If you’re considering an electric vehicle one question you might ask yourself is “How expensive is an EV to insure?” Since EVs are filled with leading-edge technology it might be natural to assume that insurance for them is expensive since exotic tech typically translates to high cost to replace. But Chong Gao, senior product manager, R & D for Mercury Insurance, who has spent a lot of time studying EV from an insurer’s point of view says that’s not the case. In fact, she says EVs are typically less expensive to insure than traditional passenger vehicles.
For those in the market for an EV a good source of information is Mercury Insurance’s recently released list of the 10 electric vehicles that are least expensive to insure. The list can do double-duty as a shopping list of affordable EVs available on the U.S. market.
“The thought of owning an electric vehicle continues to attract more consumers and they have even more options to pick from today than in the past,” Gao said. “We put together this list to help inform your decision because many people don’t consider what it will cost to insure a vehicle before they buy it. Some great news is that all of the vehicles today on our list qualify for the max Federal Tax Credit rebate.”
Recently electric vehicle sales have accelerated as rapidly in the marketplace as some of them do on the road, and much of the action is at the lower end of the electric vehicle market where vehicles like the Chevrolet Bolt and Nissan Leaf have really taken hold. While the EV sales are currently dwarfed by conventional vehicle sales many manufacturers are releasing electric vehicles to begin building a presence in what many believe will be a very vibrant and perhaps dominant part of the market.
While “range anxiety” has lessened as newer EVs offer more driving range on a single charge, the advantages EVs offer are propelling more sales. Certainly, some of the growth is driven by the availability of government tax rebates, but other advantages include the elimination of the need to go to a gasoline station, potentially lower maintenance and repair costs and significant environmental benefits. And many EV drivers swear by the driving experience for its smoothness and quietness.
Here is the complete Top 10 list for 2019 electric vehicles, beginning with the most affordable make and model to insure.
1. Fiat 500e
2. Kia Soul EV
3. Nissan Leaf
4. Volkswagen e-Golf
5. smart EQ fortwo pure coupe
6. Hyundai Kona Electric SEL
7. Ford Focus Electric
8. Hyundai IONIQ Electric
9. BMW i3
10. Chevrolet Bolt EV
To assemble the Top 10 list Mercury Insurance’s research and development team examined all 2019 electric vehicles that are either available now or loom just over the horizon. The list was created based on Mercury’s price for full coverage – liability, comprehensive and collision – in California. Mercury Insurance developed the list using a 30-year-old with a clean driving record, who lives in Newport Beach, California, and drives 13,000 miles per year. The full coverage with a $500 deductible includes liability limits of $100,000 in injuries per person, $300,000 per accident, and $50,000 in property damage.