Is Canada ready for Electric Vehicles? Survey suggests Canadians need more education around EV ownership, insurance and infrastructure requirements

TORONTO — As the country gears up for the rise of electric vehicles (EV), many drivers have questions about how prepared Canada is to embrace this transformative technology.

As it stands, Canadians seem to need more information about crucial aspects of EV ownership, such as infrastructure requirements and insurance implications, according to a 2023 Ipsos Canada survey commissioned by BrokerLink, a subsidiary of Intact Financial Corporation, and one of Canada’s largest property and casualty insurance brokerages.

The survey revealed that seven in ten (71 per cent) Canadians who own gas-powered vehicles are reluctant to give them up. Yet, six in ten (59 per cent) Canadians, who don’t currently have an EV, are excited to drive one in the future. Meanwhile, the same proportion (59 per cent) of Canadians say they will consider an EV for their next vehicle purchase and nearly two-thirds (64 per cent) of Canadians say they want to drive an EV for environmental reasons, including to reduce their carbon emissions.

“The survey findings suggest there are significant gaps in people’s understanding, regarding the adoption of EVs in Canada,” says Grant Clarke, Vice President, National Personal Insurance at BrokerLink. “As we move towards the EV era, we wanted to capture insights to better understand Canadians’ sentiment towards EVs, and gauge their knowledge around auto insurance policies for this vehicle type, which is why we commissioned the survey.”

In the survey, Canadians identified several concerns switching from gas vehicles to EV, indicating that more education and support is needed to empower them in their transition towards EVs.

According to the survey, only a quarter (24 per cent) of Canadians are currently familiar with EV auto insurance policies, while two in ten (20 per cent) don’t expect that an EV policy would have any specific benefits related to EVs. When asked about the features/benefits Canadians expect from EV auto insurance policy, the top three included:

• Coverage for battery-related repairs (60 per cent)
• Coverage for charging equipment or infrastructure (53 per cent)
• Additional coverage for specialized EV components (52 per cent)
• Lower insurance premiums compared to gasoline-powered cars (46 per cent)

Meanwhile, Canadians seem to be more concerned about the type of car they drive, with a notable percentage (82 per cent) believing that factors like SUV, compact, or sports car classifications have a more significant impact on their insurance premiums compared to whether the vehicle is electric or gas-powered (56 per cent). Safety features, including anti-theft devices, airbags, and all-wheel drive, also factor significantly (71 per cent) into their considerations when it comes to insurance premiums.