EV Adoption Accelerates: One in Eight Car Switchers Go Electric, Used Market Jumps

One in Eight Private Car Switchers Now Chooses an Electric Vehicle

The transition to electric motoring has gathered dramatic pace in Germany, reaching deep into the used-car market for the first time. According to an exclusive preview of data from insurer HUK Coburg, 12 percent of all private customers who changed their insured vehicle in the second quarter of this year moved from a combustion-engine car to a pure battery-electric model. That share is double the figure recorded for the whole of 2025 and the highest quarterly reading since the survey began in early 2020.

The acceleration is striking in the new-car segment, where the switch rate jumped to 24.9 percent, beating the previous record set in late 2022 by 1.8 percentage points. Perhaps more significant, however, is the leap in what is Germany’s much larger pre-owned market. The proportion of used-car switchers opting for a battery vehicle climbed to 7.9 percent – more than twice the level of the same quarter a year ago and a clear record.

Jörg Rheinländer, the HUK Coburg board member responsible for motor insurance, attributes the surge in part to “the steep rise in fuel prices.” He also sees particular momentum among drivers who cover more than 12,000 kilometres a year, for whom the switch rates are even higher. “The ramp-up of electric mobility has reached a new dimension,” he said, adding that used electric cars “could be a gamechanger” and suggesting that extending state purchase subsidies to pre-owned EVs might further accelerate the trend.

Germany’s electric-vehicle market continues to be dominated by Volkswagen, which sold more than 10,000 pure EVs in July and almost 60,000 since the start of the year, according to Federal Motor Transport Authority (KBA) figures that include both private and fleet registrations. In July, BMW ranked second ahead of Škoda, while on a year-to-date basis Škoda held second place, followed by BMW, Mercedes and Audi.

Behind the Shift: Fuel Prices, Incentives and the Second-hand EV Surge

What’s Driving the Record Switch Rates

The HUK data confirms that the business case for electric driving is strengthening in real time. Persistently high petrol and diesel prices are tilting the total-cost-of-ownership calculation in favour of battery vehicles, especially for anyone covering above-average annual mileage. The insurer’s own portfolio shows that high-mileage drivers are among the most active switchers – a pattern that aligns with the straightforward arithmetic of lower per-kilometre energy costs.

At the same time, the psychological barrier around electric cars is eroding as more models become available on the second-hand market. With a used-car market roughly twice the size of the new-car segment, the leap to a 7.9 percent switch rate represents a structurally important shift. It suggests that battery vehicles are no longer seen solely as premium purchases but are entering the mainstream where price-sensitive households decide.

The Role of Public Incentives and Policy

Rheinländer's call to extend purchase subsidies to used electric cars underlines how policy can either amplify or limit the trend. State support likely contributed to July’s strong new-EV registration figures. If incentives were eventually broadened to second-hand models, it could remove one of the last major frictions for buyers who cannot afford a new battery car. For insurers, such a move would mean a faster-growing pool of electric risks to underwrite.

Competitive Dynamics Among Carmakers

The KBA registration data reinforces Volkswagen’s pole position in Germany’s EV race, but the battle behind it is heating up. Both BMW and Škoda are close competitors, with Škoda ahead on year-to-date numbers and BMW overtaking it in July. Mercedes and Audi remain in the chasing pack. As the used-EV market expands, customer loyalty and the availability of certified pre-owned programmes will become increasingly potent competitive levers for these manufacturers.

What the Data Means for Car Buyers, Automakers and Insurers

• For households considering an electric car, the growing supply of used battery models – now appearing in meaningful numbers – opens a lower-cost entry point. High-mileage drivers stand to gain the most from fuel-cost savings, with HUK data confirming their higher switch rates.
• Prospective buyers should watch closely whether the German government eventually extends purchase subsidies to pre-owned EVs, as suggested by the HUK board member. A decision to do so could narrow the upfront price gap further.
• Automakers such as Volkswagen, BMW and Škoda that are building strong positions in both new-EV sales and remarketing stand to benefit as the used-EV segment catches up. Strengthening certified pre-owned programmes and battery health guarantees will be critical to capture this demand.
• Motor insurers should treat the accelerating switch as a signal to refine their EV-specific underwriting and claims-handling capabilities. As the risk pool shifts, pricing, repair-cost modelling and partnership networks for battery repairs will need to evolve in parallel.