Premiums for EVs still relatively high as insurers struggle to price risk

Paying higher insurance premiums, finding fewer online quotes and facing inconveniences when sending their electric cars for repairs — these are some hurdles electric car owners in Singapore have had to go through as early adopters of this more sustainable form of transport.

These problems point to a disconnect in the electric vehicle (EV) ecosystem here: while great efforts have been made to encourage EV adoption, with plans to improve the infrastructure and financial incentives doled out by the Singapore government, the insurance market has not yet caught up.

Based on checks done by The Business Times, the insurance premiums for electric cars are distinctly higher than comparable combustion engine models, and even higher for Teslas. Electric-car owners shopping on the Internet for quotes would also find that fewer insurers provide one for these models, compared to their combustion counterparts.