Fires, parts make EVs cost more to insure in Australia – but that may change

AutoExec Summary: Australian electric vehicle (EV) owners currently face higher insurance costs compared to petrol and diesel vehicle owners, primarily due to expensive parts and repair complexities. The Insurance Council of Australia (ICA) suggests that government investment in EV-specific mechanic training and ongoing reviews of insurance standards could help bridge this gap. Despite low fire risk, the unique challenges posed by EV battery fires necessitate tailored insurance approaches. EV sales are on the rise, indicating a potential shift in insurance dynamics.

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