I think in terms of cost alone going direct drive is a waste, you have a transmission, it won't need to shift much and few drives are lighter than an insight transaxle.
http://www.insightcentral.net/forums...a-insight.html
Beyond using a beefier Honda transaxle I really don't understand the XMSN being a talking point, use what you have or pay $$$$ and waste lots of time to re invent the wheel.
Only case where it's not a cost add is if you glider the insight onto another EV body, Smart, Imiev and leaf all look like good choices to glider with Smart being the easiest but also least reliable
Ah well