Chinese EVs Face Up to 98% Higher Insurance Costs
Comprehensive insurance premiums for electric vehicles from Chinese manufacturers such as BYD and Nio cost up to 98 percent more than comparable models, according to an analysis by Verivox.
The analysis from Verivox compares the full comprehensive insurance costs of Chinese electric cars with similar vehicles from Europe, the US, Japan, and Korea. Calculations rely on a fixed profile featuring a 45-year-old driver in Berlin with a no-claims class of 15 and 12,000 kilometers of annual mileage.
Depending on the specific model, annual premiums in this comparison exceed similar vehicles by up to 870 euros. The evaluation shows up to 98 percent higher comprehensive insurance rates for Chinese electric and hybrid models compared to other brands.
Higher type classes serve as the primary cost driver, with Chinese electric cars receiving higher average classifications that translate directly into steeper insurance bills. For a BYD Seal U, drivers face costs that are 98 percent or 870 euros higher than those for a Skoda Kodiaq.
Expenses for a Nio EL6 run 60 percent or 729 euros above a Tesla Model Y, while a Leapmotor T03 costs 33 percent or 199 euros more than a comparable Fiat 500 Elektro.
The average comprehensive insurance type class for BYD electric cars sits at 27, compared to 20 for Skoda. Nio averages 29, Tesla stands at 26, Leapmotor reaches 24, and Fiat registers at 22,5.
These elevated type classes stem largely from insurers having limited data to assess risks and repair costs for brand-new models. Aljoscha Ziller, Geschäftsführer at Verivox, explained the underwriting approach. “Bei neuen Modellen lassen sich das Schadenrisiko und die Reparaturkosten oft nur schätzen, und sie werden vorsorglich in höhere Typklassen eingestuft”, says Ziller.
Additional caution stems from a lack of experience with manufacturers that have entered the German market only recently. Calculations factor in spare parts costs and availability, which heavily influence repair duration and final invoices.
The Gesamtverband der Deutschen Versicherungswirtschaft (GDV) describes type classes as originating from a car model’s damage and cost balance sheets over the preceding three years. For new models lacking a long history, expected damages from comparable vehicles factor into the equation. Comprehensive insurance also incorporates crash test data to determine repair efforts for typical accidents.
This disadvantage for Chinese brands is not permanent. The Allianz Center for Technology sees the classification gap between European and Chinese manufacturers narrowing.
Christian Sahr, Leiter of the Allianz Center for Technology, quantified the shift. In 2024, European manufacturers maintained an average advantage of three type classes over Chinese makers, but by 2026 that gap narrowed to just one class. Chinese manufacturers improved by an average of 1.5 type classes, while European brands worsened by an average of 0.5 type classes.
The Allianz Center for Technology bases these findings on classifications for new models launched in Germany since 2024, numbering 174 models in 2024, 115 in 2025, and 35 in the first half of 2026. Als mögliche Treiber für steigende Kosten nennt das AZT unter anderem die Reparaturfreundlichkeit und damit verbundene Reparaturkosten.
Not every policy carries a higher price tag as Chinese brand classifications improve gradually. The Verivox evaluation highlights models where Chinese vehicles insure for less than established counterparts. Der genannte Musterkunde aus Berlin zahlt beispielsweise für einen GWM Ora 03 eine um sieben Prozent niedrigere Prämie als für einen Peugeot e-308. Außerdem liegt ein Lynk01 Plug-in-Hybrid fünf Prozent unter einem Hyundai Tucson.
Für Käufer bedeutet das: Der Kaufpreis allein beantwortet die Frage nach den Gesamtkosten nicht. Ausschlaggebend sind vielmehr die jeweilige Typklasse des spezifischen Fahrzeugs und dessen Auswirkung auf den persönlichen Versicherungsvertrag. Die GDV-Typklassen lassen sich dafür modellgenau abfragen.