Insurers are receiving more requests for quotes covering electric vehicles as Middle East fuel supply issues continue.

NMRA Insurance data shows EV quote requests jumped 42% last month and were up 81% year on year.

Head of automotive research Shawn Ticehurst says fuel price shocks are prompting many motorists to reassess their vehicle choices, and the range of affordable EV models is also expanding.

Mr Ticehurst says Teslas make up 60% of the battery electric vehicles insured across IAG’s motor portfolio, with strong momentum from emerging brands including BYD, MG and BMW.

The company last week welcomed the NSW government’s updated electric vehicle strategy, which includes expanding charging infrastructure.

Suncorp also noted a rise in quotes for EVs in March compared with previous months, “suggesting a spike in consideration” given increased fuel costs.

“EVs remain a small proportion of the overall mix of cars on Australian roads, but we will be closely monitoring consumer behaviour and new car sales over the next few months, as we expect many people may be weighing up options given cost-of-living pressures,” a spokesperson said.

An Allianz analysis of its motor policy data in the March 23 to April 12 period this year, compared to the three weeks prior, found that for new vehicles EV quote volume increased 64%, plug-in hybrid vehicle quote volume increased 60% and internal combustion engine vehicle quote volume decreased 28%.

“From what we are observing with our direct customers and via dealers, the shift toward EV ownership is more than a temporary trend - it’s rapidly accelerating, with the fuel crisis pushing many motorists to reconsider whether now is the right time to invest in an EV rather than delaying," a spokesperson said.

See ANALYSIS.

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