Electric car insurance works like petrol car cover, with extra options for battery and charger. Learn what is covered and what to check. Get a quote today.
Electric car insurance is insured in the same way as a petrol or diesel car. You need at least a third-party policy by law, and you can choose a comprehensive policy to cover your own car as well. Insurers may also offer extra covers for the battery, charger and cables, so check these before you buy.
An electric car has a costly battery and a special charging setup. That is why it helps to know what your policy covers and what it leaves out.
What does electric car insurance cover?
A comprehensive policy for your electric car has two main parts. The first is third-party cover. It pays for injury, death or property damage to another person. The second is own damage cover. It pays for damage to your own car from accident, fire, theft, natural calamities like flood or earthquake, and man-made events like riot, as per policy terms.
Your policy also has a personal accident (PA) cover for the owner-driver. This is compulsory at ₹15 lakh, unless you already have a similar cover. It applies to the owner-driver only.
If you want to understand the basics first, read our guide on comprehensive insurance and how it differs from basic cover.
Is insurance compulsory for an electric car?
Yes. Third-party insurance is compulsory for every vehicle on Indian roads under the Motor Vehicles Act, 1988. This includes electric cars.
If you drive without valid insurance, the fine is ₹2,000 and/or up to 3 months in jail for a first offence. For a repeat offence, it is ₹4,000 and/or up to 3 months. So never let your policy run out.
A third-party policy does not pay for damage to your own car. For an electric car with a costly battery, many owners prefer comprehensive cover for this reason.
Extra covers you may find for an electric car
Insurers may offer add-ons made for electric vehicles. The terms differ by insurer, so read the policy wording well. Common options are:
- Battery cover: helps with damage to the battery, as per policy terms.
- Charger and cable cover: covers the portable charger and the cables.
- Home charging unit cover: covers the charging unit fixed at your home.
- Zero depreciation: the insurer does not cut depreciation on replaced parts, so the claim pay-out is higher.
- Roadside assistance: help if your car stops on the road.
- Return to invoice: may help if the car is stolen or badly damaged.
Not every insurer offers every cover. Some covers have limits, so ask what is and is not included. You can also read our post on EV battery cover to see why the battery needs special care.
What is IDV and why does it matter?
IDV (Insured Declared Value) is the current market value of your car, agreed with the insurer. It is roughly the maker's listed price minus depreciation for the car's age. It is the most you can get if your car is stolen or is a total loss.
Setting IDV too low means a smaller pay-out. Setting it too high may make you pay more premium without a real benefit. Choose a fair value that matches your car's actual worth.
What to check before you buy
Not all electric car policies are the same. Before you pay, check these points:
- Does the policy mention battery damage clearly, and what are the limits?
- Are the charger, cables and home charging unit covered?
- Is there a network of garages that can repair electric cars on a cashless basis?
- Is roadside assistance included, and does it help with towing to a charging point?
- What is the compulsory deductible, and what is the voluntary deductible you choose?
- Which add-ons are allowed for your car's age?
A cashless claim means you repair at a network garage and the insurer pays the garage directly. You pay only items that are not covered and your deductibles. With reimbursement, you pay first and claim the money back with bills. Ask whether the garages near you can handle electric cars.
How claims work for an electric car
The steps are the same as for any car. Inform your insurer quickly. Inform the police for theft, major accident, third-party injury or death, and riot. Do not move or repair the car beyond need before the survey. The surveyor checks the damage, you submit documents, the car is repaired, and the claim is settled.
For electric cars, tell the surveyor if the battery or charging parts are hurt. Take clear photos. Our claim support page can guide you through the steps.
Claims can be rejected for reasons like an expired policy, drunk driving, driving without a valid licence, late intimation, or wrong or hidden facts. Normal wear and tear and mechanical breakdown are also not covered.
Tips to keep your NCB and renew on time
No Claim Bonus (NCB) is a discount on the own-damage premium for claim-free years. It belongs to you, not the car. It is usually kept if you renew on time. Insurers usually allow renewal within about 90 days of expiry to keep NCB, but check your policy. Read more on no claim bonus.
To see all options for your car, visit our electric vehicle insurance page. When you are ready, you can get a quote.
Rules and add-on terms can change and differ by insurer. Your policy document is final, so read it well before you buy.
FAQs
Is electric car insurance costlier than petrol car insurance?
It can differ, because the car's value and parts are different. We cannot say it is always costlier or cheaper. Compare quotes and the covers offered.
Does insurance cover my home charger?
Some insurers offer a charger and home charging unit cover as an add-on. Check your policy wording for the limits.
Can I buy only third-party insurance for my electric car?
Yes, third-party cover is the legal minimum. But it does not pay for damage to your own car or battery.
Is battery damage always covered?
Not always. It depends on the cause and on the add-ons you picked. Read the policy terms before you buy.
This guide is for information only. Rules and policy terms can change, and the policy document is final. Please read your policy wording.