California
made the news lately by mandating that by 2035, all new cars sold in the state will need to be gas free. The new law might come as a surprise to some consumers, but for the auto industry, it’s pretty inconsequential. That’s because most car brands are well on their way to shifting production away from internal combustion engines (ICE) and toward electric vehicles
, and the 2035 deadline matches most of their goals as well. Jerry
, your car insurance super app
, took a closer look at the target set by the Golden State to learn what it will mean for the rest of the country and how it compares to the plans set by automakers.California’s ICE ban won’t leave drivers out in the cold
California’s ban on ICE vehicles is the first of its kind in the U.S., but that shouldn’t surprise you. Its large population and air-quality
troubles have pushed the state to enact the toughest environmental regulations in the country. And though they're often first, they don’t often stand alone for long. The New York Times
says more than a dozen states tend to follow California’s lead on environmental legislation. Together, they make up a third of the nation’s auto market. The ban coming in 2035 is part of the new law making headlines, but it doesn’t stand alone. The state has a detailed plan for how to reach it smoothly, including a requirement for 35% of new cars to be gas-free by 2026, and 68% to be so by 2030.
California leads other states, follows carmakers
The Golden State might be flexing its weight in the sphere of government with its upcoming ICE ban, but within the auto industry, it’s just par for the course. The EV transition timelines set by most automakers doing business in the country match California’s new policy or outpace it.
Audi has one of the most aggressive EV plans, with an expectation to be fully electric by 2026, and other luxury car brands like Mercedes also hope to complete the shift before California’s deadline.
GM, one of the biggest brands in the U.S., planned to phase out gas engines by 2035 before California set its deadline, and Toyota set the same goal soon after.
And while the targets set by brands like Ford and Volkswagen are slightly less aggressive, they’re close enough behind that the state’s law isn’t expected to affect business much.
EV prices will settle as the shift continues
The move to ban gas cars might worry budget-conscious buyers looking at the average cost of an electric car today, but prices are expected to mellow as new models enter the market.
GM has already lowered the price of the Chevy Bolt to common entry-level car standards, and other EVs are expected to drop in price as commodity prices and supply chain issues settle.
Average car insurance for EVs tends to reflect their MSRPs, but if you want to make the shift to electric early and still want to save, you can find cheap car insurance quotes online
by shopping with Jerry. Jerry is your ultra-talented car insurance broker for life. No need to sit across from him at a desk: Jerry is an app! It takes less than a minute to sign up, and you’ll be presented with competitive rates from dozens of top providers. Don’t lose coverage—find savings with Jerry.
MORE: 46% Of People Don’t Know About Electric Vehicle Incentives
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