GEICO, the second-largest vehicle insurance underwriter in the US, has decided it will no longer cover Tesla Cybertrucks. The company is terminating current Cybertruck policies and says the truck “doesn’t meet our underwriting guidelines.”
Pretty sure they were one of the last major companies that would…
Even if warranty pays for repairs to it, if it damages anything else the insurance still has to pay.
The article mentions multiple examples of them just randomly shutting down during operation. That’s already bad. But this is going to be it’s first winter, it’s not surprising insurers don’t want to deal with it. They deal with large numbers, it’s not a question of “if” like an individual owner, its “when” for the insurer
They do when it shuts down while driving and careens into another vehicle.
A vehicle shutting down in the middle of the freeway can easily cause multiple accidents.
The go pedal and the steering wheel are equivalent to a keyboard/mouse and are not physically connected to anything. If the car shuts off, the wheels go where they feel like with absolutely no driver control.
Class action lawsuits are gonna be a mother fucker
Part of the purchase agreement of a Tesla agreeing to binding arbitration. This means no class action suit. You can opt out of this within the first 30 days, but you have to send a letter requesting it.
How many Tesla owners do you think do that?
Steam recently removed their arbitration clause, largely because paying for a thousand arbitration cases is worse than dealing with a class action.
That assumes the court finds that enforceable. Usually they do, but a few times recently, they’ve said it’s not.
Wow, I never thought I’d find an actual good argument for keeping independent car dealers as middlemen instead of allowing first-party sales, but here we are.