It is not straightforward being a Tesla proprietor proper now — and it may very well be about to worsen due to rising insurance coverage premiums.
The general public backlash in opposition to Elon Musk and DOGE has turned Tesla right into a goal, with the corporate’s autos, showrooms, and chargers hit by vandalism, gunfire, and suspected arson in latest weeks.
Some drivers have seen their cars graffitied and egged, and two Cybertruck homeowners beforehand advised Enterprise Insider they faced thousands of dollars in damages after objects had been hurled at their autos throughout a Mardi Gra parade in New Orleans.
Fears that their autos is likely to be focused have already pushed some Tesla owners to sell up, and people who stay may face rising insurance coverage prices as suppliers hike charges in response to the vandalism spree.
Common insurance coverage premiums for Teslas are already increased than these for competing autos and have been steadily climbing in latest months.
The common premium for full protection automobile insurance coverage on a Mannequin 3 hit $3,495 in March, in line with information from Bankrate, up $101 from January, in comparison with the nationwide common of $2,678.
The price of insuring a Mannequin Y, Tesla’s best-selling automobile, hit $3,771 in March, whereas common premiums on the Mannequin X have risen greater than $300 in three months to $5,459.
Tesla insurance coverage premiums at the moment are considerably increased than different EVs and hybrids together with the Chevy Bolt, Toyota Highlander hybrid, and Ford F150 Lightning, per Bankrate’s information.
Premiums for Mannequin Y and three autos have risen 29% and 24% over the previous yr, in comparison with 10% for the common US automobile, separate information from Insurify confirmed.
Shannon Martin, an insurance coverage analyst for Bankrate, advised Enterprise Insider the rise in insurance coverage charges mirrored losses from 2024 relatively than any latest uptick in vandalism — however added that insurance coverage consumers ought to anticipate charges to rise within the subsequent yr if the issue persists.
“I’d anticipate if this retains taking place at this fee, positively by 2026 renewals, folks will begin seeing a change, possibly as quickly as towards the final quarter of 2025,” Martin mentioned.
Martin in contrast the state of affairs to the 2023 “Kia Boys” saga, which noticed insurance coverage suppliers hike premiums or refuse to insure Hyundai and Kia vehicles after a wave of TikTok-inspired thefts.
Excessive insurance coverage prices have lengthy been an issue for Tesla homeowners, spurring the corporate to launch its own insurance provider in 2019.
Martin mentioned the common insurance coverage premiums on a Mannequin 3, Tesla’s most cost-effective mannequin, had been nearer to luxurious autos like BMWs.
The corporate’s most high-profile new buyer, President Donald Trump, summed up the explanation insuring a Tesla is so expensive — “everything’s computer.”
“Tesla has much more cameras, much more laptop chips than most different electrical autos in the marketplace,” mentioned Martin.
“They’ve cameras not simply on the within of the automobile but additionally on the surface of the automobile. So even a small fender bender would create very costly repairs for the Tesla proprietor and the insurance coverage firm,” she added.
Tesla didn’t reply to a request for remark, despatched outdoors regular working hours.
