Australians are accelerating their shift towards electric vehicles at a rapid pace, with new insurance data revealing a sharp rise in interest as fuel prices remain unpredictable and supply pressures linger.
NRMA Insurance figures show EV insurance quote requests jumped 121 per cent in April 2026 compared with the same month last year, signalling a major lift in consumer appetite for electric motoring.
The spike comes as households continue to grapple with fluctuating petrol costs, with many motorists now weighing up long-term running savings over traditional fuel reliance.
NRMA Insurance head of automotive research Shawn Ticehurst said the data reflected a clear change in how Australians were evaluating their transport options.
“With more than 100 EV models now available across every major price tier, EVs are increasingly being seen as a viable option to help reduce running costs and provide greater certainty over day-to-day transport expenses. Mr Ticehurst said.
He said what was once considered a niche market was now moving into the mainstream as more consumers look for stability in their transport costs.
Second-hand market gains momentum
The growth is not limited to new vehicles, with demand for used electric cars also significantly lifting.
Australian Automotive Dealer Association data shows second-hand EV sales surged about 126 per cent in March, more than doubling typical monthly averages.
Mr Ticehurst said the used EV market’s expansion was a key turning point for affordability and accessibility.
“The growth we’re seeing in second-hand EVs is particularly pleasing. As more vehicles enter the used car market, it makes EV ownership accessible to a broader range of Australians,” Mr Ticehurst said.
“This marks a notable shift from 2024 when NRMA Insurance’s Changing Gears report recommended the introduction of standardised battery testing to help address consumer concerns and boost the nascent second-hand EV market.”
Confidence builds
Broader industry figures also point to growing momentum, with EVs making up a record 14.6 per cent of all new vehicle sales in March 2026, according to the Federal Chamber of Automotive Industries and the Electric Vehicle Council.
That figure is nearly double the 7.5 per cent recorded the year prior.
New data from the Electric Vehicle Council’s April vehicle sales report shows Tesla and Polestar delivered a combined 1458 new vehicles in April 2026, more than double the 702 sold in April last year.
Year-to-date sales for the two brands have surged 47 per cent to a combined 9185 vehicles.
The Tesla Model Y was the top-selling vehicle overall in April, with 822 units delivered.
The report also found NSW is leading the nation in EV growth in 2026, with year-to-date sales up 66 per cent compared with the same period in 2025.
Two years ago, NRMA Insurance’s Changing Gears report found only 20 per cent of Australians intending to buy a car in the next five years were considering an EV, with upfront costs, range anxiety and charging times among the biggest barriers.
Mr Ticehurst said perceptions were now shifting as the market matured and infrastructure improved.
“Concerns about expensive EV repairs and insurance are beginning to shift. While we still see longer repair times and occasional parts delays in some cases, these issues are easing as the industry scales and repair capability improves,” he said.
“At NRMA Insurance, we’re working with car manufacturers to better understand EV repair requirements and upskill our repair network to support this growing customer base.”
Preparing for growth
Insurance giant IAG, which includes NRMA Insurance among its brands, has EVs making up about 2 per cent of its motor portfolio. That figure is forecast to rise to 10 per cent by 2030 as adoption accelerates.
Tesla remains dominant in the insured EV space, accounting for about 60 per cent of battery electric vehicles covered by IAG, while brands such as BYD, MG, Hyundai and BMW are recording strong growth.
Long-term CSIRO modelling suggests the transition will continue, with most vehicles on Australian roads expected to be electric by 2050.
