Massive Car insurance costs?
- Thread starter MatsyLR
- Start date
Yet Another green tax then on all motorists in reality.
Man of Honour
Not really, all cars are getting more expensive to repair with all the fancy tech. Someone posted on here a few weeks ago that their fancy Matrix/LED/all singing all dancing headlights are IIRC £4k a side to replace.
Soldato
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- 23 May 2006
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- 7,647
why is it people like to whine about EVs forcing the average repair price of cars up where as people with cheap cars have been having to pay to cover the risk of them hitting a Ferrari etc since the dawn of time (slight exaggeration)
there are plenty of cars on the road more expensive to repair than my EV and mine is pricier than most
there are plenty of cars on the road more expensive to repair than my EV and mine is pricier than most
There are now many more EV’s on the road than Ferraris or any other type of super car. Also, as expensive as a Lamborghini is to repair often they can be Repaired, even if that repair costs £25k. An EV with battery damage is a complete write-off, sometimes to the tune of a £50k+ payout.
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Soldato
- Joined
- 23 May 2006
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so it's only a problem when expensive cars are beyond the realms of the super privileged?. Also some how I can't see a Renault Zoe forcing up premiums too much
I would love to see proper stats (not nonsense in the likes of the sun etc) showing that it is EVs the cause of the problem and not twonks in places. like London stealing range rovers etc having more of an effect.
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Soldato
And people nicking catalytic converters. My friend had hers stolen and insurers paid a new one - was £800 including garage fees
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Soldato
I don't think anyone is suggesting thats its "only" EV's thats adding to the cost, but when added to the increase in crime, uninsured drivers etc and with EV's appearing in increasing numbers with their generally higher amount to repair vs ICE, they do add an additional cost that everyone has to pay, not just EV owners.
EV News -
Motor Easy - EV warranty claims have almost quadrupled -
Warranty Claims For EV's More Than Triple
The growth, while partly explained by an increase in the number of EVs that MotorEasy now has under warranty cover, is also reflective of an aging EV fleet, with problems now starting to emerge.
www.motoreasy.com
Telegraph - John Lewis Insurance stopped offering EV insurance due to repair costs -
John Lewis stops insuring electric cars over repair cost fears
Susceptibility of batteries to damage spurs company to pause EV cover
www.telegraph.co.uk
Thatcham - EV incident claims are currently about 25.5% more expensive than their ICE equivalents and can take some 14% longer to repair -
Report highlights risks to battery electric vehicle adoption - Thatcham Research
Report highlights risks to battery electric vehicle adoption if repair and insurance sector concerns are not addressed Automotive risk intelligence...
www.thatcham.org
General Car Insurance -
Association of British Insurers - Motor insurers paid out £2.5 billion in motor claims in the second quarter of this year, up 29% on the £2 billion paid in the same quarter last year, cost of repairs up 46%, cost of hire/replacement vehicles up 52%, cost of Theft up 53% etc -
Keeping the UK moving – record motor insurance payouts to keep drivers mobile | ABI
Motor insurers paid out £2.5 billion in motor claims in the second quarter of 2023, up 29% on the £2 billion paid in the same quarter in 2022 according to latest ABI data published today.
www.abi.org.uk
EY - Car Insurers paying out 10% more than they made in 2022 -
UK motor insurance results analysis
EY analysis shows the UK motor insurance market experienced its worst performing year in a decade in 2022, with further losses expected this year
www.ey.com
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Soldato
My insurance is due 7th Dec so I am waiting for the renewal email shortly.
Good job Gov is giving us 500 quid for heating. Have to use that and put coats on in winter.
Good job Gov is giving us 500 quid for heating. Have to use that and put coats on in winter.
Soldato
- Joined
- 23 May 2006
- Posts
- 7,647
I don't deny EVs are having an effect at the moment. just tired how it always seems to be they get the lions share of the blame for..... everything really on social media and the gutter press.I don't think anyone is suggesting thats its "only" EV's thats adding to the cost, but when added to the increase in crime, uninsured drivers etc and with EV's appearing in increasing numbers with their generally higher amount to repair vs ICE, they do add an additional cost that everyone has to pay, not just EV owners.
EV News -
Motor Easy - EV warranty claims have almost quadrupled -
Warranty Claims For EV's More Than Triple
The growth, while partly explained by an increase in the number of EVs that MotorEasy now has under warranty cover, is also reflective of an aging EV fleet, with problems now starting to emerge.
Telegraph - John Lewis Insurance stopped offering EV insurance due to repair costs -
John Lewis stops insuring electric cars over repair cost fears
Susceptibility of batteries to damage spurs company to pause EV cover
Thatcham - EV incident claims are currently about 25.5% more expensive than their ICE equivalents and can take some 14% longer to repair -
Report highlights risks to battery electric vehicle adoption - Thatcham Research
Report highlights risks to battery electric vehicle adoption if repair and insurance sector concerns are not addressed Automotive risk intelligence...
General Car Insurance -
Association of British Insurers - Motor insurers paid out £2.5 billion in motor claims in the second quarter of this year, up 29% on the £2 billion paid in the same quarter last year, cost of repairs up 46%, cost of hire/replacement vehicles up 52%, cost of Theft up 53% etc -
Keeping the UK moving – record motor insurance payouts to keep drivers mobile | ABI
Motor insurers paid out £2.5 billion in motor claims in the second quarter of 2023, up 29% on the £2 billion paid in the same quarter in 2022 according to latest ABI data published today.
EY - Car Insurers paying out 10% more than they made in 2022 -
UK motor insurance results analysis
EY analysis shows the UK motor insurance market experienced its worst performing year in a decade in 2022, with further losses expected this year
EVs get the blame for mass fires like the ferry or Luton airport (and the retractions are always far quieter than the initial accusations).
people argue they are too fast or too quiet leading to more accidents (despite the fact carmakers have been making faster and quieter cars for the last 100 years... it's just that EVs do it so well... if a diesel was as quiet or fast as an EV it would have been championed!
they get the blame for partisan mining (despite the oil refining business betting partly to blame for this without comment for ever...
and now it is EVs forcing up our insurance despite increased import costs, the devaluing £ , increasing crime and the fact that cars across the board are generally just getting more hi tech and expensive which will affect insurance...
so much of the media want any excuse to try to create anti EV narrative.
(OTOH I would welcome a fair critique of them.. their pluses and limitations but that just does not happen).
the repair times is an issue (and trust me I know as I have a JLR EV). however why is it then that I can't get a significant saving by not having a courtesy car on my policy if the long repair times is such an issue? (I would consider that as we could live with 1 car for a short while but instead.
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Hypothesis: A big issue in motor insurance is third parties getting courtesy cars but billed to the at fault insurer at exorbitant costs. It's therefore in their interest (as an association of insurers) to minimise this practice. One way they do this is via what are called bilateral agreements, that mean certain insurers will deploy hire cars on behalf of the at fault insurer (if they have a bilateral agreement with that insurer) even though they are not at fault. So it's sort of like a consortium where you win some you lose some but when you lose, you lose a lot less than if some scumbag ambulance chasing intermediary (trust me, they aren't just looking to put you in an overpriced car, they'll be persuading you you've got a sore neck) is getting involved. Yes, you get kickbacks for the referrals but in aggregate, the insurers lose because the third party hire car mob are taking some profits.
Hence, the insurance industry as a whole offers cheap courtesy car cover because if nobody took courtesy cars they'd constantly be getting bent over with fees of hundreds of pounds a day. And of course that cost would get passed on to customers via increased premiums anywy.
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Soldato
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- 27 Mar 2013
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- 9,315
I'm sure I read that part of the issue with evs is the batteries are expensive. I believe in my model 3 that the batteries also reside outside of the wheelbase and aren't modular, so in the event of a crash the whole thing needs replacing which imo is incredibly stupid and there should be some sort of regulation for it. I don't understand why they can't be modular.
Soldato
I think the idea is that each repair costs more than an equivalent ICE car repair.
That should come down as more and more people trained on EV repairs.
I think Skoda for instance has extremely limited authorised garage within their dealership network. People reported having to go 100miles to book in a diagnostics let alone repair.
When my car had 12v battery fault they quoted me 6month wait for diagnostic alone.
Also believe it is the result of pandemic where companies have cut back on resourcing and staffing and now slowly the capacities are being restored.
Soldato
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- 23 May 2006
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I will say it is wrong that a main dealer will sell a car but then not maintain it. I almost bought a 2nd hand ampera. the local vauxhall garage had sold them but before buying I called them and they said I would have to go to Leicester if I wanted any main dealer work on the car. ..... outrageous imo (a very significant drive away)