Tesla’s licensed carriers report Q1 2026 results
Tesla’s three licensed carriers reported their Q1 2026 financial results.
Tesla Insurance Company, which offers coverage in California and Illinois, generated $238.1 million in written premiums in Q1 2026, compared to $147.2 million in Q1 2025. The carrier reported a net underwriting loss of $49 million, compared to a loss of $65 million in Q1 2025.
Tesla Property & Casualty, which offers coverage in CO, MD, FL, MN, OH, TX, and UT, increased written premiums by 9% YoY to $50.8 million while reporting a net underwriting gain of $52.5 million, compared to a gain of $5.7 million in Q1 2025.
Tesla General Insurance, which offers coverage in AZ, NV, OR, and VA, increased written premiums by 25% YoY to $25.5 million while reporting a net underwriting gain of $24.6 million, compared to a loss of $4.4 million in Q1 2025.
Tesla changed its loss reserving methodology this quarter. Prior to 2026, the three carriers reviewed loss reserves on a combined basis across all states. In Q1 2026, management moved to estimating reserves on a state-by-state basis, citing the growth and maturity of the program outside California. The methodology change produced one-time reserve adjustments at each carrier:
- Tesla Insurance Company: a $40.7 million increase in losses incurred (unfavorable)
- Tesla Property & Casualty: a $37.2 million reduction in losses incurred (favorable)
- Tesla General Insurance: a $17.3 million reduction in losses incurred (favorable)
After stripping out $10.3M of net favorable prior-year reserve development, Tesla’s three carriers posted a combined ~$17M underwriting gain in Q1 2026 – the group’s first profitable quarter.
*$40.7M of Tesla Insurance Company’s adverse development came from the one-time reserve methodology change. The remaining $3.5M reflects additional adverse development on prior accident years.
