The Green Insurer
How electric cars are driving savings for owners
By Paul Baxter, 17th April 2024
Category: Electric vehicle
Are you considering making the switch to an electric car? According to our new research findings, you might be in for some significant savings. Nearly nine out of 10 electric car owners that we surveyed reported that they've cut the cost of driving since making the switch from petrol or diesel vehicles.
The savings are not insignificant. Nearly half of electric car drivers describe their savings as "substantial," with an average annual cost reduction of 23%. For some, the savings are even more impressive, with three in 10 motorists reporting savings of over 30% per year.
So, where are these savings coming from? The most significant factor is the reduction in fuel expenses. Electric vehicles rely on electricity, which is generally cheaper than petrol or diesel. This translates to immediate savings at the pump and also longer term savings over time, as electric engines require less maintenance and have lower servicing costs.
However, electric car owners are not immune from the universal increase in insurance premiums, which has hit all drivers. Sixty-three per cent of electric drivers reported seeing an increase in their premiums compared to their previous petrol or diesel cars, with an average hike of 34%. This is in line with the general trend of rising car insurance premiums across the board.
At The Green Insurer we are committed to helping drivers offset some of these increases with our innovative car insurance policies that have been tailored for the environmentally conscious driver. We offer competitive rates and rewards for fuel-efficient driving. Plus, every mile driven with us is offset through carbon offset projects, ensuring a positive impact on the environment.
As our findings have indicated, we believe there are tangible financial benefits from switching to electric vehicles. As technology advances and economies of scale drive down upfront costs, the decision to go electric is not only eco-friendly but also financially savvy.