“The damage frequency of electric cars is significantly higher”

“If we compare the crash damage frequency of gasoline and electric passenger cars in the examined periods, it can be seen that the damage frequency of electric cars is significantly higher,” László Szobonya, the Groupama Insurance head of the residential non-life business.

According to the top car manager of one of the largest domestic insurance companies with a fleet of vehicles, “for example, if we look at the last 2.5 years, according to our own experience, the frequency of claims is 30-60 percent higher for electric vehicles than for gasoline vehicles.”

Before someone reflexively says that electric cars are like this, don’t do it. Not only because, in addition to the ten-year vehicle purchases of early birds who swore by electricity, in 2024 this is only the second car for a significant number of people who drive with an electric car, which means that these people also drive with internal combustion engines. To a large extent, the same families use both this and that. But with their electrics, they constantly shoot out at traffic lights and speed up… There is such a thing, but it’s not the main reason.

However, the possible explanations can really come from the use, or more precisely, from the attitude towards electric cars.

There are many reasons for more damage, and these are obvious explanations

“In the case of casco, the higher damage frequency is related to the use of the vehicle,” László Szobonya begins listing the reasons. It is important to emphasize that in this part of the article we are dealing with casco experiences, we will come to the mandatory motor vehicle liability insurance later.

According to Groupama’s top manager, an electric car with a higher value on average is typically a favorable choice for vehicle users who use their car more often. According to statistics, the majority of cars currently running in Hungary are early models with a shorter range (here is the full top list), the Datahouse According to data closed on December 31, 2023, the Nissan Leaf is the most common electric car (5,703 units) in our country, while the second is the BMW i3 (4,958). Both are ideal for running city cars. “In addition to everyday use, damages can occur several times, when going to work, typically with heavy traffic – even though we drive on a regular route – accidents are also more frequent,” says Szobonya.

According to him, it is also worth considering that electric cars are typically younger. However, “in terms of their traditional counterparts and casco, damage reports are rarer in the case of older cars. In the case of newer cars, we treat the protection of the vehicle differently, we repair any damage in almost all cases, while in the case of an old car, we may not insist on repairing minor damages” – this is also an explanation for more frequent damage payments.

“Possible Future Explanations”

In relation to the topic, we asked the specialists of the two largest domestic insurance companies, in addition to Groupama Allianz Hungary competent manager. Krisztián Borbély, the head of the latter’s claim settlement directorate, expresses caution, stressing that “we simply do not have statistics that can be traced back to a sufficiently long period of time, from which conclusions could be confidently drawn regarding the frequency of damage caused by electric cars, or possibly higher damage magnitudes. However, it is a fact that electric cars have many characteristics that are completely different from, for example, gasoline-powered vehicles. These differences can even mean a slightly higher risk on public roads.”

According to Krisztián Borbély, “for the time being, we can rely on what is really a factual difference between car types, and which may even serve as a possible explanation in the future, i.e.:

• On the one hand, electric vehicles operate with almost silent motors, so they are practically inaudible at low speeds. In any case, they are much less audible in city noise than, for example, a gasoline-powered car. This can pose a danger to pedestrians (especially children), cyclists and other drivers,” says the top manager of Allianz and continues. “If we switch to an electric car, remember that this is a new type of vehicle. It is much quieter than, for example, its petrol counterpart. Pedestrians have learned to navigate the roads by listening and observing the traffic noise. Therefore, drivers of electric cars that start almost silently must be especially careful, but those of us on foot or by bicycle must also be much more careful on the roads.
• In addition, electric vehicles often have more power, which allows for more dynamic acceleration even in crowded urban areas, and some drivers do not necessarily have the necessary driving experience, since modern electric cars are only now over ten years old.
• An important aspect is the weight of electric cars, which in itself can increase the amount of damage in collisions. At the same time, it should not be ignored that special technological requirements also apply during the repair of electric vehicles, which can also contribute to the higher restoration amount,” says Krisztián Borbély.

As if we had packed a hundred bricks into the basic petrol Astra (weight: 1332 kg), the electric version of the same model is so heavy (the latter is shown in the picture, its weight: 1679 kg). In the event of a collision, the Electric wreaks more havoc – including in itself (Image: Vezess)

The amount of damage is much higher for electric cars

We would like to know what the average amount of damages paid for electric car breakdowns was in recent years. Instead of specific numbers, László Szobonya emphasizes first of all that the average casco damage fluctuation is significantly influenced by the composition of damages and the number of cases.

“If we look at the last three years, we can see significantly higher average costs for electric cars. Based on the experience of previous years, we can see that the difference between the initial significant (then still multiple) repair costs is decreasing. Differences between 60-80 percent can be seen in the dimension of the three years.”

An electric car damaged in an accident in Budapest looks to be worth millions (Photo: Péter Lakatos/MTI)

Why is the kgfb of electric cars cheaper than that of internal combustion engine cars?

It is probably a general idea that the price per kgfb of used electric cars with a higher market value on average is higher than that of variants equipped with an internal combustion engine. The other day we asked the From Netrisk In the case of 10 popular car brands, the kgfb and casco annual average rates for passenger cars contracted with them, and the mandatory amounts, may come as a surprise to many.

For two-thirds of the brands, the kgfb of passenger cars equipped with an internal combustion engine is higher than for electric cars of the same brand. What is the possible explanation for this? According to László Szobonya, “it must be stated that the value of the vehicle is not a factor in the pricing of the KGFB, it is very important in casco pricing. From the point of view of Kgfb, the most important parameter is the weight and the power that moves it. From these, meaningful conclusions can be drawn about how likely the vehicle is to cause damage.”

And then what is the possible explanation for the fact that in the case of casco, the price of electrics was higher for all but one brand, and there was a difference of more than 300 percent within a given brand? Here is the casco table, also from Netrisk.

“In the case of Casco, it is worth considering that the market and repair experience of electric cars is relatively less than that of vehicles with conventional propellants. If we examine the different repair costs within a brand, it is definitely worth taking the model dimension into account. In the case of different models, there can be significant differences in the repair of the vehicles, and this is particularly evident if we also take electric models into account. Most electric models require more unique solutions from the point of view of repair, so they differ from the previous model range,” explains László Szobonya in response to the question.