Is There Special Auto Insurance For Electric Cars
Buying auto insurance for an electric car is just like buying insurance for a traditional car, but for one essential element. When you get an auto insurance policy for an electric car, you’re likely to get it a little cheaper. So there is no special insurance for electric vehicles, but their are companies that will give you a better deal on electric vehicle insurance. Electric car auto insurance, even a hybrid car insurance, can be more affordable when placed with the right company. There are several factors that certain companies look at when it comes to these cars. First, electric cars present an image of responsibility, making you look like a better risk to the insurance company. Second, electric cars have less horsepower, which has a direct effect on reducing the cost of auto insurance coverage. Finally, electric cars have a limited range, translating into fewer miles driven and ultimately, lower insurance rates.
On the flip side, there are two aspects of electric cars that work against finding affordable rates. First, pedestrians cannot hear these silent running cars approaching, making the likelihood of a pedestrian accident greater. During low-speed maneuvers like turning and backing, electric cars are 50 percent more likely to strike a pedestrian. Ask the insurance company about discounts for installing an alert device. The second problem for electric car auto insurance rates is common to all new technologies. Electric vehicles are more expensive to repair. As the technology becomes commonplace, these costs should come down, helping to bring down insurance rates as well.
Still, it’s important to be smart no matter what kind of insurance you plan to buy. Because actuarial data on electric vehicles is limited, some companies are using the method applied to first-year model gasoline cars when establishing their rates. These numbers take into account the sticker price of the car, which is often higher on electric vehicles. You want to work with companies that look at electric vehicles in a new light, calculating rates based on the real-world risk that these cars pose, which is substantially less that gas vehicles when it comes to accidents. The only way to find the company that sees electric vehicles in their own category is to shop around. Get an auto insurance quote from at least three companies. Look for companies with a history of innovation and embracing change. These are those most likely to give you the best price on auto insurance coverage. Don’t forget to check the insurance companies and their financial ratings. Work only with companies that are financially stable and will be around to pay any claims that might arise on your electric vehicle.