September 22, 2026

Gap Between EV and Gas Car Repair Costs Hits Record Low in Canada

The Canada battery electric vehicle (BEV) repair cost gap versus gas cars has narrowed to a record low of $1,234, according to Mitchell’s EV Collision Insights report for the second quarter of 2026.

For repairable claims, BEVs were the most expensive, averaging $6,645 per claim compared with $5,411 for gas vehicles. Plug-in hybrids averaged $6,227, while mild hybrids (a gas powered vehicle that uses a small electric motor and battery to assist the engine) came in at $6,080.

Mitchell says a maturing electric fleet and higher total-loss frequency are pulling repair costs closer to parity across powertrains.

“The shrinking BEV repair cost premium is an important development for insurers and collision repairers, particularly as the electric vehicle car parc ages,” said Ryan Mandell, Mitchell’s vice president of strategy and market intelligence. “At the same time, ongoing trade and geopolitical uncertainty could put renewed pressure on replacement part costs and availability, with BEVs particularly exposed because of their greater reliance on OEM components.”

Another interesting finding from the study is that BEVs relied much more heavily on OEM parts, accounting for nearly 85% of parts costs compared with 61% for gas vehicles. BEV parts were also slightly less likely to be repaired instead of replaced, at 14.8% versus 16.6% for ICE vehicles.

Canada is moving in the opposite direction of the U.S., with BEVs making up a record 5.42% of repairable claims in Q2, up 12.4% from last year. Mild hybrids also increased to 5.52%. Meanwhile, Canadian EV sales rose 20.8% during the first four months of 2026, helped by higher gas prices and the return of government incentives, according to Mitchell.

British Columbia and Quebec posted the highest BEV claim shares among North American markets Mitchell tracked, at 9.34% and 9.19% respectively, ahead of even California at 7.02%. The Model Y and Model 3 accounted for the most repairable BEV claims in Canada at 23.29% and 22.79%.

While the gap between BEVs and gas powered cars is now closer than ever, it may not be that way for long. Mitchell warns that Canada–U.S. tariffs and the ongoing USMCA review could see the gap increase as prices for parts get inflated.

Set Drive Tesla Canada as your preferred source

Always get the latest - make Drive Tesla your preferred source on Google

Are you buying a Tesla? If you enjoy our content and we helped in your decision, use our referral link to get three months of Full Self-Driving (FSD).

Drive Tesla uses affiliate links, which means we may earn a commission if you make a purchase through them, at no additional cost to you. Thank you for your support.

Previous Article

Tesla recalls 19 Model Y vehicles in the U.S. for front suspension fastener issue

Next Article

Another Tesla driver in B.C. ticketed for allegedly sleeping behind the wheel [Video]

You might be interested in …

dalhousie

Tesla Advanced Battery Research team led by Canada’s Jeff Dahn reveal EV battery that could last 100 years

Tesla battery researchers at Nova Scotia’s Dalhousie University have published a new paper detailing an electric vehicle (EV) battery that could last 100 years before needing to be replaced. Tesla’s Advanced Battery Research division, founded […]