Top 5 Ways to Save on Electric Vehicle Insurance

Electric vehicles (EVs) are taking the world by storm, and for good reason. They’re eco-friendly, cost-efficient in the long run, and packed with cutting-edge technology. But one thing many EV owners overlook is insurance—specifically, how to keep those premiums low. With rising inflation and economic uncertainty, saving money wherever possible is a top priority.

Here are the top five ways to slash your electric vehicle insurance costs without sacrificing coverage.

1. Shop Around and Compare Quotes

Why Sticking With One Insurer Can Cost You

Loyalty doesn’t always pay—especially when it comes to car insurance. Many drivers stick with the same provider for years, assuming they’re getting the best deal. But insurance rates fluctuate, and new competitors often offer better discounts for EV owners.

How to Compare Effectively

• Use online comparison tools to get multiple quotes in minutes.
• Check for insurers specializing in EVs—they may offer tailored discounts.
• Look beyond price: customer service, claims processing, and EV-specific perks matter too.

2. Take Advantage of EV-Specific Discounts

Green Vehicle Incentives

Many insurance companies reward eco-conscious drivers. If you own an EV, you might qualify for:
- Low-emission vehicle discounts – Some insurers offer 5-10% off for driving an EV.
- Bundling discounts – Combine home and auto insurance for extra savings.
- Safety feature credits – EVs often come with advanced driver-assistance systems (ADAS) that lower risk.

Manufacturer Partnerships

Some automakers, like Tesla and Rivian, have partnerships with insurers to offer competitive rates. Always check if your EV brand has a preferred insurance provider.

3. Adjust Your Coverage Based on Usage

Pay-Per-Mile Insurance

If you don’t drive often, pay-per-mile insurance could save you hundreds. Companies like Metromile and Milewise track your mileage and adjust premiums accordingly—perfect for remote workers or city dwellers who mostly charge at home.

Higher Deductibles, Lower Premiums

Opting for a higher deductible (the amount you pay out-of-pocket before insurance kicks in) can significantly reduce monthly payments. Just make sure you have enough savings to cover the deductible if an accident occurs.

4. Improve Your Driving Habits

Telematics and Safe Driving Discounts

Many insurers now offer usage-based insurance (UBI) programs that monitor driving behavior through a mobile app or onboard device. If you drive safely—avoiding hard brakes, rapid acceleration, and late-night trips—you could save up to 30%.

Defensive Driving Courses

Completing an accredited defensive driving course not only makes you a safer driver but can also qualify you for additional discounts. Some states even mandate insurers to offer these savings.

5. Maintain a Strong Credit Score

The Surprising Link Between Credit and Insurance

In most U.S. states, insurers use credit-based insurance scores to determine premiums. A higher score suggests financial responsibility, which often translates to lower rates.

Tips to Boost Your Score

• Pay bills on time.
• Keep credit card balances low.
• Avoid opening multiple new accounts in a short period.

By following these strategies, you can enjoy the benefits of driving an EV without overpaying for insurance. The key is to stay proactive—review your policy annually, leverage technology, and always be on the lookout for new ways to save.