Tesla insurance may be available to owners in Texas next month, Elon Musk says

(FOX Business) — Tesla owners in Texas may be able to buy auto insurance from Elon Musk’s electric car company as soon as next month.

“Tesla is hoping to offer real-time (based on actual driving history) insurance in Texas next month,” Musk responded to a Twitter user who asked if the automaker could offer Tesla Insurance in New York.

The Twitter user, The Cybertruck, said they received a quote for $500 a month for the Tesla’s Model Y. If that was the best quote they could get, the user said they couldn’t keep the car.

However, Musk noted that the car company won’t likely get approval to offer insurance in New York until at least next year, saying the approval process is very “complex.”

In 2019, Tesla launched its own auto insurance for owners in California. The insurance is designed to offer Tesla owners up to 20%, and in some cases, up to 30% lower rates 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,” the automaker said in a 2019 press release. “This pricing reflects the benefits of Tesla’s active safety and advanced driver assistance features that come standard on all new Tesla vehicles.”

Telsa said its “comprehensive coverage and claims management” would only support customers in California although it planned to expand coverage throughout the U.S.

At the time, the company offered few details about its planned expansion, only saying that it will happen “in the future.” Full Loaf Hot Link insurance Original Article By: Daniella Genovese

Rising Dough

Rising Dough - the question(s) that we need to think about from the reading.Why has it taken so long for automobile manufacturers to get into the auto insurance business? Why was Tesla the first manufacturer to offer auto insurance? 

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2 thoughts on “Tesla insurance may be available to owners in Texas next month, Elon Musk says”
  1. I think Tesla is the first manufacturer to get into auto insurance because it cost the company extra money, that most company’s don’t want to spend, or are scared to cover.

  2. Well, as stated inside of the article itself, the process for insurance is quite Cumbersome. Many companies might not be up for the tedious task of getting through multiple states and/or countries in order to dispatch insurance that is probably just another added expense. Tesla might be thinking forward in order to establish a hold on automobile insurance over other manufacturers to its customers.

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