Ask the Expert: Insuring EV Home Charging Units - What Brokers Need to Know

With the rapid growth in electric vehicle (EV) adoption in South Africa, home charging infrastructure is becoming increasingly common. As a result, brokers are now frequently asked how these installations should be insured and under which policy they fall. Providing clear, informed advice in this area is essential to ensuring clients are adequately covered.

Where does the cover sit?

A key consideration is whether the installed EV wall charger is insured under the motor policy or the client’s buildings (homeowners) insurance.
In most cases, a permanently installed home charging unit forms part of the fixed property and should therefore fall under the buildings policy rather than the motor policy. However, this depends on the insurer’s wording and whether the installation meets the definition of fixed plant or equipment.

Brokers should:

• Confirm how the insurer classifies EV chargers
• Ensure the replacement value is included in the building sum insured
• Clarify whether any sub-limits apply

Power surge and grid instability risks

South Africa’s exposure to load shedding, power surges, and grid instability presents a significant risk to EV charging equipment. Standard homeowners’ policies may not automatically provide adequate cover against these events.

It is critical that brokers:

• Review whether power surge cover is included by default or requires an
• endorsement
• Confirm limits applicable to electrical and electronic equipment
  Advise clients on surge protection measures, which may also influence underwriting terms

Installation risks and compliance

Another important and often overlooked risk area is the installation itself. Improper installation can lead to fire, damage, or liability exposure.

Brokers should guide clients to:

• Use qualified and certified installers
• Obtain a valid Certificate of Compliance (CoC)
• Ensure the installation complies with SANS electrical standards
• Failure to meet compliance requirements may result in claims being repudiated, particularly if the loss is linked to faulty installation.

Liability considerations

If a defect in the charging unit or its installation causes injury to third parties or damage to neighbouring property, liability exposure may arise. Brokers should ensure that clients have appropriate liability cover under their homeowners’ or personal liability policies.

Practical broker advice
To add real value, brokers should proactively engage clients who own or are considering purchasing EVs:

• Ask whether a home charger has been installed or is planned
• Ensure the charger is declared and correctly insured
• Review policy extensions for power surge and electrical damage
• Emphasize the importance of compliant installation
  Reassess the overall sum insured to avoid underinsurance

Conclusion

EV home charging units represent a relatively new but important risk category. The intersection between motor and property insurance, combined with South Africa’s unique power environment, means that brokers play a critical role in ensuring clarity and appropriate cover.

By taking a proactive and informed approach, brokers can help clients avoid coverage gaps, reduce risk exposure, and navigate this evolving landscape with confidence.