Electric vehicles driven by in-wheel-motor have the advantages of compact structure and high transmission efficiency, which is one of the most ideal energy-saving, environmentally friendly, and safe driving forms in the future. However, the addition of the in-wheel-motor significantly increases the unsprung mass of the vehicle, resulting in a decrease in the mass ratio of the vehicle body to the wheel, which will deteriorate the ride comfort and safety of the vehicle. To improve the vibration performance of in-wheel-motor driven vehicles, a semi-active inerter-spring-damper (ISD) suspension with in-wheel-motor (IWM) dynamic vibration absorber (DVA) of the electric wheel is proposed in this paper. Firstly, a structure of in-wheel-motor DVA is proposed, which converts the motor into a dynamic vibration absorber of the wheel to suppress the vibration of the unsprung mass. Secondly, based on a damper-inerter integrated device, a tandem ISD suspension was introduced into the electric vehicle. Then, an improved Sky-Hook (ISH) semi-active controller of ISD suspension is designed. Compared with the passive suspension, the semi-active ISD suspension with DVA proposed can significantly reduce the vibration of the vehicle body in a wide range of frequencies. Meanwhile, the road adhesion of the vehicle is also improved greatly. It can be concluded that the proposed semi-active suspension with DVA can effectively improve the ride comfort of the vehicle driven by in-wheel-motor.