Repair Cost Gap Between Electric and Gas Vehicles Narrows to Record Low

In Canada, the trend follows a similar trajectory, with the cost difference settling at $1,234 CAD. Mitchell’s report attributes this shift to a maturing electric fleet and higher total loss frequencies that are gradually aligning repair expenses across different powertrain technologies. Despite this progress, Ryan Mandell, Mitchell's vice president of strategy and market intelligence, warned that global trade volatility could disrupt this trajectory by inflating the price of specialized OEM components that electric vehicles rely upon more heavily than combustion models.

Regional adoption rates for electrified transport continue to diverge. While pure battery electric vehicle claims in the U.S. remained stagnant at 3%, mild hybrid models surged to account for 6% of all repairable claims—a 26% year-over-year increase. Canada saw more aggressive growth, with both battery electric and mild hybrid vehicles reaching record shares of over 5% each. These figures reflect a broader market shift, bolstered by a 21% jump in Canadian electric vehicle sales during the first four months of 2026. Data suggests that while the price gap is closing, structural differences in service remain: BEVs still utilize OEM parts for 85% of repair costs, compared to just 61% for internal combustion vehicles, and shops are opting to replace damaged parts on electric models more frequently than they do for traditional automobiles.