Why Electric Cars Cost More to Insure

Electric car insurance costs more than petrol car insurance because EVs carry expensive battery packs, require specialist repair technicians, and have limited…

General Motors EV1 Forces Insurers to Price an Unprecedented Risk

When General Motors launched the EV1 as a lease-only vehicle in California in 1996, insurers faced a vehicle with no historical claims data, a novel battery chemistry, a…

Tesla Roadster Enters Market and Exposes the High-Value EV Insurance Problem

Tesla's Roadster, priced at approximately $109,000, carried a lithium-ion battery pack that early adopters and insurers quickly discovered was prohibitively expensive to…

Nissan Leaf Mass-Market Sales Generate First Meaningful EV Claims Dataset

By 2012, Nissan had sold over 50,000 Leaf units globally, giving actuaries their first statistically significant claims sample from a mass-market EV. Data compiled by th…

India Launches FAME Scheme, Triggering Domestic EV Growth and Insurance Gaps

The Government of India launched the Faster Adoption and Manufacturing of Electric Vehicles (FAME) scheme in April 2016, offering subsidies on electric two-wheelers and…

Global EV Battery Fire Incidents Push Insurers to Reassess Total-Loss Thresholds

Between 2018 and 2019, a cluster of high-profile EV battery fire incidents — involving Tesla Model S vehicles in the US, a Hyundai Kona Electric in South Korea, and Tata…

IRDAI Launches Regulatory Sandbox to Pilot New EV Insurance Products in India

In 2021, IRDAI activated a regulatory sandbox framework — first announced in 2019 — that allowed insurers to pilot innovative products outside standard tariff rules for…

Mitchell and Thatcham Publish Data Showing EV Repairs Cost 25.5% More Than ICE

In 2022, Mitchell International and Thatcham Research published updated claims cost analyses that gave insurers globally the clearest picture yet of the EV premium gap.…

Tata Motors Bundles Insurance with Nexon EV, Reshaping India's EV Cover Market

Tata Motors, which commands over 70% of India's passenger EV market, began bundling comprehensive insurance through its in-house financial services arm Tata AIG and deal…

UK Treasury Committee Investigates Soaring EV Insurance Premiums Threatening Ne…

As UK EV insurance premiums rose by an average of 72% between 2022 and 2023 — outpacing even the broader insurance market's inflation — the Treasury Select Committee ope…

Global Lithium-Ion Battery Pack Prices Fall Below $140/kWh, Altering Insurance…

BloombergNEF's 2024 Battery Price Survey recorded average lithium-ion battery pack prices at $139/kWh — a 14% decline from 2023 and an 89% fall from the 2010 level of $1…

IRDAI Issues Draft EV-Specific Motor Insurance Guidelines for Public Comment

As of early 2025, IRDAI released draft guidelines aimed at standardising electric car insurance products across Indian general insurers, addressing the patchwork of cove…