What the US car insurance industry really thinks about EVs – and how to get the best policy
This is what the US car insurance industry really thinks about EVs, how it affects your premium, and how to choose an insurance company for your EV that really will have your back if you need help.
Can insurance companies embrace change?
A recent white paper by the University of Illinois Urbana-Champaign and Argo Group, an underwriter of specialty insurance products, asserted that EV and energy storage battery factories offer a great opportunity for insurers. That’s because battery-making facilities “tend to be well-funded, low-risk enterprises with plenty of loss data to analyze.”
The white paper’s recommendations for insurers are also applicable in the EV insurance sector. It suggested that insurance companies refine their ranking systems used to determine favorability; ask for and engage with feedback from customers on what insurance products they need the most; and continue to model and compile new loss data across emerging industries.
And because EVs are rapidly being adopted in the US market, insurers need to also rapidly adopt change. Alex Hindson, the group chief risk & sustainability officer at Argo Group, said to Electrek:
Insurance is an industry that has a problem with innovation. It’s all based on data and appetite for risk. So if insurance companies don’t understand something, they’re cautious.”
Gas cars vs. EVs
Electrek also spoke with a former claims director of a top five insurance company who asked to not be identified, so we’ll call him John Smith. He explained the current state of the US car insurance industry for context:
The US car insurance industry is hurting right now – losing a lot of money – because of COVID, because that’s when car production stopped. It’s difficult to obtain parts for vehicles due to supply chain issues. There’s also a chip shortage for new cars. So what that’s doing is raising the used car market prices by about 40%.
If you have an accident in a used car, it costs the insurance company 30-40% more to repair it due to the cost of parts and labor.
Insurance companies are trying to raise their rates to be profitable, and they’re throwing electric vehicles into this because they’re currently taking a bath. They actually don’t want to write new policies because they’re losing money.
And Hindson explained why some car insurance companies don’t offer competitive premiums for EVs:
If an insurance company offers high premium for electric vehicles, it’s for one of two reasons: They either don’t know what they’re doing and price high for uncertainty, or they do know what they’re doing and don’t want to do it.”
In other words, car insurance companies exercise caution if they don’t understand something.
Gas cars often have lower insurance rates, and it’s not because they’re safer. It’s because there’s an enormous amount of data on gas cars that insurance companies can tap into. They’re a known quantity.
But some insurers have decided they want to pursue the emerging EV market, so they’re gathering their own data. So if their prices are more competitive, it may be because they’re building more of the market share.
Neither Hindson nor Smith cited EV fires as a risk factor for insurance companies. Hindson also noted that if an EV gets into an accident, it’s more likely to be declared totaled due to the weight and expense of the battery.
How to get the best car insurance policy for EVs
Some insurance companies are trying to partner with EV companies, and specifically with Tesla, because EV makers have the background knowledge and data they seek.
Teslas need to be repaired by certified Tesla locations, so it takes a lot longer to do the repairs because they’re backed up. When it comes to non-Tesla EVs, many dealers require you to come to their facilities.
The average length of a car rental when your car is being repaired, Smith explained, is between 12-15 days. For Tesla drivers, it averages about 20-25 days. So it costs the insurance company about $36 per day on average for a rental car.
So the cost of premiums has more to do with repair bottleneck and the limited number of facilities to do the repairs than the car’s safety rating.
Smith shared the best way for EV owners to get a reasonable premium and good coverage:
Shop around, because so many insurance companies have a better EV book than others. Progressive and Allstate, for example, are good at using technology to understand data – they put something in your car to better understand your driving habits, and that brings down the premium. [Editor’s note: Smith did not work for Progressive or Allstate.]
Choose a company who wants to embrace and better understand electric vehicles.
When you’re shopping around, ask the insurance company, “Are you partnered with electric vehicle repair facilities?” If they’re not, move on to the next company. In the long haul, it will so much easier to repair if you have an accident.
Hindson also echoed this sentiment, advising that drivers seek insurance companies that use telematics, because car insurance companies love data. And data will eventually help them catch up.
Hindson said:
[The insurance industry] can’t do well by excluding things. We can’t win by playing defense. The problem will solve itself with time.”
Smith echoed this sentiment:
Driving an EV has so many positives. The world just needs to catch up.”
Photo: Tesla
UnderstandSolar is a free service that links you to top-rated solar installers in your region for personalized solar estimates. Tesla now offers price matching, so it’s important to shop for the best quotes. Click here to learn more and get your quotes. — *ad.
FTC: We use income earning auto affiliate links. More.
Luxury is a tough concept to pin down, but being constantly connected to work, kids, and telemarketers ain’t it. Genesis gets it, and its latest ultra-luxe off-road concept ditches screens in favor of the view out the windshield – and it’s got enough off-road chops to promise two things about those views: they’re real, and they’re spectacular!
Genesis calls its new X Gran Equator concept an elegant overlander for the modern explorer that marries on-road sophistication with off-road resilience. Whatever they call it, the 4×4’s dashboard is delightfully free from sweeping touchscreens, mood lighting, and any hint of telephonic integration.
Indeed, the interior looked so much like something from the 90s that I double and triple-checked the date on the press release. But don’t take my word for it, check it for yourself.
It’s fantastic
If you zoom in, you can see screens in the instruments. High-definition roll and pitch displays, altimeters, and probably other outdoorsy, overland-y things that the sort of people who want to do that in what would surely be a very well-appointed six-figure SUV for a similarly very well-heeled buyer.
And that buyer? They wouldn’t miss the screen, because the screen doesn’t matter. The real show is out the front windshield – and if someone from the office calls to interrupt the vibe, you won’t even know. I know I’d pay extra for that … and I can’t imagine I’m alone.
This is how Genesis explains it:
Inside, the X Gran Equator Concept orchestrates contrast between analog architecture and digital technologies, crafting a space that feels both functional and evocative. At the center of the cabin is a four-circle display cluster on the center stack, inspired by the vintage camera dials. The interior design features contrasting colors and shapes, with a preference for geometric over organic elements. The dashboard’s linear architecture and absence of decorations focus the driver’s attention on the journey, while swiveling front seats and modular storage solutions enhance practicality.
Genesis didn’t provide pictures of those swiveling seats or modular storage compartments on this concept, but the X Gran Equator Concept will make its in-person debut April 18th at the Genesis booth during the 2025 New York International Auto Show.
After the show, the company will move the concept to a display at Genesis House New York in the Meatpacking District, where it will stay “in residence” until the end of July. If you’re out that way for either event, take a picture of it and tag Electrek on Instagram!
Genesis X Gran Equator photo gallery
SOURCE | IMAGES: Genesis.
FTC: We use income earning auto affiliate links. More.
The new-for-2025 Honda P7 electric SUV officially went on sale earlier today with 469 hp and more than 650 km (403 miles) of range from its 89.8-kWh nickel manganese cobalt (NMC) battery … and you won’t believe the price!
First shown as a concept at the launch of Honda’s Ye brand a year ago, today. Ye is a joint venture between Honda and local automakers Dongfeng, who build the brand’s S7 model, and GAC, which helped develop the mechanically similar P7 that just went on sale.
And, by “similar,” I mean really, really similar. The AWD version of the new Honda P7 offers up to 620 km (385 miles) of CLTC-rated range, while the RWD can go 650 km (403 miles), which are identical figures to the S7. Even the crossover’s dimensions, at 4,750 mm long, 1,930 mm wide, and 1,625 mm tall with a 2,930 mm wheelbase, are identical.
Even the interiors – which are fantastic, by the way, with an innovative mix of screens, buttons, and super-slick sideview monitors – are tough to tell apart.
Honda Ye EV interior(s)
So, how can you tell the P7 apart from its S7 sibling? The P7 has C-shaped lighting elements that are distinctive from the S7’s X-shaped lights. The end result is a face that reads a bit more “Honda” to me, but that may or may not be a good thing in the Chinese market.
Pricing for the new Honda P7 starts at 199,900 yuan (about $27,200) for the two wheel drive variant, and is also offered with all-wheel drive for 249,900 yuan (about $34,000, as I type this), complete with the sort of advanced ADAS features you have to pay good money to supervise here in the US. That pricing makes both P7 models significantly less expensive that the what the company thought would be the vehicle’s main competitor, the Tesla Model Y.
The world has changed a lot since then however – and whether or not the Model Y is still considered a serious rival remains to be seen.
If you’re in the mood to check out an all-electric Honda in the US, click here to set up a test drive and explore local deals on a new Prologue. In the meantime, I invite you to take a look at some of the press photos of the new P7, below, then let us know what you think in the comments.
P7 image gallery
SOURCE | IMAGES: Honda; via Paul Tan.
FTC: We use income earning auto affiliate links. More.
Kia just pulled the cover off its all-new 2026 EV4 today at the New York International Auto Show, marking the automaker’s first global all-electric sedan.
With a sleek design and practical features, Kia is clearly aiming to offer a compelling, affordable alternative to the flood of electric SUVs on the market.
The Kia EV4, set to hit US roads in early 2026, will be available in three trims – Light, Wind, and the sportier GT-Line.
Exterior and interior
Built on Kia’s 400V Electric Global Modular Platform (E-GMP), the EV4 sedan sports a distinctive low, aerodynamic profile with a sporty fastback roofline. The front showcases vertical LED headlights paired with Kia’s signature Star Map lighting and a modernized version of Kia’s Tiger Face grille.
Around back, vertical taillights and a two-piece spoiler emphasize the sedan’s sporty stance. Buyers can choose between standard 17-inch aero wheels or the 19-inch wheels exclusive to the GT-Line trim.
Inside, Kia’s EV4 emphasizes comfort, convenience, and spaciousness. A modern, open cockpit features high-quality materials, a two-spoke steering wheel, and an available 64-color ambient lighting system. With ample passenger room and cargo space, the EV4 balances practicality with a sleek, contemporary feel.
Powertrain and performance
The EV4 comes with two battery options: a 58.3 kWh pack delivering about 235 miles of range (standard on the Light trim), or a larger 81.4 kWh pack good for around 330 miles (Wind and GT-Line trims). Both models feature a 150 kW front-mounted electric motor.
Charging won’t slow you down: Kia estimates a 10-to-80% DC fast charge takes just 29 minutes for the smaller battery and 31 minutes for the larger. The EV4 comes with a standard NACS charging port and is on the front passenger side.
This Kia sedan has a drag coefficient as low as 0.23 Cd. Its updated i-Pedal 3.0 system offers smooth one-pedal driving, even in reverse and adaptive regenerative braking. Additionally, Vehicle-to-Load (V2L) capability means your EV4 can power everyday devices like laptops or camping gear.
A tech-loaded interior
The EV4 features nearly 30 inches of combined widescreen displays. Personalization is easy, including themed interfaces and standard wireless Apple CarPlay and Android Auto.
Kia’s Digital Key 2.0 lets drivers manage locks, start the climate control remotely, and access other vehicle functions via smartphone. And Kia’s built-in AI Assistant ensures natural, responsive interactions, adding another convenience layer.
Comfort isn’t an afterthought, either. Dual-zone automatic climate control, available heated and ventilated seats, a heated steering wheel, and acoustic windshield glass round out the premium feel.
Advanced driver-assist technology
The EV4 is equipped with Highway Driving Assist as standard, which automatically adjusts the vehicle’s set speed to match the posted speed limit (if initially set to the speed limit) and maintains distance from the vehicle in front.
Standard Hands-On Detection helps ensure drivers stay engaged by monitoring steering-wheel grip, enhancing safety on longer trips.
Other available features include Driver Attention Warning, Forward Collision Avoidance Assist, and Lane Following Assist. Optional Remote Smart Parking Assist simplifies parking in tight spots.
Look for the Kia EV4 sedan to reach US dealers in early 2026.
Read more: Kia EV Day 2025 recap: EV4 is coming to US, plus an up-close look at the EV2 and PV5 [Video]
To limit power outages and make your home more resilient, consider going solar with a battery storage system. In order to find a trusted, reliable solar installer near you that offers competitive pricing, check out EnergySage, a free service that makes it easy for you to go solar. They have hundreds of pre-vetted solar installers competing for your business, ensuring you get high-quality solutions and save 20-30% compared to going it alone. Plus, it’s free to use and you won’t get sales calls until you select an installer and you share your phone number with them.
Your personalized solar quotes are easy to compare online and you’ll get access to unbiased Energy Advisers to help you every step of the way. Get started here. –trusted affiliate link*
FTC: We use income earning auto affiliate links. More.
-
Sports2 years ago‘Storybook stuff’: Inside the night Bryce Harper sent the Phillies to the World Series
-
Sports1 year agoStory injured on diving stop, exits Red Sox game
-
Sports1 year agoGame 1 of WS least-watched in recorded history
-
Sports2 years agoMLB Rank 2023: Ranking baseball’s top 100 players
-
Sports4 years ago
Team Europe easily wins 4th straight Laver Cup
-
Environment2 years agoJapan and South Korea have a lot at stake in a free and open South China Sea
-
Environment2 years agoGame-changing Lectric XPedition launched as affordable electric cargo bike
-
Business3 years agoBank of England’s extraordinary response to government policy is almost unthinkable | Ed Conway