Tesla Hate Is Making Insurance More Expensive for Owners
228 comments
·March 18, 2025boznz
Spooky23
Nah. Insurance is based on the numbers, and Tesla is a shitty company to have financial liability to fix. There’s no parts, few shops, and lots of stuff to get stuck with.
A friend had a rental for 4 months when the panoramic sunroof cracked on his Tesla.
The vandalism isn’t computed in yet, and will immediately resulted in dropped coverage. If the Feds label it as terrorism, insurance generally excludes riot and terrorism from coverage anyway.
reaperman
> insurance generally excludes riot and terrorism from coverage anyway.
https://en.wikipedia.org/wiki/Terrorism_Risk_Insurance_Act
TRIA insurance against terrorism is required by law to be offered as a rider. It's actually shockingly affordable, because the law shifts the ultimate financial burden for any events between $200 million to $100 billion onto the federal government. So insurers have a reasonable cap on their expenses and don't need to rely on traditional re-insurers for black swan events.
Most people decline this rider anyways, no matter how cheap it is - and therefore most people are not covered for terrorism related damages.
neilv
Is there a downside to having a terrorism rider, other than higher premiums?
For example, if your insurance company would otherwise have to declare a claim as due to non-terrorism, and just pay it (because they'd probably lose in court if they didn't pay), but because you had the terrorism rider, they decide to declare it as due to terrorism, and then you get a less-desirable experience?
(For imagined example of less-desirable, maybe you have to wait longer to get paid while the company interacts with gov't, or the reimbursement is calculated or capped differently, or some consumer protection you'd normally have doesn't apply.)
trod1234
The problem with Tesla is they used financial engineering to get where they are today, and that cycle eventually catches up to you.
Enshittification is a real thing, and happens because benefits were front-loaded through ponzi (in this case backed by money printing and the public market retirements that must rebalance based on S&P or other indexes).
There are also higher risks with 'licensing' a Tesla. Both to society as a whole, and to the owners themselves. Licensing isn't owning, and you get what you pay for.
Few of the people who choose to get a Tesla actually think about what they are doing aside from their own ego, which is actively supporting un-American ideals.
How-so?
A Tesla is not a car, it is a sensor/node based computer that is networked and connected that performs the functions of a car.
A networked computer with many sensors is part of a mass distributed network called "Remote Sensing Networks" or RSNs.
The short-term profit on money isn't in building the car. It is in selling the data that has been collected and aggregated to the highest bidder, while getting you to pay for your own enslavement to such willfully provided subscription data.
Every time you see a Tesla while driving, whether it is on or off, the Tesla logs you and your passengers face, biometrics, behavior, location, history, travel, and other hints that may be visible including EM following a master data-management strategy that is built on big-tech primitives at their data center. This includes conversations or more intimate settings which have already leaked to the general internet (in some cases).
It is illegal for anyone to film, and distribute film of others, and record conversation without their explicit and specific consent, let alone such other aspects of personal data, where it contains everywhere you go, what you do, even in your own backyard or within your garage (home), or your neighbors (where consent is not given). Yet this is what Tesla is doing through complacent consent, and coercion (corruption by dependency in sunk cost/function).
A Tesla is not the only RSN, your cell phone does this, your media players (Roku) and Smart TVs do this. Your laptops, modern OS (Windows), and too many other devices to count do this. When profit is guaranteed, monopolists seek coercive control, and information is power.
If you have these, you have consented to have a digital soldier mediating in every aspect of your life whether you know it or not. Even though they didn't tell you what they were doing. They were not required to specifically say what and how they used that data, and they defined it broadly and ambiguously. Dis-aggregation of Alarm, and Separation of Concerns.
That is how the banality of evil (complacency) becomes the radical evil (Nazi's).
What does that open the door to or allow?
Abuse, Coercion, Arbitrary Discrimination, Loss of some things that become everything. These are the same abuses that inspired the constitution's third amendment, and what led us to join the War for self and others during WW2.
We are repeating what lead up to the American Revolution, and because so many people have wilfully blinded themselves they can't see the consequences of their actions while they actively participate towards definite systems failures, mindlessly.
"No Soldier shall, in time of peace be quartered in any house, without the consent of the Owner, nor in time of war, but in a manner to be prescribed by law."
Implicit in this is that there remains a rule of law, which has mostly failed.
I really pity the people who have such little awareness that they go and buy a Tesla. It is like waving the communist/fascist flag which is statism, for all to see... we're American. "Yes, but what kind of American".
This has happened before, and it is too late to stop it from happening again.
pogsywogsy
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Spooky23
Cool, haven't had any crazy Elon people around here in awhile. If he doesn't care about Tesla, why do you?
Oh and how does insurance get 10x cheaper?
Freedom2
> the world's best crash avoidance system
Interesting claim. Can you share any research or source into this?
drooby
The whole point is new buyers..
People are protesting Musk. Something like 75% of Musk's current wealth comes from Tesla stock.
Tesla stock is going down.. so it is helping the cause
back7co
If you look at places like Reddit where the organizing is happening, they don't differentiate between left-leaning buyers of years past, and in fact call them out for being complicit by not selling their (paid for?) car. It's scorched earth and is not limited to new buyers.
azakai
Reddit might not be representative of the larger shift. I am sure there is plenty of hatred, and even violence that makes the news, and that stuff is bad, but I mostly see people politely nudging those they know that own Teslas to sell them.
Which makes sense. The company sold to left-leaning, environmentally conscious buyers, and the CEO has now rebranded Tesla to basically the worst thing for that demographic. Sales are down, resale values are dropping, and insurance rates are rising. And there is no real opportunity on the horizon to save the company and/or the brand (robotaxis without LiDAR..?)
Maybe it looks like scorched earth on reddit, but in reality it's just a lot of people realizing the brand has self-destructed.
gs17
> by not selling their (paid for?) car.
It's even more confusing, who are they supposed to sell it to, if no one should drive these cars (and how big of a loss are they expected to take in order to sell it)?
lovich
Scorched earth strategies can be effective depending on your goals.
magicalist
Sounds dramatic (scorched earth! my lord), but the posts I've seen are like, "here's the anti-tesla flyer that was left on my friend's tesla" and then a bunch of upvoted comments replying that it's dumb and counterproductive to target people who bought their teslas years ago.
powersnail
> It's scorched earth and is not limited to new buyers.
This whole thing is about destroying already bought vehicles to intimidate potential new buyers, and thus lowering future sales. Not that I support the vandalism, but I think that's the kind of logic they are applying here.
spiderfarmer
Also the stock was effectively a meme stock. So now the jig is up, the stock deflates like no other.
TheAlchemist
That's the funny thing here.
In case of Musk, if those protests work and as you say 'the jig is up', he can go from the richest man on earth to bankrupt in a space of months.
He is very 'cash poor' and has pledged a lot of Tesla shares as collateral to fund his other businesses.
If Tesla is priced as an automaker (shares would be in the ±10-20$), Musk will be bankrupt.
MPSimmons
What sucks is that the cars* are actually very, very good cars. I've owned three of them so far, and I love driving and owning them. They take almost no maintenance, and I've only had one problem that needed me to take it into the shop, and it was for a recall that was totally handled in a day, and they gave me a loaner.
Legitimately, Teslas have been the best cars I've ever owned, but thanks to Elon, I will never buy another one, so long as he runs the company.
* - not you, Cybertruck
mezeek
He's got less than 20% of Tesla now, but he owns nearly half of SpaceX... bet you he'd be so so sooooooooo much richer if that went public too
tobias3
With rational investors I doubt it. Space launch market size is like 20 billion. One launch is 70 million and they had 133 of them in 2024. Times two (currently at half market share) this would be 18 billion.
That does not take into account that they are increasing the market size themselves with Starlink.
And with Starlink it remains to be seen if that can be profitable. I doubt it. The Starlink satellites deorbit every 5 years and need to be replaced (CapEx+++).
This is compared to the trillion+ EV market.
dzhiurgis
What makes you think Elon cares about wealth?
He's been telling about Mars for _2 decades_ and people somehow think he's a nazi about to pull off ethnic cleansing.
sgerenser
There’s a saying about watching what people do, not what they say, that seems to apply well to Musk. The proof that Elon cares about wealth is that he keeps doing everything in his power to gain more of it (well, up until recently, but only because he found he can access power directly instead of indirectly through more wealth).
_bin_
wrong. the people in question are not "protesting" anything. they are committing violent destruction of property against random people who happened to buy an EV. calling them "protesters" only does a disservice to those who actually are. these people are criminals to catch and lock away, nothing more.
bartread
Sadly I think, and for some time now, we are well past the point where political action needs to make sense either to the people involved or to the people outside. The message, the narrative, they’re whatever you want them to be. Whether that makes sense - much less where the truth lies - is irrelevant.
spiderfarmer
Or, you should do politics without promoting nazism and white supremacy on the platform that you solely bought to be able to do so.
mathgeek
Did you mean to respond to another comment? You’re in the thread about vandalizing left-leaning Tesla owners.
aoeusnth1
Well, is your claim that's it's isnt working? Perhaps after Tesla is bankrupt 6 years from now, tycoons with political ambitions will be less likely to adopt extremist political stances.
It doesn't need to make sense to you, personally, the HN commentariat, to be effective political action.
supportengineer
Thanks to Leon's salute, instead of buying 1-3 more Tesla's in my lifetime, I'm going back to plain gas powered Hondas. I'm choosing specifically non-turbo non-hybrid models. The American people, with their choice of President, have shown me they don't care about the present or the future. I'm sure their president will keep gas prices low. I don't see any reason for me to suffer for their benefit or anyone else's. The American people have chosen to doom us all, so why not just make life easy on myself.
louthy
“The reasonable man adapts himself to the world; the unreasonable one persists in trying to adapt the world to himself. Therefore, all progress depends on the unreasonable man.”
George Bernard Shaw
tzs
> Thanks to Leon's salute, instead of buying 1-3 more Tesla's in my lifetime [...]
I can see how one could make a plausible argument for this...
> [...] I'm going back to plain gas powered Hondas. I'm choosing specifically non-turbo non-hybrid models. The American people, with their choice of President, have shown me they don't care about the present or the future. I'm sure their president will keep gas prices low. I don't see any reason for me to suffer for their benefit or anyone else's. The American people have chosen to doom us all, so why not just make life easy on myself.
...but that makes no sense whatsoever.
A non-plug in hybrid is a gas car. All the energy used by its electric motors comes from either using the gas motor to charge its battery or from regenerative braking. It just uses less gas per mile than a non-hybrid and is more reliable than a non-hybrid [1]. If you want to drive a 100% powered by gas car and want to make life easy on yourself a non-plug in hybrid is the way to go.
Unless you need a pickup truck or something similarly beefy it is hard to make a case that a gas powered non-hybrid is better than a non-PHEV hybrid.
[1] Yes, non-plug in hybrids from the top hybrid car makers like Toyota and Honda are more reliable than gas cars. It is a little counterintuitive because you'd expect that hybrids would be much more complex due to having both gas and electric drive systems, but it turns out that they also remove quit a bit, and also the drive train can actually be simpler. Toyota's transmission on its hybrids for example is mechanically much simpler. The data from Consumer Reports and others that track reliability show about 25% fewer problems on non-plug in hybrids.
RetpolineDrama
Today I saw a diesel truck roll coal on anti-tesla protestors.
We've gone full circle.
CoastalCoder
I'm curious if that's plausibly an act of criminal assault.
peppers-ghost
It would be if anyone cared to do anything about it. It's not even legal to modify trucks to fart out black smoke like that to begin with but it's never stopped them from doing it. Cops do not care about that issue.
supportengineer
There's no laws any more
giantg2
Usually this type of thing isn't really about a cause but making oneself feel better. The stuff that is actually beneficial to a cause tend to be less emotionally satisfying.
happytoexplain
Protests and ethics and capitalism and products and politics are more complicated than that. If collateral damage or somehow hurting anybody in "your" half of The Two Groups (which is a faulty premise to begin with) is ruled out, you're wiping out nearly all opinions and protest. Things just aren't that simple (though it's convenient to pretend they are when it lets us point a finger at the enemy out-group - look at their hypocrisy/in-fighting!)
That is not to say the opposite - that I think all anti-Tesla hatred/actions are justified. I'm just refuting your opinion specifically.
I have a lot of thoughts that run in both directions on topics like this, including this one. However, this specific case is especially far gone, in terms of drawing lines between "understandable" and "unreasonable" on any given anti-Tesla action/opinion, simply because of the fact that he and some of his supporters invoke Nazism. If it wasn't for that, I could more confidently say something like, "No, that one is over the line" for any given anti-Tesla thing. But I can't.
outer_web
This probably doesn't fit the two-team paradigm. When you consider the objectives might be something different from ensuring democrats win offices in two years, the rationale may make more sense.
1shooner
This article provides no causation between 'Tesla hate' and insurance costs. The only factual claim is that Tesla insurance premiums rose 30% in 2024, and cost to insure is 25% higher than a Mercedes A-class. But a quick internet search shows that 2022 MSRPs for those cars were $47k and $34k respectively, a 32% difference.
jeffwask
This has more to do with Tesla's being totaled in fender benders than the events of the last two months because the cost associated with replacing and fixing the cameras, electronics, and sensors. I've had two friends who had rear end accidents with their Teslas. One took over a year for his car to be returned in full working order after being rear ended at a stop sign. The other backed into a pole in a parking lot and they totaled out the car. All this cool stuff made these vehicles unrepairable from what are minor issues with less advanced vehicles.
1shooner
>The other backed into a pole in a parking lot and they totaled out the car.
That's ludicrous.
genericone
I struck a column in a multilevel garage while reversing out of a parking spot, my mistake completely, resulting in damage to the driver door, door hinge, mirror, and front quarter panel. Progressive considered the car totaled due to the cost/availability/labor to fix it. Unsure what the cost would be for a toyota or honda, but I was perplexed at the total loss of my still drivable car.
metalliqaz
It's not entirely because of all the gadgets in there. They have a massive supply chain restriction which means that some repair centers can't even be sure that they will ever get the parts they need for some repairs.
CobrastanJorji
Absolutely correct. But also there could be other reasons. The Mercedes cars offer SAE Level 3 certification ("you are officially not driving the car or watching the road, but we may demand you take over"), versus the much more dangerous Tesla Level 2 ("you are still responsible for driving and must constantly supervise but also the car will be doing it all for you, please don't stop paying attention at any point").
There have been, what, more than 50 self-driving fatalities in Teslas already? Of course the insurance premium would be higher.
michpoch
> The Mercedes cars offer SAE Level 3 certification
In an S-class. The comment above compares it to a MB A-class.
Tesla produces no car in the MB S-class category.
CobrastanJorji
Good catch.
RetpolineDrama
Nothing MB has is anywhere close to FXD 13.2.x
So if the SAE standards don't reflect that, they are poor standards
_bin_
this is probably because teslas are 1. poorly built, and 2. not very repairable. they're crappily constructed cars, honestly, probably none more than the cybertruck. like whistlindiesel found a washer resting on a piece of duct tape. insane. fisher price ass cars. just as importantly, get into a crash and they're very tough to fix, before considering the low availability of parts and common service wait times.
slashdev
It fits the narrative, who needs logic?
Clearly the two are not connected - it just hasn't been enough time for insurance rates to be adjusted based on recent happenings. The industry does not react that fast.
SV_BubbleTime
[flagged]
g42gregory
My thought is that this is not going to last. Law enforcement is completely different from a year ago, when they "couldn't find" who was ransacking Apple retail stores. There are many lawful forms of expressing your views.
fishnchips
Yes, after the recent promotional event at the White House I can easily imagine protecting Teslas becomes a top priority, and that damaging one is punishable by death.
wood_spirit
Trump did literally say during that event that attacking Tesla showrooms was domestic terrorism.
UncleEntity
I'm sure the apartheidist made similar statements when Musk was a child. Didn't really work out for them IIRC.
renewiltord
It is unequivocally terrorism to participate in violence against civilians with the aim of causing political change. And it's domestic because it's here. It's definitionally correct.
atq2119
Isn't most law enforcement in the US at a state or local level? Why would that be completely different from a year ago?
g42gregory
I would guess that the multiple interstate locations will bump it to the Federal level. Exactly as it would have, with the Apple stores.
lesuorac
Honestly, I don't think the article supports the headline.
ex. "The cost to insure a Tesla Model 3 went up 30 percent last year.". Nothing happening in March of this year is affecting the price of insurance from last year. I have no doubt that stuff happening in March of this year will affect insurance prices this year but Tesla insurance is just expensive because the availability of Tesla repairs is low.
Whether or not law enforcement (which is most likely state level and therefore didn't change this year) can figure out whose doing vandalism isn't going to affect the price as significantly as Tesla's own inability to repair vehicles.
smileysteve
Agree
Tesla and Tesla charger vandalism was high last year by the anti-ev crowd
It's expected to be higher occurrence, but less measurable (ie, petty vandalism) by the anti Elon crowd
UncleEntity
Law enforcement, comprised completely of government workers, is going to go out and find the people protesting against killing off their golden goose?
I think it's more likely they'll start enforcing jaywalking laws against children playing hockey in the street.
Now, I'm not saying anyone should vandalize someone else's car for political reasons but as a campaign to dissuade people from buying Teslas this seems to be quite effective.
dragonwriter
> Law enforcement, comprised completely of government workers, is going to go out and find the people protesting against killing off their golden goose?
Law enforcement has both generally been spared direct cuts and had federal accountability measures removed, so they, and especially the worst actors, have plenty of reason to friendly to the regime.
UncleEntity
Sure, but how many are either veterans or are friends with veterans?
Ferret7446
Law enforcement, comprised of local workers, are accountable to their local citizens.
I don't think they have any particular beef against cutting federal workers.
> as a campaign to dissuade people from buying Teslas this seems to be quite effective.
Terrorism is generally effective. That's kind of the point, to effect change through violence. Although hopefully, that effect doesn't escalate to enforcement of real ID on the Web to deal with all of the people promoting terrorism on social media platforms.
smileysteve
The insurance in question is more about individual cars rather than stores;
And while Teslas have Sentry mode that could detect things like paint, door dings, tire vandalism to record a criminal act, law enforcement has rarely been able to enforce much except the extreme or flagrant.
ge96
Unfortunately a Tesla is not under $900
smileysteve
But it is more difficult to prove criminal intent and value paint, metal, and tire damage.
If Sentry mode records the perpetrator, the cops have to find it criminal, and then the DA decides to prosecute....
Good luck civilly pursuing every door ding or the mustard that fell off a sandwich -- even if somebody holds their ID up to a sentry mode camera, or drives off with their license plate clearly visible.
Pseudocrat
> It’s a machine run on actuarial tables and its calculations are telling insurers that they’ll probably have to pay out a damage claim if they cover a Tesla EV.
How is something as recent as this already affecting interest rates? If this is true, then only negative short term trends can have such an effect. Otherwise I would expect rates to lower just as quickly when public ire moves onto the next outrage generator.
declan_roberts
I decided to test the hypothesis. I compared quotes for a 2024 Nissan Leaf and 2024 Tesla Model 3. Kept all parameters the same.
Nissan Leaf: $94/mo Tesla Model 3: $140/mo
sadteslaowner
I have a financed Tesla that hasn't driven enough miles to offset the embodied carbon (we're a one car family who walks wherever we can). I'd love to get rid of it because as I'm mad about Musk and Trump, and I'm really afraid someone will protest while my 2 year old is in the car, putting him at risk.
If I sell— and it's a terrible financial decision (laid off in the fall)—I will assuage some of my fears and worries, but I will make the world worse for everyone else (more carbon in the atmosphere).
azakai
Why would selling cause more carbon in the atmosphere?
I suppose it might if you replace with a non-EV, but there are plenty of good EVs.
sadteslaowner
Needlessly replacing a working item is over consumption. An EV has much more embodied carbon compared to an ICE vehicle and needs 20,000 miles to "break even." I'm likely 2 years away from that given our driving habits.
You could argue that the next driver will pick up the slack for me, but I can't guarantee that to be the case.
azakai
While both those points would normally be valid, this is a pretty unique one-time event.
The best way to look at it is that cars are getting redistributed: left-leaning people that bought Teslas are trading them to right-leaning people (that's who are buying such cars today).
Those right-leaning people are getting fairly good deals from their perspective, and they'll use those cars, same as any traded car.
In fact, this is probably going to be a net win for the environment, because for many of those right-leaning people this will be their first electric vehicle, and some of them will continue that habit going forward. This is bringing EVs to a population that was resistant to them until now.
thiht
Just buy one of these "I bought this before we knew Elon was a piece of shit" stickers
hammock
By design, no? The point of Tesla vandalism is to incur costs to the owners. Or is it just a mostly peaceful protest?
morninglight
Insurance companies will use ANY EXCUSE to raise rates on their customers.
Source: Go look at your last bill.
cavisne
It's funny to read these deranged comments as at the same time as the astronauts are returning to Earth the only (non Russian) way possible... with SpaceX.
morninglight
Insurance companies use ANY EXCUSE to raise premiums on their customers.
Source? Go look at your last bill.
null
helge9210
[flagged]
standardUser
Vandalism is not violence and property destruction is generally not considered terrorism under existing laws. If the "vandalism" resulted in widespread destruction of infrastructure or disrupted essential services, then it sometimes falls under legal definitions of terrorism.
lovich
Its still Guantanamo. And we pardon people who cause damage because they dont like governmental policies in this country
Might effect new buyers decisions I guess, but since about 99% of Tesla's were sold to green, left-leaning buyers, before the Elon hate-fest, I am not sure how targeting that group of people for your hatred is helping any "cause".