Average Cost of Electric Car Insurance UK 2024

The average cost of EV car insurance is around £654 for the most popular electric car models in the UK, according to our recent analysis. But premiums are highly variable from one car to the next, with quotes ranging from around £400 to over £1,000 per year for our test driver. We've compared car insurance quotes for ten of the most popular all-electric and hybrid electric cars to compare the cost to insure them. Here's what we found.

What's in this article

• How much does it cost to insure an electric car?
• Does it cost more to insure an electric car?
• How to save money insuring an electric car
• Two good EV insurance companies to consider

Electric Car Insurance Cost UK

The cost of comprehensive insurance for popular electric cars in the UK starts from around £400 to over £1,000 per year, depending largely on the make, model and trim level of the car. (Age and driving history are also major factors; our sample driver was in their mid-30s with a good record and no claims for 5 years). Some of the cheapest electric cars to buy and insure are the Mini Cooper, Volkswagen ID 3 and Nissan Leaf, with typical quotes starting from just over £400 per year for our driver. In contrast, more expensive cars like the Tesla Model 3 start from around £900 a year.

In the following table, the cars are ranked by popularity. Note, quotes are for a new 2022 model.

Does it cost more to insure an electric car?

A year ago, we'd say it definitely cost more to insure an electric car. Our tests at the end of 2021 showed that insurance costs could be up to 13% higher for a new electric car compared to the average cost of car insurance for an equivalent hybrid or petrol car. We looked at a BMW 330e (PHEV) vs 330 (petrol); a Mini Cooper Countryman SE (PHEV) vs S (petrol); Renault Clio E-tech (self charging hybrid) vs Renault Clio (petrol); and a Kia e-Niro (all electric) vs Kia Niro (hybrid). In all cases, the more "electric" the car, the more expensive it was to insure. That is, all-electric costs more than hybrid, which costs more than petrol.

However, we've just looked again at the figures for a Kia Nero (PHEV vs. fully electric) and a Mini Cooper (petrol vs. fully electric) and heading into 2023 it seems that prices have equalised, with prices barely different by 1%.

Maybe, there's no longer a disadvantage when buying car insurance for an electric car!

Of course, prices will still vary a lot from one car to the next, largely a function of the cost of the electric car. Insurance will naturally be more expensive on a more valuable car, because it will cost the insurance company more to repair or replace in the event of accident, theft, fire, etc.

Insurance quotes will also depend on the insurance group of a car. A certain make and model of car will often have a variety of insurance groups to reflect the different trim levels. Cars with a higher level of trim and more features may have a higher insurance group and be more expensive to insure as a result. Here is the range of insurance groups for the cars mentioned in this article, which helps to explain the difference in insurance prices:

How to save money insuring an electric car

There are many ways you can try to reduce the cost of your car insurance, including buying at the optimal time. For example:

Best Insurance for an EV

Two companies in particular stand out to us for electric vehicle insurance because they offer EV-specific features and they are keen to promote their EV insurance—so their pricing might be particularly competitive for you. They are LV=, which tops our charts of best car insurance companies, and Saga, which caters to the over 50s. Here is a bit about each of them.

LV= EV Car Insurance

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Consider this if you are at least 50 years old and want highly-rated car insurance with important features just for EVs.

LV= car insurance ranks number 1 in our study of the best, cheap car insurance companies in the UK. They have policies with solid features, are highly rated by customers and are usually competitively priced (although they may not be the cheapest cover you can get). We like all of these factors, plus the fact that they've created an EV-specific car insurance offering to meet the unique needs of electric car owners. Here is an overview of these features:

on_current="true" Recovery to the nearest chargepoint if you run out of charge in the UK. They also work with the national roadside electric vehicle charging assistance company, to recharge your vehicle and get you on the road again. This won’t affect your NCD and there’s no excess to pay if you need this. Cover for charging cables, wall boxes and adaptors in case of accidental damage, fire and theft. Battery cover for accidental damage, fire and theft (even if these are leased separately from the car). Over the air (OTA) monthly updates are covered as standard (but be sure to inform LV= if you've made any additional performance upgrades affecting speed or acceleration). Lifetime guarantee on repairs when using LV='s recommended repairer service, for as long as you own the vehicle. Labour only, excludes parts. The use of an electric or hybrid hire car if your EV is off the road (e.g. while in for repairs after a covered accident) so long as you choose the optional hire car cover.

Saga EV Car Insurance

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Consider this if you are at least 50 years old and want highly-rated car insurance with important features just for EVs.

Whether your car is battery-operated (BEV), a hybrid (PHEV) or a zero emissions (ZEV), Saga’s got you covered.

Their policies are top notch for features, and customers have awarded Saga an Excellent ‘4.3’ star rating on Trustpilot. Then to top it all off, Saga have developed specialist car insurance features for EVs that cover situations and risks unique to EV driving. Saga offer three Comprehensive cover levels, all of which include:

Saga's three Comprehensive cover levels appeal to different budgets, and even their lowest price option has plenty to offer. Saga Standard (their lowest tier) includes an Uninsured Driver Promise (you won’t lose your NCD and there’s no excess to pay if you’re hit by an uninsured driver, it wasn't your fault and you supply their car reg and the accident details), a courtesy car while yours is at an approved repairer after a UK accident and Cover for Trips Abroad (EU cover for up to 90 days in any policy year with the same level of cover as you have in the UK).

Next is Saga Select, which includes great features such as Protected No Claims Discount (where eligible; protects against two fault claims in three years if your have 4+ years NCD) and Vandalism Promise (you won’t lose your NCD if you make a valid claim for damage caused by vandals).

Saga Plus includes plenty of additional features as standard such as 3-Year Fixed Price, so you’ll get a price for one year's cover but, because they fix this for your next two renewals, as long as nothing changes, you'll pay the same price next year and the year after. Plus you get a Claims Promise (while with Saga, your NCD won't be affected by claims caused by theft, fire, storm, flood, animal damage or if your vehicle is hit while parked) and even after making a claim, most Saga Plus customers’ renewal premiums didn't go up.

Saga’s home insurance policies, exclusively for people over 50, are unique products designed specifically for their customers. They are underwritten by a number of carefully selected insurers that provide high standards of quality and service.

Methodology

We gathered hundreds of quotes from comparison sites to compare the relative cost of cheap car insurance across different popular electric cars in the UK. We used a sample driver who is 35 years old and has a good driving record, and who lives in a town in South West England. The car is driven 7,600 miles a year (average UK car mileage) and is parked on a private driveway. Cars are new 2022 models—we used new models for this study because so many new EVs have come to the market recently. Older cars generally cost less to insure.

We took the 5 cheapest quotes for each car and averaged them to determine a starting price for insurance. These figures can be useful to get a general idea of prices and to see how costs compare between cars, but you are likely to be quoted a different amount depending on the details of your application.