Petrol vs Electric: Which Is Cheaper to Insure?

Electric cars often cost more to insure than equivalent petrol models, though this is not a hard rule and the gap is narrowing as insurers gain experience with EVs. The main drivers are higher purchase prices, specialist repair requirements, and the complexity of high-voltage battery systems. That said, your actual premium will depend far more on your specific car, your driving record, where you live, and which insurer you choose. If you are researching EV ownership costs more broadly, our ownership guides cover charging, range, and running costs in detail.

Why do EVs often cost more to insure?

The short answer is that EVs are typically more expensive to buy and more expensive to repair. Insurers price risk based on the potential cost of a claim, and those two factors push premiums upward. Repair costs are not just about bodywork: high-voltage battery systems require technicians with specialist training, and approved parts can take longer to source. If a battery pack is damaged in a collision, the repair bill can be substantial. Insurers are still building actuarial experience with EVs, so many price conservatively until they have more data to work with.

Does vehicle value really drive the premium that much?

Vehicle value is one of the most significant inputs into any insurance calculation. A car worth more costs more to replace or repair to its pre-accident condition. Many entry-level EVs remain more expensive to buy new than a comparable petrol model, which flows directly into the premium. As more affordable EVs enter the market and second-hand EV prices settle, this gap is likely to narrow. Some budget-friendly EVs already insure at premiums comparable to similarly sized petrol cars, so it is always worth checking the specific model rather than assuming EVs as a category are expensive to cover.

Are all EVs expensive to insure?

No. Insurance groups in the UK run from 1 to 50, and EVs appear across a wide range of groups just as petrol cars do. A small, lower-value EV city car will typically attract a lower premium than a large, high-performance petrol saloon. The problem is that many popular EVs sit in the upper-middle portion of the market, which happens to place them in higher insurance groups. As the EV model range diversifies and more affordable options appear, premiums will naturally spread across a broader range. Always check the insurance group of the specific car you are considering before purchase.

What about specialist EV insurance policies?

A growing number of insurers now offer policies designed specifically for electric vehicles. These can include features such as:

• Cover for home charging equipment, including your wallbox or portable charger
• Breakdown cover tailored to flat-battery situations, including onward transport or roadside charging
• Battery-specific cover, including degradation and charging fault protection
• Key replacement for proximity keys common on EVs

Whether a specialist policy works out cheaper depends entirely on your circumstances. Sometimes a mainstream insurer offers a more competitive overall premium even without the EV-specific extras. Compare both types before committing.

Can telematics or black-box policies reduce EV insurance costs?

Telematics policies record how, when, and where you drive, then adjust your premium based on actual behaviour rather than statistical proxies. For EV drivers who tend to drive smoothly (regenerative braking encourages a gentler style), this can work in your favour. Younger drivers or anyone without a long claims-free history may find telematics the fastest route to a lower premium regardless of fuel type. Several insurers now offer telematics products specifically designed around EV driving patterns. Check whether your insurer offers one and compare the projected saving against a standard policy.

How can you keep EV insurance costs down?

The same principles that apply to any car insurance apply here, with a few EV-specific additions:

• Shop around every year: Loyalty rarely pays. Use comparison sites and also approach insurers directly, as some EV specialists do not appear on aggregators.
• Choose a lower insurance group model: If you are still deciding which EV to buy, check the insurance group before you commit.
• Increase your voluntary excess: A higher excess reduces the premium, provided you can cover it if you need to claim.
• Add a named experienced driver: A more experienced driver on the policy can bring the group average risk down.
• Consider telematics: Particularly useful if you are a newer driver or returning to driving after a gap.
• Secure overnight parking: Parking in a garage or on a driveway rather than on a public road is viewed more favourably by insurers.
• Pay annually: Monthly instalments typically carry interest. Paying in full avoids that cost.

Will EV insurance get cheaper over time?

There are good reasons to expect the gap between EV and petrol insurance to narrow. As more EVs appear on UK roads, insurers gather more claims data and can price risk more accurately rather than conservatively. Repair networks for EVs are expanding, which should bring labour costs down. Battery repair and replacement techniques are also improving, with more options emerging to repair individual modules rather than replace an entire pack. The UK government's target to end new petrol and diesel car sales by 2030 means the EV market will grow substantially, which will accelerate all of these trends. For now, the gap is real but variable, and it should not put you off switching if the overall ownership costs make sense for you.

Frequently asked questions

Is EV insurance always more expensive than petrol insurance?

Not always. While many electric cars attract higher premiums than comparable petrol models, this varies significantly by vehicle, insurer, and driver profile. Some smaller, lower-value EVs insure at similar premiums to petrol equivalents. Always compare quotes for the specific car you are considering rather than assuming a category-wide rule.

Does charging at home affect my insurance?

It can. Some insurers ask whether you charge at home and may factor in the presence of home charging equipment. A few specialist EV policies include cover for your home charger or portable charging cable as part of the policy. Check what your policy covers before assuming your charging setup is included.

What is an EV insurance group and how is it set?

UK insurance groups run from 1 to 50 and are set by Thatcham Research on behalf of the insurance industry. They take into account vehicle value, repair costs, parts availability, safety features, and performance. EVs are assessed using the same framework as petrol cars, so a low-value EV can sit in a lower group than an expensive petrol performance car.

Does a damaged EV battery always write off the car?

Not necessarily, though it can happen. Battery repair technology is developing, and some damage that would previously have required a full pack replacement can now be addressed at a module level. However, significant battery damage following a collision is a common reason EVs are written off, which is one factor insurers weigh when setting premiums for higher-value models.

Should I tell my insurer I have a home wallbox fitted?

Yes. Any material change to your property or charging setup that could affect a claim should be disclosed. Some insurers will want to know your charging arrangements as part of the application process. If you are unsure what to declare, ask your insurer directly, as policies vary. Failing to disclose relevant information can affect your ability to claim.

Can I get breakdown cover that handles a flat EV battery?

Yes, most major breakdown providers now offer EV-specific recovery options. These typically include towing to the nearest charge point or onward transport if you cannot charge roadside. Some specialist EV insurance policies include this as standard. Check the small print on any breakdown add-on to confirm how a flat-battery callout is handled, as the response can differ from a mechanical breakdown.

Insurance is just one piece of the EV ownership picture. If you are weighing up the switch from petrol, our guides section covers home charging setup, public charging networks, and how to choose the right cable for your car. Once you have made the move, use our cable finder on the home page to make sure you have the right EV charging cable for your vehicle.