Electric Vehicle Charging Station, No Compensation for Accidents

With the election of candidate Yoon Seok-yeol as the 20th president of the People’s Power, the supply speed of electric vehicles is expected to be faster. Yoon Seok-yeol promised to freeze charging fees for electric vehicles for the next five years.

According to the Ministry of Land, Infrastructure and Transport, the cumulative number of electric vehicles in Korea jumped 71.5% from a year ago to 231,443 units last year. It is predicted that the number of electric vehicles will rise to 1.13 million in 2025.

The government plans to continue its eco-friendly stance, increasing the infrastructure related to electric vehicles, and rapidly expanding the supply of electric vehicles.

As the number of electric vehicles increases, electric vehicle charging stations are expected to expand. As of June last year, there are a total of 112 electric vehicle charging stations. The total number of chargers is currently around 104,000.

What if there’s an electric car charging station accident?

The problem is when an electric vehicle charging station accident occurs. Let’s take a real example. It happened at an electric vehicle charging station in an apartment complex in Dongnae-gu, Busan last month.

It is said that a small cargo electric vehicle parked after charging at this charging station caught fire with an explosion. Four electric vehicles parked together were burned together. Not only the electric vehicle charging station but also the apartment parking lot facilities were on fire, causing more damage than expected.

Who’s going to be responsible for the fire? If it’s about the electric vehicle itself, the manufacturer will proceed with the compensation. However, if there was a defect in the charger, the operator of the electric vehicle charging station that owns, uses, and manages the facility is the subject of compensation.

However, they said that the only insurance that electric vehicle charging station operators can afford is “Business Liability Insurance,” which is responsible for compensation for victims. This is not a mandatory subscription either. If the Dongnae-gu accident had spread to a large-scale accident that greatly lost the building, it could have been difficult to compensate for proper damage.

Gas stations and LPG charging stations have mandatory insurance

/Graphic=Kim Yong-min reporter kym5380@
Gas stations similar to electric vehicle charging stations, LPG charging stations, and hydrogen charging stations are required to be insured due to relevant laws.

According to the law, if damage occurs at a gas station, up to 150 million won per person is compensated. We will compensate up to 1 billion won for the product. In the case of LPG charging stations and hydrogen charging stations, up to 80 million won and 300 million won are compensated for personal and property, respectively, so damage relief is possible.

On the other hand, there is no such content in the Electrical Safety Management Act that electric vehicle charging stations receive. Unlike gas stations, LPG stations, and hydrogen stations, you don’t have to buy insurance. Both electric vehicle drivers and charging station operators have no choice but to “pray” to prevent accidents.

In this situation, the Ministry of Environment, the Ministry of Strategy and Finance, and the Ministry of Trade, Industry and Energy, which are in charge of supplying electric vehicles and expanding charging infrastructure, are not discussing the introduction of insurance.

The insurance industry is looking at concern. An insurance industry official said, “It is highly likely that the ability of electric vehicle charging operators to compensate for damages alone will not be smooth,” adding, “It is urgent to introduce full liability insurance to match the compensation equity with disasters at gas stations and LPG charging stations.”