Tesla Insurance available in Illinois
Tesla has now made its real-time data car insurance product available to car owners in Illinois.
It’s now the third state (in addition to Texas and California) to offer Tesla Insurance, and the second (in addition to Texas) to offer usage-based auto insurance based on car data.
The news follows the expansion of Tesla Insurance to Texas which was reported in October. What’s unique about the expansion to the most recent two states is the use of the car’s Safety Score, which assesses driving behavior by taking into account five different metrics. The outcome is a premium that reflects a driver’s driving behavior with premiums adjusted on a monthly basis.
Disruption, according to Jeff Bezos, is adoption; however, adoption follows price, and through this lens, there are those who are happy with their premium.
Bottom Line: Our latest insights report titled ‘Connected Cars & Intelligent Insurers‘ covers the opportunity to partner with OEMs for fairer underwriting. We’re bullish on Tesla and bearish on GM. The middle is messy but we’ve got it covered.