With the rise of electric vehicles (EVs), the insurance world is undergoing a rapid and profound transformation. The massive arrival of on-board technologies—such as driver assistance systems, telematics, and artificial intelligence—is disrupting traditional risk assessment models. Faced with this silent but decisive revolution, insurers are rethinking their offerings, refining their pricing tools, and reviewing their guarantees. To learn all about this major change, read our full report on electric car insurance.

Electric vehicles at the heart of the automotive revolution

The transition to carbon-free mobility has accelerated in recent years, driven by stricter environmental regulations, tax incentives, and heightened awareness of the climate crisis. The electric vehicle has become one of the symbols of this revolution.

But electric vehicles don't just replace the combustion engine with a battery: they incorporate a growing number of digital technologies that profoundly change the driving experience. These developments have major implications for insurers, who must now assess not only driving behaviors, but also software reliability, the vulnerability of embedded systems, and connectivity risks.electric car insurance adapts accordingly.

Embedded technologies on the rise

Electric vehicles are often referred to as "smart cars" – intelligent, connected, or even semi-autonomous cars. Some of the key innovations they feature include:

• Advanced Driver Assistance Systems (ADAS), such as automatic emergency braking, lane keeping and blind spot detection. These devices, controlled by sensors, cameras and radars, help reduce road risks... but also introduce a dependency on electronics.
• On-board telematics, which allows real-time collection of driving data (acceleration, braking, journeys, etc.). This information is increasingly used by insurers to adapt contracts to real-life usage.
• Artificial intelligence, integrated into navigation, energy management and behavior analysis. AI paves the way for increasingly autonomous vehicles, but also creates new challenges related to the reliability of algorithms.
• Over-the-air (OTA) software updates, which allow patches or improvements to be installed without going to a garage. These features make maintenance easier, but also raise the question of liability in the event of a post-update bug.

A new typology of risks to cover

The technological shift in EVs is generating a whole new type of risk, which insurers must integrate into their coverage models.

• Software bugs : a failure in a driver assistance system or a malfunction in battery management can lead to an accident without human fault.
• Cyber ​​attacks : The increasing connectivity of vehicles opens the door to malicious intrusions. Hacking into a vehicle or its charging system is now a scenario covered by some insurance policies.
• Damaged sensors : during an impact, even a minor one, the sensors or cameras of ADAS systems can be affected, significantly increasing the cost of repairs.
• Electronic faults : the increasing complexity of components makes diagnostics more difficult and repairs longer – and therefore more expensive for insurers.

Behavioral pricing and tailor-made guarantees

To meet these new challenges, insurers are developing more personalized and dynamic offerings. Two main trends are emerging.

1. Behavioral pricing

Thanks to telematics, it's now possible to offer policies based on actual vehicle usage. The principle is simple: the more carefully you drive, the lower your premium. This "pay how you drive" approach encourages responsible driving while adjusting the rate to your individual risk profile.

2. Guarantees specific to electric vehicles

Some insurers now include coverage dedicated to the specific features of EVs, such as:

• Support for battery replacement or repair.
• Coverage of home charging stations.
• Specific assistance in the event of a power failure or flat battery.
• Guarantee in the event of a cyberattack or data theft.

Driving analysis and loss prevention

The detailed analysis of driving behavior using on-board data allows insurers to go beyond simple compensation. They become players in the Risk prevention.

The data collected helps identify risky behaviors (sudden acceleration, excessively fast turns, failure to use driving aids) and alert the policyholder in advance. Some companies go further by offering coaching programs or premium reductions for exemplary drivers.

The personalization of insurance thus becomes a lever for loyalty, but also a tool for reducing the number and severity of claims.

Predictive AI and partnerships with manufacturers

Artificial intelligence transforms also the way claims are handled.

• Predictive AI allows us to anticipate certain breakdowns or risky behaviors, thanks to models cross-referencing thousands of data points from vehicles.
• Automation of claims management (automatic collision detection, damage assessment via on-board camera, smartphone-assisted reporting) speeds up compensation times and improves customer satisfaction.
• Partnerships between insurers and manufacturers are multiplying. Some insurance contracts are now integrated into the vehicle purchase or offered directly through brand platforms. This allows for data sharing and more precise adaptation of offers to each model.

Insurance in full transformation

Technological developments in vehicles Electric vehicles are forcing car insurance to rethink its foundations. Faced with new risks, sometimes invisible or intangible, yesterday's models are no longer sufficient.

This transformation is also an opportunity: to offer fairer, more connected, more proactive insurance, serving sustainable and secure mobility.

Towards a new era of car insurance

The future of car insurance is unfolding today. With the rise of electric vehicles, self-driving cars, and shared mobility, the insurance industry is becoming more technical, more predictive, and also closer to real-world usage.

Tomorrow, insurance contracts could no longer be simple financial protections, but become real services integrated into the vehicle ecosystem : breakdown alerts, driving recommendations, software updates, remote assistance, etc.

Insurance adapts, evolves, innovates – to keep pace with an ever-smarter car.