QUICK SUMMARY
Australians face rising insurance premiums for electric vehicles, with comprehensive coverage averaging $2,134 for full EVs and $1,649 for hybrids. The Tesla Model Y RWD costs $3,109.81 to insure, while the BYD Dolphin Essential is the cheapest at $1,425.13.
Australians face rising insurance premiums for electric vehicles, with comprehensive coverage averaging $2,134 for full EVs and $1,649 for hybrids. The Tesla Model Y RWD commands a premium of $3,109.81, while the BYD Dolphin Essential is the most affordable option at $1,425.13. A recent report by Compare the Market shows that premiums have fluctuated, with some Tesla models seeing a six percent decrease since October 2024, while Toyota hybrids have increased by two percent. Factors such as increased repair costs, driven by pricier parts and labor, significantly impact premium rates. David Koch, economic director at Compare the Market, emphasizes the importance of comparing quotes, revealing a price difference of up to $3,100 for similar policies. He warns that higher premiums could deter potential EV owners, but encourages motorists to explore various options. Despite hybrids being cheaper to insure than full EVs, their premiums still exceed $1,000. The growing popularity of hybrid and plug-in hybrid models suggests a shift in consumer preferences towards electrified vehicles.