Price comparison sites saw 11 new electric vehicle products added in last year

Motor insurers are facing increasing competition in the electric vehicle (EV) market, according to a new report from market research firm Consumer Intelligence.

The report, released 13 August 2025, revealed that 11 new electric vehicle insurance products had been launched on price comparison websites in the past year, compared to just three petrol, diesel or hybrid vehicle products.

Such policies often contain specialised coverage such as EV breakdown support, charging equipment cover and carbon offsetting.

The battery EV (BEV) market was the fastest growing automobile segment in the past year, with the first third of 2025 seeing a 35.2% growth in sales compared to the same period last year.

Over the same timeframe, petrol vehicle sales dropped by 10% and diesel vehicle sales by 13.2%.

Lower premiums

The report also suggested that recent improvements in the EV repair network, as well as better claims data, had allowed insurers to begin lowering premiums.

Indeed, EVs are involved fewer road traffic accidents, but have historically been more expensive per incident due to more complex engineering requirements.

Ian Hughes, chief executive at Consumer Intelligence, said: “As BEVs become more mainstream, insurers are no longer treating them as niche risks. That’s creating space for more confident, competitive pricing.

“While electric vehicle sales remain just short of the government’s zero emission vehicle mandate target of 22%, the trajectory is unmistakable, the shift is accelerating and insurers are responding.”