Electric car insurance in India: Electric vehicles are becoming increasingly popular in India. Official data reveals that electric vehicles accounted for more than 6% of vehicle sales in India in 2023, with electric two-wheelers constituting more than half of the market. About five years ago, that figure was around 1%. This is rapid growth: from around 2 lakh units sold in 2019 to 13 lakh units sold in 2023. This surge in electric vehicle sales makes it necessary to have adequate insurance options for these EVs. Here’s what you need to know about electric car insurance in India.

What is electric car insurance?

Electric car insurance is a legal contract between the insurer and the owner of the electric car. It protects the owner of an electric car from unexpected incidents resulting in damage. Since buying third-party insurance for electric cars is mandatory, it is recommended that you purchase comprehensive EV insurance to ensure a wider coverage.

Peace of mind comes standard with electric car insurance. It protects you financially if your electric car is damaged, stolen, or suffers other unforeseen losses.

Also Read: Self-Driving Electric Cars In India – Future Prospects

Advantages of buying electric car insurance

1. Financial security: Buying electric car insurance gives you financial security as the insurer will on your behalf pay for any loss or damage caused to the car.
2.  Comprehensive insurance coverage: While third-party insurance is mandatory, purchasing a comprehensive insurance policy is up to the owner of the electric car. To get better coverage, the vehicle owner should buy a comprehensive insurance policy. The coverage can further be enhanced with add-ons provided by the insurer at any time, though these will increase the premium.
3. Quick damage recovery: Electric car insurance enables you to get the damages fixed faster than usual. Since there are times when you cannot afford the repair costs, insurance comes into play and saves you money.
4.  Compliance with the law: Purchasing car insurance is mandatory in India under the Motor Vehicle Act, 1988. With electric vehicle insurance, you are on the safer side of the law.
5.  Peace of mind: By purchasing electric car insurance, you can rest assured because you will not have to worry about unexpected costs that may arise after a road accident.

Coverage under electric car insurance

Inclusions:

• Road accidents
• Replacement & repairing
• Theft of car
• Fire
• Natural calamity
• Personal accident cover
• Third-party liability

Exclusions:

• Own damage
• Drink & drive
• Driving without licence
• Consequential damage
• Intentional negligence
• Lapse insurance plan

Third-party electric car insurance premium rates

• Not exceeding 30 KW: Rs 1,780
• Not exceeding 65 KW, exceeding 30 KW: Rs 2,904
• Exceeding 65 KW: Rs 6,712

How to file an electric car insurance claim

1. Inform your insurer: First of all, you must inform your insurer about the incident and the damage caused to your electric car. 
2. Take pictures: The pictures of the damaged car will work as evidence. You can also use these when filing the claim online.
3. Keep documents ready: Keep all the necessary documents ready as you have to submit them along with the claim form.
4. Inspection: After informing the insurer, an inspector will assess repair costs based on the damages. The insured electric car will then be sent to a garage for repairs.
5. Compensation: Finally, you will get compensation for the repair or replacement of the damaged part and the money will go straight to the garage. However, if you have applied for reimbursement claims, you will be refunded the claim amount after the repairs.

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