As per a press release dated November 22, 2023, the new add-ons are:
Battery Coverage
Coverage for loss or damage to the insured EV by fire, self-ignition, or short circuit while it is either charging its battery or parked at a charging station. This cover is claimed, by the insurer, to be first in the insurance market.Normally, most comprehensive insurance policies for motor vehicles provide insurance against fire. When asked about this, the company spokesperson said: “Any loss or damage in insured electric vehicle due to fire is covered in a regular comprehensive vehicle insurance policy; however, in Zuno General’s EV Add-On cover, fire due to a specific cause, that is while battery charging is also covered. This is not stated exclusively under a regular comprehensive policy and often comes under grey area, so this gap has been covered through the inclusion of this add-on,” explained Pooja Yadav, Chief Product Officer, Zuno General Insurance.
According to the press release, the battery coverage add-on also offers protection in case of consequential loss to battery or parts of battery due to water ingression due to insured peril/short circuit. This would protect the insured from the high cost of replacing the battery if damaged due to these causes.
Private Charging Station Cover includes:
- Coverage of charging cables, connectors, adapters, and all standard charging accessories for protection against accidental damage and theft and,
- Comprehensive coverage for privately-owned charging stations solely used for charging insured vehicles. This cover will safeguard EV owners against fire, theft, and accidental damage of their private EV charging stations.
According to Yadav, “this add-on cover is applicable to private charging stations which are owned by the Insured individual and used exclusively to charge their insured vehicles.”
Personal Accident Cover
The Zuno press release added: “Customers will have the choice to add personal accident coverage for cases of injury or death resulting from a fire, blast, or short circuit at their private charging station while charging the insured vehicle.” According to the company, these add-on covers were designed to plug grey areas in the EV insurance space.
Protection of EV batteries from damage due to water is relevant due to the high cost of these batteries. According to an ET report dated March 23, 2023, a new replacement battery for EV cars could cost up to 50% of the respective EV car’s cost. This high cost often makes replacing EV batteries uneconomical.