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Switching to an electric car could add £116 to your insurance

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24/06/2019
Electric vehicles are growing in popularity – but drivers who make the switch could see their insurance premiums soar.

A comparison of like-for-like electric and traditional models by Vantage Leasing found that electric vehicles cost 14 per cent more on average to insure – or £116.

However, in some cases electric vehicle cover could be as much as 37 per cent pricier than a petrol or diesel equivalent.

According to the research, two million electric cars will be on Britain’s roads by 2025, meaning motorists could be paying an extra £231m for insurance annually.

Vantage Leasing said excessive insurance costs – as well as “stubbornly high” retail prices – could temper drivers’ optimism about battery-powered vehicles.

Managing director Rob Walker said: “There’s no doubt UK motorists are ready for electric vehicles. Demand is growing because the technology and infrastructure is getting better every year. However, this optimism could easily be curtailed if the costs mount up.

“After all, electric cars are touted as being both kinder to the environment and easier on the wallet, so the industry must ensure they are affordable to ensure they become increasingly popular.”

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