Tesla launches its own insurance plan

Tesla has launched its own insurance plan, known as Tesla Insurance, which provides comprehensive coverage and claims management. It is claimed to offer up to 20% lower rates and in some cases, up to 30% lower prices. At present, it is offered only to Tesla owners in California.

The company claims that they understand the vehicles, technology, safety and repair costs better than traditional insurance companies. Tesla says that its pricing policy takes into account Tesla's active safety and advanced driver assistance features, which help them reduce insurance costs.

According to a report by Jalopnik, insurance companies have said that they do not have enough data that validates claims that driver assistance systems reduce accidents. They do not have information to tell them if the ADAS system kicked in before a crash, or if it helped prevent one. On the other hand, Tesla has this information. Tesla also claims that they do not use vehicle data like GPS or camera footage when pricing insurance.