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Is It Time for Your Business to Plug Into Electric Cars?

by EINSURANCE

Should you use electric cars for your business?

Have you ever considered going plug-in with your company’s automobiles? Electrical vehicles (EVs) might be a good match for your business. More and more businesses are switching to EVs for deliveries and distribution. Utility companies are using plug-in cars successfully and car rental companies offer the electric option.

Benefits for Your Business

Although not for everyone, EVs are a good fit for businesses that use car fleets often in a local capacity. For the right situation, they offer some great benefits.

  • Fuel costs are cheaper – On average, gas costs 10 cents per mile compared to 2.5 cents per mile for electric.
  • EVs are lower maintenance – With an electrical car, maintenance needs are less, because EVs don’t have the same tune-up requirements. No belts, transmission, fuel injectors and so forth. Although repairs themselves can be more expensive, other savings offset the costs.
  • Tax credits and incentives offset expenses – These credits and incentives, along with lower costs per mile, help make up for extra costs that can come with EVs.
  • Electric cars help make your business more sustainable – A company can have a positive impact on the environment while adding some “green” to the brand.

Are Electric Cars More Expensive?

On the surface, yes, electric cars have a higher price tag. But a closer look shows that these expenses are offset by other factors such as tax credits and incentives and lower fuel costs. In addition, although repairs and maintenance can be more expensive than with a car that uses gasoline exclusively, electric cars don’t need that kind of attention as often. On average, car insurance is higher for electric cars, mostly because they are worth more than non-electric vehicles.

The Logistics of Car Charging

Many people have concerns about the range of a charged EV and availability of charging stations. Electric cars go about 60 miles on a single charge, which is good for local runs. With charging stations becoming more common, availability of a charge is less of an issue than it used to be. According to the U.S. Department of Energy, as of 2014 there were 13,684 electric stations offering in total 33,650 charging outlets for public use. The site’s Alternative Fuels Data Center features a map of these locations. A growing number of businesses are installing EV chargers for employees as well as fleets.

Whether your business uses electric or non-electric cars for your business, it’s important to get the best deal for auto insurance. The Einsurance comparison tool is available to help you find the best fit for your company and location.

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