What Your New Electric Vehicle Needs A Quick Guide to An Electric Car Insurance Policy

In India, the use of electric vehicles is increasing every day. Many people are choosing electric vehicles because of the new, extremely affordable models, the rapidly expanding charging infrastructure, and the rising air quality concerns in Indian cities.

There are some mandatory fees even though the federal and state governments of India provide attractive subsidies for electric vehicles. Car insurance is one such cost. Every electric vehicle sold in India must be roadworthy and have a current auto insurance coverage.

There are significant variations between the way an insurance policy for a car with a gasoline or diesel engine operates and the way an insurance policy for an electric vehicle operates. Let's delve deeper into the auto insurance details for your electric vehicle that nobody tells you.

Third-party premium is determined by battery size.

While third-party premiums for the majority of petrol and diesel-powered cars are typically the same, they differ for electric cars depending on battery capacity. You wind up paying less for third-party insurance if your electric car has a lower battery capacity. Therefore, third party insurance costs just Rs. 1,761 for an electric vehicle with a battery size under 30 KW. A third-party insurance price for electric vehicles with batteries between 30 and 65 KW is Rs. 2,738, while a third-party insurance premium for electric vehicles with batteries over 65 KW is Rs. 6,707. Notably, third-party insurance rates for electric vehicles are lower than those for traditional vehicles. To encourage the use of environmentally friendly EVs, the Insurance Regulatory and Development Authority of India (IRDAI) has introduced third-party vehicle insurance rates for EVs at a 15% discount.

EVs are just as dangerous as Immigration and Customs Enforcement (ICE) vehicles.

Electric vehicles (EVs) are just as dangerous to drive on the road as gasoline or petroleum vehicles. Due to this, it is crucial to have electric car insurance, and it is essential to not let the fact that these vehicles have lower third-party premiums deceive you. It is crucial that you choose a "Comprehensive auto insurance" policy that includes both your damage and third-party damage as an owner of an electric vehicle.

The cost of insurance is greater for EVs.

Third-party insurance is more affordable thanks to the IRDAI's 15% discount on Electric Vehicle (EV) third-party premiums, but the total (comprehensive) premium is not as affordable. The total cost of a comprehensive insurance plan for an electric car is marginally higher than that of a petrol/diesel car because electric cars are more expensive than their comparable petrol/diesel counterparts. Higher repair costs for EVs, a smaller network of specialized garages that can repair EVs, and also the high cost of battery replacement are additional factors that contribute to higher electric vehicle insurance premiums.

It's crucial to obtain flood damage security.

Roads that have been flooded are typical during the Indian monsoon. Electric cars are particularly in danger when driving across flooded roads, especially the battery pack. Since the battery of an electric car is typically located at the lowest point of the car, any underbody damage from wading through water or running into hidden objects could possibly harm the battery. It's crucial for an electric vehicle to have flood damage protection because the battery pack is horribly expensive.

Obtaining zero-dep insurance is essential due to the high rate of battery degradation.

The battery pack accounts for almost 40% of an electric car's total cost, and it is also the component that depreciates the most over the course of an electric car's lifespan. If the battery pack of your electric car is damaged, not choosing zero depreciation insurance could leave you with a significant financial void. Therefore, it's crucial that you choose a zero-depreciation insurance coverage for your electric vehicle.

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