Tesla insurance is a great way to secure your Tesla vehicle against damage or loss. I think that, when it comes to insuring your Tesla vehicle, Tesla have a huge advantage because they best understand the vehicles, technology, safety and repair costs, thereby eliminating traditional insurance carriers’ additional charges.
Also, unlike many insurance providers that base your premium on information that has very little to do with your actual driving, Tesla base your premium on how you drive. They use existing technology in their vehicles to track your real time driving behaviour with no additional hardware required.
All of the above, with up to 30% discounts available subject to terms and conditions, make Tesla a great choice for insuring your Tesla vehicle.
However, for some reason, you may decide that you no longer want to use Tesla insurance and want to cancel it instead.
If you are already using Tesla insurance, you are likely to have subscribed to it either via the Tesla mobile app or by calling the Tesla insurance. But, is cancelling the insurance subscription as simple as subscribing in the first place was? Read on to find out all you need to know about cancelling your Tesla insurance premium.
Understand The Cancellation Policy
Before setting about cancelling your Tesla insurance, it is important to first understand the cancellation policy that applies to your insurance premium.
There is no general Tesla insurance cancellation policy that you can refer to, so you need to read all the fine prints in your current insurance policy to find out details such as:
- Possible penalties for early cancellation. Are there any fees to pay for early cancellation? Or will you be eligible to any refund? Or will you have to forfeit your payment? It is true that Tesla claim that there are no hidden fees to cancelling an insurance coverage, but you best read all the fine print to know for sure what applies in your case.
- Implications of cancellation on your current premium. That is, if you cancel your current Tesla insurance coverage, will it be canceled immediately, or will you enjoy coverage even after cancellation depending on what point during your premium coverage you made the cancellation?
- Will insurance cancellation at that point make financial sense for you or will it be better to complete the coverage period before seeking for another insurance provider?
A detailed review of your current insurance policy will help to guide you on the best decision to make.
To review your Tesla insurance policy details, follow these steps:
- Tap the profile picture icon in the top right corner of your Tesla app
- Tap on Account
- Then tap on Insurance
- Finally, tap on Documents
Before going ahead to cancel your Tesla insurance, I think it’s important that you understand a few things about how Tesla insurance works and decide whether you really want to look for an alternative for your Tesla vehicle.
- Tesla insurance premium is offered as a monthly payment based on your actual driving behaviour as opposed to inconsequential factors like your age and health information.
- Real-time driving data is collected and used to calculate your safety score. Your safety score at the end of the month determines your next month’s premium. Other factors that determine your initial Tesla insurance premium are the vehicle you drive, your provided address, how much you drive, what coverage you select.
- You can view your policy, access documents, and add your insurance card to Apple using the Tesla mobile app. You can also monitor or review your daily driving behaviour with Trip View to learn how to improve your safety score.
- You can file a claim, schedule repairs, or request roadside assistance from anywhere 24/7 by virtue of your Tesla insurance.
- Also, you may be glad to know that with Tesla insurance, you may be eligible for discounts to save on your monthly premium. Discounts vary by state. Optional coverages may also be available. Go here to find out the discount that you may be eligible to and take advantage of it to save on your Tesla premium.
- You may already know that Tesla assumes a safety score of 90 when you first sign up. The higher your score is, the lower your premium can be.
- Tesla does not include data such as your credit rating, age, gender, marital status, accident, and violation history.
With this in mind, here is what will change your real time insurance premium:
- If you make any updates to any of your policy or personal details such as coverage limits or your home address.
- Changes to your mileage after the first two months of purchasing your Tesla insurance.
- Obviously, changes to your safety score. The great thing is that your monthly premium increase or decrease due to a safety score change will be capped at 50% for each vehicle insured.
At this point, I must state clearly that insurance based on real-time driving data is not available in California. It is only available in the following states:
How To Cancel Tesla Insurance
If you have made the decision to cancel your Tesla insurance policy, or if you want to make any changes to your existing insurance policy such as changing your address, adding a driver or vehicle, removing a driver or vehicle, or changing coverage selections,
- Then you need to contact Tesla directly on 184434 Tesla (1-844-348-3752 )or reach out to your Claims Adjuster for support.
- When you connect with a Tesla agent, request the cancellation and provide any details that you are asked. Your policy number and personal information are sure to be requested.
- You will then be given a cancellation date. Note it.
- Then, obtain a confirmation of cancellation. This confirmation could be a reference number or an email sent to the effect. I always recommend requesting an email confirmation so you have visible proof of the transaction.
- At this point, make sure that you request for any benefits that apply to your policy, such as a full or partial refund. This is why you must first go through your insurance policy terms before contacting Tesla for a cancellation.
- Make sure that you have your insurance information handy before putting the call across.
- As at the time off writing this article, you can only cancel your Tesla insurance via phone call to the number provided above or by reaching out to your desginated Claims Adjuster. I sense that this is to provide Tesla with an opportunity to change your mind about cancelling your premium. Otherwise, cancelling should be just as easy as subscribing.
- When you make the call, be prepared to hold for a long period. This is the experience of every Tesla insurance owner that I have come across. Again, I suspect that this is an attempt to discourage you from cancelling. Or, their lines may really be that busy. Who knows!
Consider Alternative Insurance Options
Tesla insurance may be pricey, but it is also more comprehensive than most offers from third parties. Also, you can save on Tesla premium by taking advantage of discounts that you are eligible to, as well as ensuring that you have good driving habits.
However, if you have gone ahead to cancel your Tesla insurance premium, it is necessary to get an alternative insurance coverage for your Tesla vehicle.
You can check out local insurance providers in your area or browse online for even better deals. For example, Market Watch provides this data for Model 3 insurance.
The Bottom Line
The choice of whether Tesla Insurance is good for you or not is entirely up to you. However, it is a decision that must be made carefully, and with due consideration of alternatives.
If you are convinced that you no longer require Tesla insurance, the only way to cancel is by calling Tesla or reaching out to your claims adjuster. Do not engage any third parties or insurance brokers that may claim to be able to cancel your Tesla insurance premium on your behalf.