Auto insurance and electric vehicles are a powerful match
Electric vehicles are becoming more popular despite their relatively high cost and the still maturing infrastructure meant to support them. Some consumers have chosen electric vehicles for their environmentally friendly nature, while most others have pegged them as a way to save on fuel costs. Whatever the case may be, owners of electric vehicles are reaping some unexpected rewards, which are quite apparent on the auto insurance bills. Indeed, consumers are seeing savings on their insurance premiums simply by driving electric vehicles.
EV drivers are suspected to be a careful bunch
Market analysts suspect that lower auto insurance premiums for these vehicles are due to the belief that drivers of electric cars are typical a careful group. This estimation is based upon the meticulous planning that is necessary for owning an electric vehicle. Drivers of these vehicles must be aware of charging stations and the amount of time charging the car’s battery will take. Drivers must also account for the fragility and, at times, fickle nature of electric vehicles.
The Hartford announced discounts for electric vehicle drivers
Last month, Harford Insurance, a leading auto insurance provider, announced that drivers of electric vehicles would receive a 5% discount on their insurance policies if they purchase them from the company. The Hartford claims that the initiative is meant to encourage drivers to purchase electric vehicles and promote environmental sustainability. Analysts suggest that the insurer would have never made the offer if it did not expect to see some kind of return.
Savings trend could add momentum behind popularity of electric vehicles
According to estimates from auto research site Ed-munds.com, the cost of insurance for a 2012 Chevrolet Volt runs at approximately $1,400 annually. This is compared to the more than $2,000 yearly premiums associated with most other vehicles. The research also notes that the 2012 Nissan Leaf is privy to insurance premiums of $1,500 per year. For owners of electric vehicles, this spells serious savings in terms of auto insurance. If the trend continues, electric vehicles are expected to become popular more quickly.
