June 12, 2020—There are lots of challenges in getting the public to widely adopt electric vehicles. There are just as many challenges for insurers, according to a story from Inside EVs.
Right off the bat, higher average repair costs might mean an EV is totaled much quicker than an older vehicle.If that battery is compromised, that could mean an instant write-off, the report says. The battery itself is somewhat of a precious jewel within the car, representing a huge portion of its overall value.
The vehicles of the future will present other new challenges for insurers to consider. Inside EVs identified cybersecurity threats and battery disposal as a couple. More information can be found in a report from Allianz Global Corporate and Specialty.