STARK WARNING ISSUED ABOUT EV INSURANCE

EV drivers told premiums will rise until battery repairs are more feasible

-  JOHN EVANS

Insurance premiums for EVs will continue to rise unless the UK can find a cost-effective way of repairing damaged batteries rather than replacing them, warns Thatcham Research, an organisation owned by motor insurers.

This is because the component is worth up to 55% of the value of a new EV - and more as the vehicle ages and depreciates. As a result, some EVs that sustain damage to their battery in an accident are being written off.

While the number of repairs is rising, it remains a very low proportion of total EV repairs, at 2%.

Thatcham Research warns that as the number of EVs in the UK increases beyond today's 1.5 million, it's essential the UK develops a battery repair and refurbishment industry that will help to keep the costs of claims down.