| As innovative brands like Tesla continue to advance in technological developments, accessibility to consumers and sales, the popularity of electric cars continues to grow steadily, as well. There were close to zero electric cars on the road anywhere in the world in 2010. That may seem hard to believe now, as the global stock total topped 7.2 million in 2019 — and that’s not even including new car sales so far in 2020. 2019 recorded 2.1 million electric passenger car sales, the International Energy Agency (IEA) reports, culminating in a global stock total of 7.2 million electric and plug-in hybrid passenger cars — more than doubling the international stock total in just two years — up from 3.2 million in 2017. With this explosive growth in a new market comes a need — or opportunity — for new insurance products. There are many factors to consider in car shopping, including price, fuel costs, safety and more. In shopping for an electric car, these main considerations are much the same — but what about insurance coverage? Insurance basics for electric cars According to Allstate, auto insurance policies for electric cars aren’t much different than traditional coverage for standard fuel-run vehicles. One additional consideration drivers should consider, however, pertains to more than just your new battery-charged ride. According to Allstate, the installation of vehicle charging stations may affect homeowners’ insurance policies. The American Association of Insurance Services reports that laws in at least two states (Oregon and California) require some homeowners and condo owners to have liability coverage that protects the charging equipment. Where electric cars dominate the roadways Insurers should take note of where electric cars are most populated. Breaking down electric car ownership by region, China dominates the market. According to the IEA’s 2019 Global Outlook report, China accounted for more than half of electric car sales globally in 2019, and 3.35 million of the global total to-date. Europe takes second place with 560,000 sales, followed by the United States, with roughly 330,000 electric passenger cars sold in 2019. Despite rapid year-over-year growth, electric cars and plug-in hybrids accounted for just 2.6% of global passenger car sales in 2019, according to the IEA’s 2019 Outlook. Looking at 2020, the IEA expects electric cars to outperform the automobile industry as a whole this year. Sales of electric cars are expected to be in line with 2019’s total, while the global passenger car market is expected to decline by 15%, largely due to the COVID-19 pandemic, experts say. Facing the latter-half of 2020, a new report from Statista sourced data from Clean Technica to determine the estimated sales of electric vehicles from January through June 2020 and rank the best-selling models in the first half of 2020. |
Commercial Auto
Strategies to Reduce Auto Insurance Costs
In today’s economic climate, finding ways to cut expenses is a priority for many households, and auto insurance is no exception. On average, full coverage auto insurance costs $2,458 annually, or about $205 monthly, according to Bankrate. However, these rates vary widely depending on geographic location, personal factors, and the type of coverage. Why Auto Insurance Costs Vary Factors like a higher cost of living, state minimum coverage requirements, and traffic patterns heavily influence insurance premiums. For example: Beyond location, your driving record, credit history, and even age significantly impact your insurance rates. Expert Predictions for Rising Rates Industry experts warn that auto insurance rates are expected to rise further in 2025 due to inflation, increased vehicle repair costs, and a higher frequency of severe weather events. Practical Tips to Save on Auto Insurance To help mitigate rising costs, here are nine strategies from Consumer Reports, tailored to help drivers maintain robust coverage while cutting expenses: At Skyscraper Insurance, we understand the financial challenges you face and are committed to helping you find tailored auto insurance solutions that balance affordability with comprehensive coverage. Contact us today to explore your options. #SkyscraperInsurance #AutoInsuranceSavings #RiskManagement #WeShareYourVisionForABetterTomorrow
