How EVs Can Affect Your Insurance Rates in California
If you’re looking to get an electric vehicle in the state of California, you should first understand how it affects your insurance rates. Insurance companies look at your vehicle when deciding your rates, so it’s important to know what that means for you and your vehicle.
Higher Vehicle Value
An important factor that decides your insurance rates is the value of your car. Expensive cars cost more to insure, as the insurance company takes on more monetary risk. Electric vehicles are normally more expensive to insure than their gasoline counterparts, increasing insurance rates.
More Costly Repairs
While EVs can save you a lot of money on gas, you should know that the parts inside the vehicle cost more. This means repairs for the same parts cost more for EVs, and that’s something the insurance companies consider. You should expect your insurance rates to be higher if your vehicle has more expensive parts.
Range of Higher Expense
When considering an EV, you should first understand the price range of the increased insurance rates. This way, you’ll know if you want to pay the extra insurance costs before purchasing the vehicle. While the prices vary depending on the vehicle, the average range is from $1,300 to $3,500 in the United States.
These aren’t the only factors that can increase your insurance premiums when purchasing an EV. Needing an SR-22 insurance plan because of a DUI can also increase your insurance. Luckily, you can work with companies to get cheap SR22 car insurance in California and negotiate for lower deals.
These factors are all important and can affect the insurance rates of your EV in California. You’ll need to keep these in mind when considering ownership of an EV, as you’ll need to pay the extra costs for years to come.