Why Aussies Are Still Unsure About EVs — And What Could Change That
Despite growing interest in electric vehicles (EVs), a new report from Youi reveals that most Australians still feel uncertain about making the switch.
The Youi EV Data Digest*, based on a survey of over 1,000 Australians, paints a clear picture: experience drives confidence, but most Aussies haven’t had it.
Key findings in the report show:
-
85% of Australians lack confidence in understanding EVs, including charging to insurance.
-
Only 7% have ever owned or leased an EV.
-
53% cite high purchase cost as the biggest barrier.
-
56% believe EVs are the most expensive vehicles to insure — but Youi data shows premiums are comparable to regular cars.
Despite the initial hesitancy, the data showed a clear link between experience and confidence, with 78% of EV owners say they’re likely to buy another, compared to just 22% of the general population.
But with such a small portion of Australians having ever driven or owned an EV, most drivers don’t know what they’re missing out on. So, what’s the missing link?
The Confidence Gap
According to Marni Jackson, Youi’s Head of Product – Vehicle and Leisure, lack of information and education around EVs could be contributing to low purchase intent.
“The research shows that while many Australians are still uncertain about EVs, they’re actively considering them,” Marni said.
“In fact, 69% say they need more information before they feel confident purchasing, yet 55% also say sustainability is a key factor in decision-making,” she said.
Barriers to Adoption
The top concerns holding Australians back include:
-
High purchase cost (53%)
-
Cost of installing home charging stations (48%)
-
Availability of public charging stations (47%)
-
Low understanding of resale value (14%), repair costs (14%), and government rebates (11%)
Fuel Savings and Sustainability Are Turning Heads
Despite the hesitation, many Australians are motivated by:
-
Lower fuel costs (51%)
-
Lower maintenance costs (43%)
-
Longer driving ranges (41%)
Insurance Misconceptions
According to Marni, there’s also a perception gap around insurance. 56% believe EVs are the most expensive vehicle to insure, but recent Youi quoting data suggests this may not be the case**.
Across the industry, the cost of car insurance has been trending upwards due to the increase of modern vehicles with advanced technology, labour shortages, and cars featuring more replacement parts.
“There’s a lot of misinformation out there. When comparing Youi’s insurance premium data, EVs and regular vehicles often fall within the same initial price range, before comparing individual circumstances. The good news is, the more people get to experience EVs, the more confident they become in these vehicles,” Marni said.
Youi’s data shows EV insurance quotes have grown from 0.66% in 2021 to 2.78% in 2025, but growth is slowing. Still, EVs are outperforming hybrids in quote growth (14.01% vs. 13.78%) and outpacing regular vehicles, which are in decline***.
According to Scott Nargar, Hyundai’s Senior Manager of Future Mobility and Government Relations, charging anxiety and regional disparities are major barriers.
“We’re seeing clear differences across states when it comes to EV readiness,” Scott said.
“For example, NSW residents are the most likely to consider an EV next (26%), while Queenslanders (15%) and Victorians (22%) are more hesitant, largely due to cost concerns. In fact, 58% of Victorians and 56% of Queenslanders surveyed cited purchase price as their biggest barrier, whereas NSW residents also weigh public charging access equally as their biggest barrier with purchase cost (50%).
“These differences show that EV adoption isn’t just about national trends, it’s about local infrastructure, policy, and consumer perceptions. Tailored education and support in each state will be key to driving uptake,” Scott said.
Scott adds that for many Aussies, it’s not just about cost, it’s about confidence. For those not yet ready to make the jump to an EV, Hybrids may just be the stepping stone technology they need and according to Scott, there’s never been a better time to make the switch.
“We know some Aussies remain cautious, but the reality is things are improving rapidly, from charging networks to affordability. This is just the beginning,” Scott said.
References
* Research conducted by Dentsu Intelligence in August 2025 with a sample size of 1,000 Australians.
**Premiums and offers to insure are subject to rating & underwriting, and your own individual circumstances. Product issued by Youi Pty Ltd, consult our Car PDS when deciding if this product is appropriate for you.
*** Sourced from Youi quote data based on VEH quotes from 1 August 2023 – 31 July 2024, comparing the median premiums for quotes done based on fuel type, sum insured group and model year.
