EV Claims Surge as Sales Slow: What Collision Repair Shops Must Know

The Growing Complexity of EV Repairs: Insights from the Latest Data

Despite a slump in new electric vehicle (EV) sales over the past year, collision repair claims for electric and hybrid vehicles are on the rise. According to recent data from Mitchell’s "Plugged-In: EV Collision Insights" report, repairable claims for battery-electric vehicles (BEVs) and hybrids have surged, reflecting the growing volume of electrified vehicles on the roads. While BEV sales dipped by 2% in the U.S. (2025), the complexity of repairs is on the upswing, indicating a shift in the collision repair landscape.

Impact of Repair Frequency on Collision Shops

The statistics are telling. Repairable claims for plug-in hybrid electric vehicles (PHEVs) increased by 6% in the U.S. and an impressive 26% in Canada. Mild hybrid electric vehicles (MHEVs) also saw notable upticks in claims, with increases of 20% in the U.S. and 29% in Canada. Shop owners must now adapt to the fact that even as overall sales cool, the increasing presence of these vehicles leads to higher demand for specialized repair services.

Calibrations: A New Norm for Collision Facilities

One significant factor driving this trend is the rise in average calibrations per estimate needed for each repair, particularly for BEVs. In 2025, BEVs averaged 1.70 calibrations compared to only 1.54 for internal combustion engine (ICE) vehicles. This uptick not only reflects the increased complexity but also the diagnostic and calibration operations that accompany the high-tech features of these vehicles. As the industry evolves, collision facilities without the necessary capabilities may find themselves at a competitive disadvantage.

Declining Values and Rising Repair Costs

The market is further complicated by declining market values for total loss vehicles. BEVs experienced the largest depreciation, dropping by 6% in the U.S. and 13% in Canada. This trend is attributed to multiple factors, including the influx of lower-cost models and shifts in consumer sentiment. Interestingly, the average severity of repairable BEV claims has also fallen—by 5% in the U.S. and 2% in Canada—indicating a mixed bag of challenges and opportunities for repair facilities.

OEM Parts Usage: A Growing Trend for EV Repairs

Mitchell’s report also highlights that OEM parts are becoming increasingly integral in BEV collision repairs, with a staggering 86% of parts expenses attributed to OEM components. In comparison, about 62% for ICE vehicles. This statistic underscores the importance of opting for manufacturer-specified parts for safety and efficiency, aligning with industry standards and improving repair outcomes.

Looking Ahead: Adapting to the New Normal

As more EVs enter the market and some age into the repair cycle, the shift presents a unique set of challenges. Collision repair shops must prioritize acquiring the right training and tools necessary for handling advanced driver-assistance systems (ADAS) and other advanced technologies. Without this preparation, shops risk losing out on potential business.

This presents an open invitation for business leaders in the collision repair industry: is your shop ready for this transformative era? Now is the time to invest in training and technology that supports EV and hybrid repair to stay competitive and meet the demands of today’s automotive landscape.