NRMA Insurance has reported a jump in Australian motorists seeking insurance quotes for electric vehicles (EVs) in March 2026, as higher fuel prices and supply concerns influence vehicle choice and operating-cost planning.
Company data indicates EV insurance quote requests increased 42% in March 2026 compared with February, and 81% compared with March 2025. New South Wales, Queensland, and South Australia recorded the largest changes in quote activity, following a rise in crude oil prices and renewed concern about petrol supply linked to events in the Middle East earlier in the month. In an earlier update covering only the first half of March, NRMA Insurance said EV quote requests were already 15% higher than in the first two weeks of February, and 56% higher than in the same period a year earlier.
Shawn Ticehurst, head of automotive research at NRMA Insurance, said recent price movements are prompting motorists to reassess running costs and technology options. “It’s clear consumer sentiment towards EVs is shifting. NRMA Insurance is seeing a clear spike in the number of Australian drivers looking to EVs amid the most significant oil price shock in decades and ongoing concerns about petrol supply. At the same time, the expanding range of affordable EV models is giving motorists a clearer understanding of the day-to-day cost savings EVs can deliver,” Ticehurst said. He said the pattern of quote requests suggests many drivers are testing the implications of changing powertrains, including potential exposure to fuel price volatility, rather than responding only to short-term pump-price movements.
The latest quoting data marks a shift from the insurer’s 2024 Changing Gears research, which found only 20% of Australians planning to buy a car in the next five years were considering an EV. That research cited upfront purchase cost, range anxiety, and charging times as key reasons some consumers were hesitant to move away from internal combustion engine vehicles. Ticehurst said current quoting trends and market developments point to a different environment in 2026. “Today, with more than 100 EV models now available across every major price tier, a growing second-hand market, rising confidence in charging infrastructure, and repair capability, those concerns are fading fast,” Ticehurst said.
Ticehurst added that expectations around repair and insurance for EVs are also evolving as volumes increase and repairers gain more experience with high-voltage systems and EV-specific components. “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,” he said.
NRMA Insurance’s internal quoting trends are occurring alongside broader growth in EV sales across the Australian new vehicle market. According to data from the Federal Chamber of Automotive Industries (FCAI) and the Electric Vehicle Council (EVC), battery electric vehicles accounted for 11.8% of new vehicle registrations in February 2026, with 7,715 units recorded out of more than 90,000 total new vehicle deliveries. When additional volumes reported by the EVC are included, total EV sales in February reached 11,134 units out of 94,131 vehicles. EV share has more than doubled from February 2025, when battery EVs represented 5.9% of the market.
Across January and February 2026 combined, EV sales totalled 18,543 units, compared with 9,516 over the same period a year earlier. Plug-in hybrid electric vehicles (PHEVs) also recorded higher volumes, with 5,854 units sold in February 2026 versus 4,871 in February 2025. Brand-level data shows Tesla and BYD recording the largest EV volumes in February. Tesla delivered more than 3,200 vehicles, while BYD registered 2,969. Zeekr’s 7X model recorded 628 units in its second month on sale. At model level, the Tesla Model Y was the highest-volume EV with 2,791 units, followed by the BYD Sealion 7 (1,327), Zeekr 7X (628), Tesla Model 3 (483), and Geely EX5 (416). Other models with notable volumes included the MG4, BYD Atto 3, Omoda Jaecoo J5, BYD Atto 1, BYD Atto 2, and the BYD Seal.
NRMA Insurance is part of Insurance Australia Group (IAG), which also operates motor brands including RACQ, RACV, WFI, CGU, and ROLLiN’. EVs currently account for about 2% of IAG’s motor policies. The group expects this proportion to rise to around 10% by 2030 if current adoption trends continue. Within IAG’s EV book, Teslas represent about 60% of the battery electric vehicles insured. Ticehurst said there is also continued uptake of EVs from brands such as BYD, MG, Hyundai, and BMW, as additional models are introduced in different segments and price brackets. The concentration of early EV portfolios in a limited number of marques and models raises questions for insurers around repair network capability, parts pipelines, salvage outcomes, and residual values, particularly as the first waves of EVs move further into the used market.
