A PHEV is a car that operates on both electricity (from plugging in) and petrol, and therefore has an electric motor and an internal combustion engine. Usually a PHEV runs on electricity first and then draws on petrol once the battery is depleted. That way, you are mainly driving on electricity on short hops around town and only using petrol for those longer weekend trips. If a family has only one car then a PHEV is a good option; however still having an ICE engine means that it will require servicing regularly, which can be an expensive undertaking. Check out the Mitsubishi Outlander which has a great luggage capacity for families or the Toyota Priius Prime for a compact PHEV or the Audi e-tron, which may appeal to Audi drivers!