Tesla Insurance Launches in California

Tesla has officially launched its own branded insurance product to customers in California.

The company said on Wednesday that Tesla Insurance will offer rates up to 30 percent lower than competitors.

“Because Tesla knows its vehicles best, Tesla Insurance is able to leverage the advanced technology, safety, and serviceability of our cars to provide insurance at a lower cost,” Tesla said in a blog post. “This pricing reflects the benefits of Tesla’s active safety and advanced driver assistance features that come standard on all new Tesla vehicles.”

Tesla says owners in California can purchase a policy in as little as one minute via tesla.com/insurance. For new vehicle orders, customers can request a quote prior to delivery once a VIN has been assigned to their Tesla Account.

Tesla said it plans to offer the product in other states soon.

 

[calidreamz808]

Good news, it launched..

Introducing Tesla Insurance

 

[ranova]

The bad news? Based on my quote and others on reddit, its more expensive than any other insurance company out there currently.

$251 a month for similar coverage to geico which is $216 a month BUT geico is also covering TWO cars and two people (My model 3 and partner's 2018 CX-5). The quote from Tesla is only for my 3.

I guess you will likely get OEM parts for repairs and maybe a Tesla for a rental car, but damn, thats a high premium to pay for something that may never happen (like buying FSD if you already have EAP )

I guess Ill check again when my partner gets the Model Y. I can't wait for all the Tesla Youtube Influencers to try to sell Tesla Insurance saying its better in some way.

 

[MXWing]

It's stupid.

Elon must not have shopped insurance for himself for decades.

How is the product going to account for your home, non Tesla vehicles and umbrellas?

Any "savings" if any - will get negated somewhere else.

 

[Grazant]

Yeah priced 60% more than my rate for Ameriprise with three cars covered.

 

[boaterva]

This is the real problem. Most people get multi car discount, homeowners with the same carrier, maybe boat, what’s the point of Tesla insurance (yes, yes, they understand FSD, blah blah) unless it’s 40% cheaper.

Every story I’ve seen so far say it taint so. And should be interesting to see how long it takes to get set up in 49 more states and then territories etc. Jeez.

 

[not4antoher]

Tesla quoted $221/mo. $1000 collision & $100 comprehensive deductible.
It is way more expensive than my current AAA insurance.

 

[ucmndd]

100% more than my current policy. Nerp.

 

[BZM3]

its more expensive for some people, its cheaper for some people. Such is the nature of insurance.....................

 

[calidreamz808]

I have Geico, and after the Tesla quote:

Geico 6 month prem: 810
Tesla 6 month prem: 591

I'm shook.

 

[Ulmo]

The bad news? Based on my quote and others on reddit, its more expensive than any other insurance company out there currently.

$251 a month for similar coverage to geico which is $216 a month BUT geico is also covering TWO cars and two people (My model 3 and partner's 2018 CX-5). The quote from Tesla is only for my 3.

I guess you will likely get OEM parts for repairs and maybe a Tesla for a rental car, but damn, thats a high premium to pay for something that may never happen (like buying FSD if you already have EAP )

I guess Ill check again when my partner gets the Model Y. I can't wait for all the Tesla Youtube Influencers to try to sell Tesla Insurance saying its better in some way.

How does coverage compare between those two?

It's stupid.

Elon must not have shopped insurance for himself for decades.

How is the product going to account for your home, non Tesla vehicles and umbrellas?

Any "savings" if any - will get negated somewhere else.

A proprietary one-product brand lock-in one-size-fits-all insurance product for only one item isn't going to fit for other things like homes and family lives. I'm sure there's cases where Tesla can become competitive with other options. Time will tell! However, there can be lots of cases where Tesla is a more expensive option than other options. Are you negative that you now have more choices and competition between your suppliers? As long as you take off the rose-colored glasses when making decisions, everything should be fine, and you can put them back on again soon.

A negative view is that this is anti-family; it works well for single car non-manly no land no home single people. Bachelors. I.e., most of us when we are young. It gets brand loyalty early on. What it leads to, I don't know.

I have Geico, and after the Tesla quote:

Geico 6 month prem: 810
Tesla 6 month prem: 591

I'm shook.

Case in point.

 

[ranova]

How does coverage compare between those two?

I edited the Tesla insurance to match geico's, so pretty high coverage. $1k collision deduct and $100 comprehensive deductible

 

[Ulmo]

I edited the Tesla insurance to match geico's, so pretty high coverage. $1k collision deduct and $100 comprehensive deductible

Ok, good information. Also, what is the reduced value and underwater loan coverage?

 

[LRCasey]

More than double my current rate from State Farm....and lower coverage. Perhaps it is a deal for certain demographic of driver but certainly not in my case.

 

[Bet TSLA]

I'm confused. I see no way to insure all the drivers of my cars, just myself.

 

[MountainRatMat]

Is anyone else having trouble getting a quote? Is the site overloaded or am I just a really bad driver?

 

[ranova]

Ok, good information. Also, what is the reduced value and underwater loan coverage?

diminished value coverage doesnt seem to be clear with Geico or Tesla, but you would likely request from the other insurance company of the person that was at fault of the accident for a diminished value claim

Underwater loan coverage, for me, is part of my financing agreement with my bank and not Geico.

 

[tinm]

Would love to see a crowdsourced spreadsheet with year/model/trim, currently-paid insurance amount, Tesla estimated amount, and then graph the current vs Tesla. I suspect most Tesla-estimate data points would be above the average currently-paying line, with enough at or below that Tesla can claim, sure, some estimates will be higher, but many are lower!, etc.

 

[DFibRL8R]

I'm confused. I see no way to insure all the drivers of my cars, just myself.

According to the FAQ page here:
Tesla Insurance

Can I add multiple drivers or vehicles to my Tesla Insurance policy?
Yes. Once purchased, California customers can add multiple drivers or vehicles to their Tesla Insurance policy. To add another driver or Tesla to your Tesla Insurance policy, follow the instructions in your Tesla Account under "Manage Policy."

 

[RDoc]

Buying insurance from a company with no track record is a bit fraught. How well are they going to handle claims for example. Will they answer the phone? Do they have local adjusters?

I'd give it a while before jumping. All insurance companies are great until you need a payout, then comes the differentiation.