Rising petrol prices are accelerating interest in electric vehicles (EVs), with new data from NRMA Insurance showing a sharp increase in drivers seeking EV insurance quotes.

New data shows a 15% increase in EV insurance quote requests in the first two weeks of March compared with the same period in February 2026, and a 56% increase compared with March last year.

NRMA Insurance’s Head of Automotive Research Shawn Ticehurst said the rising petrol prices are clearly prompting Australians to think about the long-term cost of running a car.

“We’re seeing more people request EV insurance quotes, which suggests drivers are exploring EVs as a way to reduce their exposure to volatile fuel prices.”

Shift in consumer sentiment 

The trend marks a notable shift from NRMA Insurance’s 2024 Changing Gears report, which found only 20% of Australians planning to buy a car in the next five years were considering an EV, with concerns about upfront costs, range anxiety and charging times identified as key barriers.

Momentum in the broader market is also building.

According to the Federal Chamber of Automotive Industries (FCAI) and the Electric Vehicle Council (EVC), February 2026 recorded the highest share of EVs ever sold in Australia, with EVs making up around 12% of all new vehicle sales – a strong increase on the previous year.

Mr Ticehurst said the data shows Australians are getting more confident about buying an EV.

“We’re seeing attitudes shift as more EV models become available and drivers weigh up the long-term cost of fuel,” he said.

He added that perceptions about higher repair and insurance costs for EVs are also evolving.

“Concerns about expensive EV repairs and insurance are beginning to shift. While we do experience longer repair times and occasional parts delays for EVs in some instances, these issues are reducing as the industry gains scale and repairers become more skilled.

“At NRMA Insurance we’re working with manufacturers to better understand EV repair requirements and upskilling our repair network so we can serve this growing customer base.”

IAG is the country’s largest general insurer with brands including NRMA Insurance, RACQ, RACV, WFI, CGU and ROLLiN’. EVs make up around 2% of IAG’s motor policies, with expectations the share will rise to 10% by 2030 as adoption increases.

Of the battery EVs insured by IAG, Teslas represent 60%, but there is rapid growth among other brands including BYD, MG, Hyundai and BMW.

CSIRO modelling suggests that by 2050, most vehicles in Australia will be electric.

INDEPENDENT NEWS IS IMPORTANT.

Enjoy reading Eco Voice? Please help us by purchasing a GIFT Voucher or send one to a friend and encourage people to purchase trees or seeds via The Native Shop – www.nativeshop.com.au

Plants, seeds & more delivered to your door!