Insurance for Electric Vehicle (EV) In India

Climate change is significantly impacting our planet Earth, and the modern transport system is one of the major contributors. Therefore, green transportation has become the need of the time. The government of India is taking multiple initiatives to promote the use of greener alternatives, such as EVs, when it comes to transport and mobility. In the coming years, we will witness a rise in the demand for electric vehicles (EVs). Not only this, users are also becoming more planet-conscious, and this will require car insurance providers to innovate their services. They will have to provide more attractive and comprehensive plans for EVs, considering the coverage for batteries, charging equipment, and other specialised EV components.

What is an EV Insurance?

EV insurance is a tailor-made policy that considers the unique needs and risks of EVs. The EV insurance provides financial protection to your vehicle against common risks and damages. Below is the list of inclusions and exclusions in an EV vehicle.

Inclusions

• Battery Cover: EV insurance often provides coverage for any damage or problem with the battery. This is important as the batteries are an expensive element of the EV design.
• Charging Infrastructure: Charging EVs is simple but has its own risks. Certain things can go wrong while charging your car such as power surges which can cause damage to the charging station. The EV insurance covers the damage caused to the charging station in case of damage.
• Third-party Liability: This cover provides financial protection in case of damage to any third party ( vehicle, person, or property) due to an accident. Third-party liability cover is mandatory as per the government. 
• Comprehensive coverage: This cover protects your vehicle financially against risks including theft, damages caused due to accidents, damages due to natural hazards such as floods or cyclones, or man-made risks like vandalism and riots. Moreover, it includes all the third-party liability covers as well. 

On top of these, EV insurances come with many options in the face of add-on covers which allow you to add extra features enabling you to customise the policy based on your requirements.

Exclusions

There are certain scenarios where claims get rejected and it is due to the agreement which clearly states that under few circumstances there will be no claim. Below mentioned are the most common events where the claim is rejected by the agencies.

• If the driver was driving under the influence of drugs or alcohol and had an accident the claim will be rejected
• Normal wear and tear is not covered
• Any damage caused while the driver was driving without a valid driving licence
• Damage caused due to carelessness of the driver (overspeeding, breaking traffic rules, exceeding the people capacity of the car, etc.)
• Any damage caused outside the geographical area as decided in the agreement

Note: Before signing the agreement, you must always discuss the inclusions and exclusions in detail.

Why Should We Purchase EV Insurance? 

EV insurance is important for many reasons:

• EVs are based on advanced technology which makes them costlier than the conventional petrol-diesel vehicles. Therefore, it increases their cost of repair and replacement of parts, especially batteries. Having an insurance policy helps reduce these costs significantly.
• While EVs are generally more environmentally friendly, they are not immune to risks like accidents, theft, or natural calamities. Comprehensive EV insurance provides protection against such uncertainties.
• Additionally, the insurance providers now-a-days also offer a range of add-ons that give policyholders advanced coverage for their vehicles, thereby protecting them from financial burden. 

List of Electric Vehicle Insurance Plans in India

Many insurance providers in India have introduced insurance plans for EVs. Some of the prominent ones are:

Insurance Premium for Third-party Car Insurance Policy 

It is mandatory for every car owner in India to have a third-party car insurance policy. This is also applicable to electric cars. The premium of your EV will depend upon a number of factors, such as its market value, power output, type of EV, etc. The Insurance Regulatory and Development Authority of India (IRDAI) periodically revises the premium rates for third-party insurance. As per the latest guidelines, the premiums for EVs are decided based upon the KW rating of the vehicle, which means the lesser the power output, the lower will be the premium, and vice versa. Also, the insurance providers offer some discounts on the purchase of EVs under the government’s mission to push for greener technology.

Add-ons for Electric Car Insurance 

To provide a comprehensive coverage to the customers, many insurance providers offer add-ons with the insurance policy. Some of the popular ones are:

What to Consider Before Buying an EV Insurance?

The following are the factors to consider when buying EV Insurance:

• IDV: IDV is the maximum cost you can claim in case your car is stolen or damaged beyond repair. IDV should be carefully considered before purchasing insurance.
  Market value plays a huge role in defining the IDV, some insurance companies offer different IDV options based on depreciation over time. Also one should consider IDV-related add-ons like zero depreciation.
• Add-on Covers: Several add-on covers can be beneficial to you. The most popular is Personal Accident Cover which is mandatory as well. This policy provides compensation in case of permanent disability or loss of life due to an accident.
• Passenger Cover: Another such add-on is the Passenger Cover which extends the benefits of personal accident cover to passengers as well. Moreover, the Zero-depreciation add-on rules out the depreciation factor for claims for the first few years of the policy (depending on the insurance company).

How to Buy from InsuranceDekho?

You are already at the right place as “Insurance Dekho” is daily helping lakhs of people to select and purchase Insurance online. So far, we have insured over 50 lakh people with motor (car and bike) insurance.

Before you plan on purchasing a car insurance policy, make sure to keep the following documents handy: 

• Your registered mobile number on which you will be receiving an OTP for verification
• Your KYC details
• In some cases a scanned copy of your passport size photograph or a physical passport size photograph 

Once you have all the documents in place, follow these steps to buy your Car Insurance. 

Online Process 

Buying your car insurance policy online is simple and easy through InsuranceDekho. Follow these steps and buy your policy today: 

Step 1: Visit InsuranceDekho’s Website 

Visit the homepage for Car Insurance on InsuranceDekho. You will find a form on the page as soon as you land. 

Step 2: Enter your vehicle number e.g. DLXXABXXXX 

Fill out the form on your screen with your vehicle number, and check out the listed plans.

Step 3: Compare All Car Insurance Plans to Choose 

Compare all the plans mentioned on the Compare Plan Page, and select the desired Car Insurance from the menu as per your requirement.

Optional Step: Connect with An InsuranceDekho Advisor 

In case you have any queries or doubts regarding the car insurance plans listed or you want to know more details about a car insurer of your choice, you can choose the “Request a Call Back” option. An InsuranceDekho advisor will connect with you to proceed further. 

Step 5: Make Payment 

After you have made the selection, you can make the payment to purchase your car insurance policy. Note that an InsuranceDekho agent might get in touch with you post-policy purchase to check your overall experience and clear your queries if any. 

Purchase via Insurer Website 

Alternatively, you can also buy your car insurance from company websites. The process will remain similar to what’s mentioned in the steps above. 

Offline Process 

In case you are not comfortable with buying a car insurance policy online, you can also choose to buy the policy offline by contacting an InsuranceDekho advisor on call. Additionally, in case you require a home visit, we can send our relationship manager to help you in the buying process in the comfort of your home

Why InsuranceDekho?

InsuranceDekho is a bridge between you and the insurance company. We make sure all the information you need is easily accessible to you at the ease of your fingertips. We make your insurance purchase journey relaxing with our smooth online process making the application process more time-saving.

At InsuranceDekho we believe that serving our customers is the only priority we have and here is why we can deliver on our belief statement and give the best insurance solutions assistance to our customers:

•  Certified Broker: InsuranceDekho is an IRDAI-certified broker and has been working in the space of Insurance for 8+ years.
• Trusted Brand: We are a trusted brand from the house of CarDekho Group that has been in the space of motor and auto tech for more than 15 years.
• Comprehensive Offerings: We offer a comprehensive set of insurance ranging from motor, health, life & term, travel, investment, shops, etc.
• Vehicles Insured: We have insured over 50 lakh vehicles till now and respond to you promptly as our insurance advisors and relationship managers are there to assist you 24*7.
• Quick Assistance: We assist you in getting all your queries resolved from the insurers faster.
• Dedicated Claim Support: We have our dedicated claim support team to help you in your entire claim settlement journey and a dedicated team member will be assigned to you when you come on board.

Not only do we help you purchase insurance but, we will be there with you when you are looking to make a claim, renew your policy, and select or choose another policy. Our dedicated customer support team will act as a medium of communication between the insurer and you and be there until the claim decision is made.

Conclusion

The demand for sustainable mobility options like EVs will increase in the future. Therefore, the insurance providers will have to come up with innovative services to cater to the demands of EV insurance, considering their unique components and features. For policyholders, having comprehensive car insurance coverage for their EVs will ensure financial protection and peace of mind in times of emergencies.

If you want to know more about your EV insurance or need any assistance,  reach out to us at +91-7551196989 or send us an email at support@insurancedekho.com

FAQ’s

Ques. Is EV insurance different from car insurance?

Ans. No, but EV insurance does include covers that are necessary for an EV like covers for battery and charging station.

Ques. Is EV insurance expensive?

Ans. The cost of insurance depends on the IDV of your vehicle, the type of coverage you choose, and your driving history.

Ques. What is IDV?

Ans. IDV stands for Insured Declared Value. This determines the maximum amount that the insurance company will pay you if your car is stolen or damaged beyond repair. The premium is likely to be higher for a higher IDV, but the claim will also be much higher.

Ques. How is IDV calculated?

Ans. Many factors are taken into account in calculating a car's IDV such as its current market price, age, model, and condition.

Ques. How can I get an EV insurance quote?

Ans. InsuranceDekho provides you with all types of quotes online for you to compare and identify which one fits your expectations.

Ques. What is an Insurance quote?

Ans. Insurance quote is an estimated amount the company provides to be paid yearly for specific insurance.