đź’°Insuring an EV? Here's How to Avoid Overpaying

Jul 27, 2025

read time 2 minutes

Hi there,

So, you’re thinking about making the switch to an electric vehicle or have already. Congrats! You’ve opened a brand new door to fewer gas stops, instant torque, and eco-friendly travels.

 

But here’s the curveball: insuring an EV isn’t the same as insuring a gas car. When I bought my Tesla Model 3 back in 2021, I was lucky to get a decent rate on insurance. But I had a friend who was paying over $600 for his Model 3 alone. 

 

So, why are EVs more difficult to insure and how do you make sure you’re not overpaying? Let’s break it down:

Why EV Insurance Can Cost More

  • EVs cost more to fix, especially the battery
  • Fewer repair shops are EV-certified meaning slower, pricier repairs
  • Higher vehicle value = higher premiums

 

Must-Have Coverage for EV Owners

  • Standard: Liability, Collision, Comprehensive
  • EV-Specific:
    • Battery replacement
    • Roadside help with EV charging/towing
    • Protection for your home charging station
    • Rental car coverage (EV repairs can take a while)

 

Discounts You Might Qualify For

  • Green vehicle discount (5–10% off)
  • Low mileage or usage-based discounts
  • Bundle savings (auto + home/renters)
  • Safe driver discount—always a win

 

Pro tip: Compare quotes and ask if they have EV-specific coverage—some cheaper policies skip this.

 

Bottom line?
EV insurance can cost more—but the right policy helps you avoid big surprises. Shop smart, get the right protection, and don’t pay for coverage you don’t need.

Need help comparing options? Click here.

 

Using my affiliate link helps support my team and I to create new content for you every week. Thank you! 

- Milan and Team

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Milan Singh may earn affiliate commissions from the links mentioned. All recommendations and opinions are Milan’s own. This may impact how and where links appear on this site. This site does not include all financial companies or all available financial offers.