Why people are switching to Electric Vehicles

Hannah McNulty | July 2022

Nationwide research from Allianz* reveals that over half of Irish adults intend to make the switch to Electric Vehicles in the future, with cost savings being the main decision driver. 7% of Irish drivers claim to already drive an electric vehicle. 

With the rise in cost of living and climate change actions, we are bound to see an increase of electric vehicles on our roads in the next few years – better for our pockets, better for the environment!

Cost savings

Cost savings remains the highest voted factor for people to switch to electric vehicles, with almost 1 in 2 choosing a cost saving factor as their main reason for purching an electric vehicle. With a public ESB charger, it will cost around €22 for a flat-to-full charge, or you can opt to pay a monthly subscription of €4.79, which is signifantly cheaper than the rising fuel prices we are seeing! Charging your car at home can cost as low as 5 cent per kWh, depending on your electricity provider or the time of day you choose to charge. To paint a clearer picture, for every 100km travelled, an average Irish electric vehicle owner will pay €4.97 in electricity costs1. When purchasing a new electric vehicle, don’t forget that the SEAI offers grants of up to €5,000, plus they have a lower motor tax than petrol and diesel cars, so you’ll be sure to cut costs while running an electric vehicle.

Better for our environment

The next highest factor leading to the switch from petrol and diesel vehicles to electric vehicles is that they are better for our environment, according to 1 in 4 of our survey participants. 

For those that don’t yet own electric vehicles, and intend to do so, cost savings again tops their reasons for switching. However for this group, environmental reasons rate higher at almost 30%.  Read more about the environmental benefits from the SEAI here.

Electric Car Concerns

We also asked drivers what were their mains concerns were with switching to an electric vehicle. Conversly, cost was also the predominant reason preventing the switch to an electric vehicle. 

With their perceived high purchase cost, and small second hand market, seven in ten are likely to purchase a vehicle but at a cost below €50,000.

Despite the availability of over 1,350 public charging points on the island, range anxiety was the next concern among drivers, with 36% concerned with the amount of charging points and their battery’s range. However, the ESB have plans to expand their network of chargers so that you will never be more than 35km from the nearest one, and with further developments of electric vehicles, batteries now have a longer range than ever. Volkswagen offer battery ranges from 330km, 420km or 550km, so you’ll be sure to come across a few charging points along  your journey. Plus, with Allianz breakdown assistance, there’s no need to worry, as if you run out of charge on your journey, we will cover the cost of towing your electric vehicle to the nearest public charging point or your home charging point, whichever is closest! And with an Allianz home insurance policy, a wall charger in a private home is covered as standard.

EV Insurance Cover

When we asked participants about what was most important to them when seeking insurance cover, charging cable cover was ranked second most important after breakdown assistance. At Allianz, we cover your charging cable for loss or damage as a result of fire, theft or atempted theft and accidental damage if you have comprehensive cover. Additionally we offer liability cover while using your cable. 

For more features of our car insurance policy, read here.

Whether you’re considering switching to an electric vehicle for cost saving or environmental reasons, there’s never been a better time to make the move. There is an ever-increasing choice of electric vehicle models becoming available from a growing number of car brands. These come in a variety of shapes and sizes so you shouldn’t find your choice too limited.  And with Allianz, we’ll have you covered! 

*Coyne Research conducted the research on behalf of Allianz Insurance from 5th to 20th April 2022 across a nationally representative base of 1,000 respondents.

Allianz p.l.c. is authorised by the Central Bank of Ireland. Standard acceptance criteria and policy conditions apply. 

Information correct as of date of publishing. This blog will not be updated or edited so the information may become outdated.

Sources

1https://www.irishtimes.com/life-and-style/motors/electric-vehicles-ireland-ranked-fourth-most-expensive-country-for-charging-1.4538540