Are EVs a fireplace threat for insurers?

Most EV batteries are thought of a low fireplace threat and rigorous requirements apply, nonetheless a notion persists amongst media and the general public that EVs are a excessive fireplace threat, some insurance coverage stakeholders say.

That’s in response to Insurance Business Australia which quotes an Worldwide Union of Marine Insurance coverage (IUMI) supply after the Fremantle Freeway automobile provider fireplace as saying EV fires usually are not extra harmful than inner combustion engine (ICE) fires and simply have to be addressed in a different way.

IUMI has revealed a best practice guide for transporting EVs on ships with analysis about EV fires.

An accompanying launch suggests transport group considerations are rising about fires on automobile carriers however says analysis reveals fires in battery EVs usually are not extra frequent or extra harmful than ICE fires.

For example, whereas media hypothesis initially pointed to an EV contributing to the Fremantle Freeway fireplace, Insurance coverage Enterprise Australia says more moderen information stories say the fireplace trigger continues to be unknown.

From March 2024, the Worldwide Maritime Organisation (IMO) will think about methods to scale back fireplace dangers involving transport.

The Insurance coverage Council of Australia (ICA) has beforehand mentioned any fireplace dangers round EVs normally concern their charging stations or areas the place batteries are saved, including insurers have seen an increase in claims associated to such incidents.

Insurance coverage Enterprise Australia is searching for suggestions on the fireplace challenge.