Tesla And Insurance Companies Disagree On Expensive Repairs

Tesla and insurance companies have different views on handling claims for damaged Teslas. On one side of the argument is Tesla CEO Elon Musk, who says the carmaker is planningdesign and software changesto help bring down repair costs following an accident.

On the other hand, insurance companies prefer to write off the vehicles - specifically low-mileage examples of theModel Y- post-accident and send them off to salvage auctions. They view the EVs as simply too expensive to repair.Reutersreports Musk stated that premiums from third-party insurance providers "in some cases were unreasonably high."

To counter this, Tesla's in-house insurance division has been applying pressure on those providers by offering to drop Tesla owners' rates. In addition, Musk wants "to minimize the cost of repairing a Tesla if it's in a collision" by making those aforementioned design changes.

"It's remarkable how small changes in the design of the bumper (and) providing spare parts needed for collision repair have an enormous effect on the repair cost," Musk said. "Most accidents are actually small - a broken fender or scratched side of the car."

As much as Tesla customers love their cars, one aspect of ownership that's not always discussed enough is the high repair costs. This is not a new issue. A few years ago, many owners faced长期维修等待时间atTesla service centersfor two key reasons: there were not enough Tesla-trained technicians and mechanics and too few repair centers.

Musk pledged to resolve these issues, and there has been a definite improvement. Despite high repair costs, demand for Tesla vehicles has only increased.