At a time when many consumers want to save on gas but aren’t ready to buy a fully electric car, hybrid vehicles—which use both gasoline and electric motors to make them go—are having a moment. The Kiplinger Letter forecasts that hybrids will account for 14 percent of vehicle sales in 2024, up from 9 percent in 2023.
So, why are hybrids in vogue? Car experts cite several factors, including better engineering. Keith Barry, based at the Consumer Reports Auto Test Center, notes that the hybrid version of a vehicle model often outscores the gas-only version in road tests, thanks in many cases to the instant torque from the electric motor.
Buyers also have an improved selection of models to choose from. And the price premium for a hybrid compared with a gas-only model of the same vehicle has come down. Plus, compared with buying a fully electric vehicle, there’s not much of a learning curve.
“Buying or driving a hybrid does not require learning a new skill, finding a new place to refuel or installing new equipment,” says Brian Moody, an editor at Cox Automotive.
To see an estimate of fuel cost savings with a hybrid version of a vehicle compared with its gas-only counterpart—including the number of years it’d take for fuel savings to make up for the initial price difference—try the calculator at www.fueleconomy.gov (click on “Can a Hybrid Save Me Money?”).
If you’re on the fence about whether to buy a conventional hybrid car or a fully electric vehicle, a plug-in hybrid vehicle (PHEV) might be a good compromise. PHEVs can be charged from the grid just like a fully electric car.
A PHEV’s range on that stored electric power is far shorter than that of fully electric cars. But because they’re also equipped with a gas-burning engine, PHEVs’ total range is immense, and extending it isn’t a question of finding somewhere to plug in—you can just fill up the tank. That addresses one of the chief concerns of EV shoppers: “range anxiety,” the term for worrying about running out of electricity and being unable to easily recharge.
To use a PHEV to its full potential, you must charge it frequently. “For most plug-in hybrids to be practical, you have to plug them in every night,” says Joseph Yoon, consumer insights analyst for car website Edmunds.com. “If you can’t, it becomes kind of a pointless premium.”
That’s not only because a PHEV costs substantially more than a gas-only model (and more than a conventional hybrid), but also because fitting the bigger and heavier battery that a PHEV requires can compromise cabin space, driving quality or both. Furthermore, some PHEVs have not lived up to their published economy figures in real-world driving, though this phenomenon appears most pronounced in pricey performance and luxury plug-ins that sell in low numbers.
Another substantial variable to consider: PHEVs are eligible for the same federal tax credits as fully electric vehicles (conventional hybrids don’t qualify). That could take $3,750, maybe even $7,500, off the price.
