Tesla to expand insurance on 'state-by-state' basis

The company is apparently not yet using individual vehicle data to price its California insurance.

Tesla is apparently planning to expand its vehicle insurance program to additional markets on a state-by-state basis, though the company is not yet using individual driver data to price its policies.The company's fleet of EVs record a wealth of data that is uploaded to the cloud and could theoretically help the company fine-tune its individual pricing based on mileage, driving behavior and other information that correlates to insurance claims."The data is there, it's all there, cameras in and all around your car, all of the data points are there," Tesla insurance head Matthew Edmonds said at an insurance conference in Chicago, as quoted by Reuters. "It really comes down to case law, and how much of the data we can utilize. It would have to be a state-by-state proposition."For now, the automaker offers insurance only in its home state of California and is using the same type of anonymized aggregate data that traditional insurers use to establish rates, such as driver age and accident history.CEO Elon Musk has argued that Tesla's cars are inherently less accident-prone thanks to Autopilot technology. The company's quarterly safety reports suggest the safety features are associated with a lower accident rate than the general vehicle population, though it is unclear if the statistics have translated to cheaper insurance rates.Tesla has indicates plans to use individual data at some point, submitting regulatory filings in California to begin using "direct data feeds" with customer permission.As the in-house insurance program expands to new markets, the company will first target states with the highest populations and presumably those with the largest share of Tesla owners.

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