or be reduced other costs may have ramped up.
Rays post at #105 covered the same point, which is very valid. So we all pay for going āgreenā ā¹ļø
There is no Insurance Law that says an Insurer must insure āallā vehicles.
Rayās point is very valid that not insuring an EV primarily stills leaves them vulnerable with a TP claim. But not insuring the EV will say halve the exposure.
The escalating repair costs of an EV have clearly skewed the entire body shop repair costs.
Sadly the ICE owners are indirectly paying for itš„.
It will get worse with more Insurers pulling out of the motor insurance market and premiums rising alarmingly.š„š„
Rayās point is very valid that not insuring an EV primarily stills leaves them vulnerable with a TP claim. But not insuring the EV will say halve the exposure.
The escalating repair costs of an EV have clearly skewed the entire body shop repair costs.
Sadly the ICE owners are indirectly paying for itš„.
It will get worse with more Insurers pulling out of the motor insurance market and premiums rising alarmingly.š„š„
Just found an article on line from the Metro which suggests a lot of people are having to deal with huge increases in EV premiums. One cars doubled to Ā£2,000 and quotes went as high as Ā£8,000 or so. It does look as if electric cars premiums are going to be a disincentive and I cannot see hat the government can do anything serious to assist.
Itās not the job if Government to intrude in normal market activities. Itās the job of insurers to decide policy premium rates depending on risks. Thatās how the market works.
The only thing a government can do realistically is to remove tax from the premium. That will not happen.
Insurance tax must be the most invidious tax ever levied. I really dislike paying insurance premium tax when I am being responsible and taking out travel insurance, pet insurance, breakdown cover etc. It came in at 2.5% and now it can be levied at up to 20% on some policies. Looking on the positive side at least VAT is not leviedā¦ā¦ā¦ā¦..just yetš¤š¼
Insurance is just a product, like many others - no logical reason why it was exempt from VAT in the first place.
I believe it was exempt from VAT as under an EU directive it was vat exempt. Hence it gave Chancellor Ken Clarke the opportunity to impose a direct tax on a range of insurance products.
Correctš. In 1994 HMG looking for more income dreamt up IPT , then at 4%. Today I believe we will soon be in the Guinness Book of records as one of the highest ever tax paying Countries is the World.
Rest assured it can only get worseš„
AXA did a study in 2022 that showed electric cars had significantly more at fault accidents (50%) than ICE cars. Investigators researched the data and found it was largely down to driver behaviour and failure to cope with the acceleration. Also given the greater weight of the EV the ICE repair costs were increased too.
The acceleration of many EVs are well in Ferrari territory. My grandsons Tesla Model Y twin motor long range is 4.1 seconds 0-60 mph and some reviews call that ā the slow oneā. It makes his 5 Series PHEV appear positively pedestrian š±
www.brusselstimes.com
The acceleration of many EVs are well in Ferrari territory. My grandsons Tesla Model Y twin motor long range is 4.1 seconds 0-60 mph and some reviews call that ā the slow oneā. It makes his 5 Series PHEV appear positively pedestrian š±
Electric cars involved in more accidents than regular vehicles, study shows
The high number of accidents has actually nothing to do with the technology, but everything to do with the driving behaviour of the drivers.
www.brusselstimes.com
In that case, the higher costs should all be born by EVs, not spread onto IC cars.AXA did a study in 2022 that showed electric cars had significantly more at fault accidents (50%) than ICE cars. Investigators researched the data and found it was largely down to driver behaviour and failure to cope with the acceleration. Also given the greater weight of the EV the ICE repair costs were increased too.
The acceleration of many EVs are well in Ferrari territory. My grandsons Tesla Model Y twin motor long range is 4.1 seconds 0-60 mph and some reviews call that ā the slow oneā. It makes his 5 Series PHEV appear positively pedestrian š±
Electric cars involved in more accidents than regular vehicles, study shows
The high number of accidents has actually nothing to do with the technology, but everything to do with the driving behaviour of the drivers.
I can't understand the trend of almost instant acceleration from cars which aren't high performance supercars - apart from the odd occasion when I drive "like I stole it" I find full-bore acceleration uncomfortable so rarely use full throttle, especially as it gets so quickly up to illegal speeds.
According to VW, my Touareg will do 0-62 mph in 7.3 seconds, which is about 6.6 seconds 0-60 mph - as Rolls-Royce used to say, that's "enough".
From my grandsons (31 yrs) the costs are far higher than his 5 series PHEV so they are being priced according to risk and consequences. Thatās how the insurance market works. But you canāt rule out accidents where an EV is damaged by the iCE. The cost of the EV repair can be more than an equivalent ICE.
AFAIK the insurance industry has blamed the higher cost for EVs as the reason for the huge increases for IC cars - it shouldn't be like that.
Sadly with the increasing value of third party bodily injury claims and what is now demonstrably the ridiculous price of repairing EVs we all pay the price. Rest assured it will get worse as the frugal ICE owner in effect subsidises the repair shortcomings of the EVs.
When the likes of R&SA and Zurich , plus others pull out of motor insurance we should all be worried. The price of Green dare I say tic.
Each model is rated according to its record as far as possible. With more data on EV's their costs are going up faster because the claims data the companies have show they are higher risk. With the limited experience of EV's up to now statistics have not been that easy to work out but the numbers now are enough to show the problem.
Interesting article from an expertš
Electric cars risk becoming uninsurable
Difficulty pricing battery repairs forcing insurers to refuse coverByMattie Brignal, SENIOR MONEY REPORTER20 October 2023 ā¢ 5:00pm
Electric cars risk becoming effectively uninsurable as analysts struggle to put a price on battery repairs, the researcher for the car insurance industry has said.
Jonathan Hewett, chief executive of Thatcham Research, the motor insurersā automotive research centre, said a lack of āinsight and understandingā about the cost of repairing damaged electric car batteries was pushing up premiums and resulting in some providers declining to provide cover altogether.
Electric cars can be particularly expensive to repair, costing around a quarter more to fix on average than a petrol or diesel vehicle. Experts have previously warned electric vehicles are being written off after minor bumps because of the cost and complexity of fixing their batteries.
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Mr Hewett said: āThe challenge is that we have no way of understanding whether the battery has been compromised or damaged in any way.
āThe threat of thermal runaway means that a catastrophic fire can take place if the cells of the battery have been damaged in a collision.
āWhat weāre struggling to understand at the moment is how we approach that diagnostic technique.
āItās like a doctor trying to understand whatās wrong with you without any notes or an X-ray.ā
My son works for JLR as a design engineer, he has just moved from Exhaust system design, ( Thermal and fluid dynamics, not cosmetic) to battery compartment isolation design. We have some very interesting conversations concerning , fossil fuel, electric and hydrogen powered cars and aircraft.
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