Electric Cars in India: Advantages and Smart Investment

The rise of electric cars in India is nothing short of phenomenal. As the world's fourth-largest automobile market, India has the potential to become a major player in the electric vehicle industry. The Indian government's push towards electric mobility and the availability of incentives and subsidies have made electric cars increasingly accessible to consumers. The increasing awareness of environmental issues and the need for sustainable transportation solutions have also contributed to the growing popularity of electric cars in India. In this article, we will explore the benefits of buying electric cars in India, including lower running costs, environmental benefits, government subsidies, electric vehicle insurance benefits, and reduced dependence on oil. If you are considering buying an electric car, this article will provide you with the information you need to make an informed decision. So, let's dive in and explore the world of electric cars in India!

Benefits of buying electric cars

Here are a few benefits of buying electric cars:

·       Lower running costs

One of the biggest advantages of owning an electric car is the lower running costs. Electric cars are more energy-efficient than their gasoline counterparts and are less expensive to operate. Charging an electric car is much cheaper than refuelling a gasoline vehicle. Moreover, electric cars require less maintenance, resulting in lower repair costs over time. Hence, the total cost of ownership of electric cars could be lower than that of gasoline vehicles in a few years. Moreover, it would be easier to buy electric car insurance  for a car with lower ownership costs.

·       Environmental benefits

Another major advantage of owning an electric car is the positive impact it has on the environment. Unlike gasoline vehicles, electric cars produce zero emissions, which helps reduce air pollution. This is especially important in India, where air pollution is a major problem. By driving an electric car, you can contribute to reducing the carbon footprint and making India a cleaner and greener country. Moreover, the Indian government has taken efforts to increase the penetration of electric vehicle on India roads. This will significantly reduce carbon emissions from the transportation sector.

·       Government subsidies

The Indian government offers several electric vehicle subsidies in India to promote the use of electric cars. This includes a 50% subsidy on the purchase price of electric cars for individual buyers, along with tax breaks and exemptions. Additionally, the government offers incentives for the development of electric vehicle charging infrastructure, making it easier and more convenient to own an electric car. As per the Union Budget 2021-22, the government allocated ₹800 crore for the Phase 2 of FAME (Faster Adoption and Manufacturing of Electric Vehicles in India) scheme¹. This scheme aims to promote the use of electric vehicles in India. It is expected to drive the growth of electric vehicles in the country and make them more accessible to consumers. Moreover, these subsidies could be helpful as you can spend more on electric commercial insurance .

·       Insurance benefits

Electric cars also come with certain insurance benefits. Since electric cars are less prone to accidents and require less maintenance, insurance premiums are generally lower for electric cars when compared to gasoline vehicles. Additionally, some insurance companies offer special electric car insurance policies that provide coverage for battery damage, which is not covered under regular car insurance policies. Moreover, electric car insurance policies offer add-on covers such as personal accident cover and third-party liability cover, which provide additional protection to the policyholder.

·       Reduced dependence on fuel prices

Electric cars run on electricity. Electricity can be generated through renewable sources. This reduces the dependence on fuel, which is a major advantage. If you depend less on fuel, you do not need to worry much about the prices of petrol or diesel. You end up saving a large sum of money in the long run.

Conclusion

In conclusion, buying an electric car in India comes with several benefits, including lower running costs, environmental benefits, government subsidies, electric vehicle insurance benefits, and reduced dependence on foreign oil. With the government's push towards electric mobility and the availability of incentives and subsidies, electric cars are becoming increasingly accessible to consumers in India. As the market for electric cars grows, the cost of batteries and other components is expected to decline, making electric cars even more affordable in the coming years. In addition to the benefits mentioned above, electric cars also offer several other advantages over gasoline vehicles. For example, electric cars are quieter and smoother to drive, providing a more comfortable ride for passengers. Additionally, electric cars offer instant torque, which means they can accelerate quickly and efficiently. This makes them ideal to be driven in an urban environment. This is because cities commonly have stop-and-go traffic.   Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms, and conditions, please read the sales brochure/policy wording carefully before concluding a sale.