New WSG Research Reveals Most Expensive EV Warranty Claims
The largest EV warranty claim paid by WSG between 2023/2024 was £5,000 for a transfer box and rear electric drive motor, on an Audi E-Tron Sportback Quattro
Average warranty claims for EVs are much higher than comparative hybrids and ICE vehicles
EVs contain unique components such as large battery packs, electric motors and power electronics, all of which are expensive to replace
One of the biggest concerns for EV drivers is battery degradation
New research from Warranty Solutions Group (WSG) has revealed that the largest EV warranty claim paid by the firm between 2023/2024 was for a replacement transfer box and electric drive on an Audi E-Tron Sportback Quattro, totalling £5,000. The second highest claim went to the Nissan Leaf E Plus N-Tec for a radio unit costing £3,654.35, while the third highest claim was a heater fan motor on a Tesla Model X 100D, totalling £3,000.
WSG's analysis of 800 electric car warranty claims paid between March 2022 and October 2024 shows that the average warranty claims for EVs are much higher than comparative hybrids and ICE vehicles. The average EV claim was £675.97, compared with Hybrids at £633.18 and ICE vehicles at £482.52.
Steph Newbery, Group Director of WSG commented: “EVs are generally more expensive to repair than petrol or diesel vehicles for several reasons. The battery is the most expensive component in an EV and if it needs to be replaced, the costs can be significant due to its complexity, size, and the expensive materials used, like lithium and cobalt.
“Additionally, many EV components, such as electric motors and power electronics, are specific to electric vehicles and can be costly. These parts are not as readily available or mass-produced as traditional car parts, leading to higher prices.
“Some EVs are built with lightweight materials like aluminium or carbon fibre to offset the weight of the battery. These materials are often more expensive and complex to repair than the steel used in conventional vehicles.”
Some of the most expensive faults on EVs include battery charge control modules averaging £1,311.12, high voltage water heaters (£914.76), warning lights (£875.00) and in-car entertainment and infotainment (£860.63).
Battery charge control modules were also the single most common fault across the data analysed, followed by power distribution boxes and warning lights.
One of the biggest problems with EVs is battery degradation, which is often accelerated by frequent rapid charging. Some drivers have reported faster-than-expected degradation, raising concerns about costly battery replacements. Lithium-ion batteries, commonly used in electric cars, degrade over time, impacting the vehicle’s range and performance.
Like all batteries, their capacity decreases over time. Researchers suggest that battery capacity declines by approximately 2.3% each year. Battery longevity is highly dependent on temperature. One study found that in Florida, where temperatures are high, batteries last for 5.2 years on average. In Alaska’s colder climate, they could last up to 13.3 years.
Steph Newbery continues: “It is important that dealers emphasise the lower ongoing operational costs of EVs, such as fuel savings and reduced maintenance due to fewer moving parts compared to ICE vehicles. Customers need to know that that repairs often require specialised parts and trained technicians, which can increase repair costs if issues arise outside the scope of the warranty.
“Dealers should present the extended warranty as a proactive way for buyers to protect themselves from unexpected costs, especially given the higher potential expense of EV repairs. It is helpful to explain that while EVs are simpler in some respects, the high-tech nature of components like batteries, electric drivetrains and onboard software can result in more expensive repairs.”