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Buying an EV could be more risky, from a fraud standpoint

On Behalf of | May 4, 2023 | Dealer Fraud

In many ways, electric vehicles (EVs) have begun to take over the market. It seems apparent that these are going to be the future of transportation. As gas prices rise, many people are moving to electric vehicles – or, at least, hybrids. In the generations to come, it is likely that the vast majority of cars will have electric engines.

But there’s one major problem with this: The battery is so expensive. It could make up half of the value of the entire car. And even a minor scratch can make that battery too dangerous for the car to be driven. This means that insurance companies are often classifying these vehicles – with scratched batteries – as being totaled. They certainly don’t look like it, but they should no longer be sold.

What will your dealer do?

But what happens if an EV is damaged during manufacturing, in transit or while it is already on the lot? Say that the dealer notices that there’s minor damage to the battery. The car still looks fine, but do they need to scrap it? Would they be tempted to sell it to you, assuming that you would never notice the damage on your own? If they do, do you have a dangerous vehicle or one that is going to be prohibitively expensive to repair?

As you can imagine, many dealers may be tempted to try to move vehicles that they know are damaged, especially because electric vehicles are so expensive. There’s a lot of money on the line. Make sure that you know exactly what legal steps to take if you believe you have encountered automobile fraud.

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