Compare Electric Car Insurance in Australia
With the surge of electric vehicle (EV) uptake continuing unabated right around the world, it's now more important than ever to familiarise yourself with the unique features of EV car insurance in Australia.
Whether you already own an electric vehicle or are thinking about taking the eco-friendly plunge, comparing EV car insurance options can help you find the right policy and insurer for your specific needs.GET A QUICK QUOTE
What is Australia's Electric Car Policy?
The Australian government – as well as state and territory leaders – have for years been taking steps to support the adoption of electric vehicles in the country and encourage sustainable transportation.
The National Electric Vehicle Strategy is part of the government's Powering Australia plan, which hopes to improve the affordability of EVs, create new jobs and slash emissions nationwide. This new electric car policy comes after calls for the government to take the driver’s seat of the EV revolution, particularly around national collaboration and the establishment of light vehicle fuel efficiency standards.
Transport emissions make up a whopping 19% of Australia's carbon footprint, with passenger cars and light commercial vehicles contributing a staggering 60% of that total. By pushing for Australian drivers to transition to electric vehicles, the government hopes to hit its emission-reduction goals of 43% below 2005 levels by 2030 and achieve net-zero emissions by 2050.
While it’s true that Australia has – until this point – lagged behind other nations in terms of EV sales, it’s hoped that the National Electric Vehicle Strategy will make Australia a globally competitive market for EVs, offering a wider range of affordable models, robust charging infrastructure around the country, and a seamless EV supply chain.GET A QUICK QUOTE
What Are the Policies Around EVs in Australia?
In terms of state and territory policies, they differ depending on where you live around Australia. However, some common initiatives include:
Electric vehicle subsidies:
There are financial incentives for buying an electric vehicle such as grants, rebates and tax credits, which can help offset the initial high cost of purchasing an EV in Australia.
The government is investing in the development of public charging infrastructure to support EV drivers for decades to come. This includes installing fast-charging stations along major highways as well as in busy urban areas.
Road user charges:
Some states are implementing or considering road user charges specifically for electric vehicles. The aim is to compensate for the loss of fuel tax revenue as EVs don’t consume petrol or diesel.
Like many countries around the world, the Australian government has set emission standards to help reduce greenhouse gases caused by cars and other vehicles, which will hopefully drive up adoption of low-emission and zero-emission EVs and hybrids.
Because the electric vehicle industry is constantly evolving, there will no doubt be regulatory changes and even new policies in the near future, so keep up to date with how your specific state or territory oversees EV purchases to ensure you are making the most informed decision about electric car insurance.
Why Get Electric Car Insurance?
Taking out car insurance for electric vehicles is extremely important for Australian drivers, and different policies with come with unique benefits catering to the specific needs of EV owners. These might include:
Some insurers have policies with usage-based insurance, where your premiums are based on the amount you drive. This can be particularly beneficial for EV owners who don’t commute in their electric car or only drive shorter distances.
Some electric car insurance policies may include additional coverage for specialised EV equipment and infrastructure, like home charging stations, wall connectors or solar batteries.
Certain insurers may also give discounts or offer incentives just for electric car owners during their end-of-financial-year sales.
The electric cars exemption means that Australian employers don't have to pay FBT for electric cars used for work purposes. So long as the car is a zero- or low-emissions vehicle, and used for the first time on or after 1 July 2022 by a current employee or their family members, it’s eligible. Expenses like registration, insurance, repairs and electricity for charging are also exempt.
Learning about all the new and existing benefits of EV car insurance in Australia can help you make a smarter decision and find the coverage that aligns with your budget.
Frequently Asked Questions
How much does Tesla car insurance cost?
The amount you end up paying for car insurance for your Tesla will depend on the model you own, where you live, the age of all nominated drivers, your driving history as well as the level of cover you are looking for. Make your life easier by comparing EV car insurance in Australia with Compare Club to find the best match for your individual needs.
Are electric cars cheaper to insure?
Not always, but in some cases your electric car may be cheaper to insure than a petrol- or diesel-powered vehicle. Factors like lower maintenance costs, usage-based cover as well as government incentives can be potential sources of savings for EV owners.GET A QUICK QUOTE
Looking for car insurance for a new or existing electric vehicle? Get a quick quote today that will help you compare electric car insurance and save with Compare Club.
GENERAL ADVICE WARNING: General Advice is advice that has been prepared without considering your current objectives, financial situation or needs. Therefore, before acting on this advice, you should consider the appropriateness of the advice having regard to those objectives, situation or needs.
If the advice provided relates to the acquisition or possible acquisition of a new insurance policy you should consider the Insurers PDS prior to making the decision to purchase their product.