Connect with us
Tesla-repairs Tesla-repairs

News

Tesla repair costs are causing insurance providers to write off low-mileage EVs: report

(Credit: teslarepairs/Instagram)

Published

on

While Elon Musk noted during the Q4 and FY 2022 earnings call that data from Tesla Insurance is helping the company minimize vehicle repair costs, the story seems different for Teslas that are covered by other insurance providers. As per a recent report, even low-mileage Teslas are already being written off by insurance companies. 

Elon Musk described Tesla’s efforts to lower its vehicles’ cost of repair in the recent earnings call. “We’ve actually adjusted the design of the car and made changes in the software of the car to minimize the cost of repair… So it’s giving us this really good feedback before, again, reducing cost,” Musk said. 

Outside Tesla Insurance’s coverage, the situation is different, at least according to a Reuters analysis. Data from Copart and IAA, which are among the largest salvage auction houses in the US, indicated that many “totaled” Model Y units listed for auction in December and January had fewer than 10,000 miles on their odometers. Considering that these vehicles were bought prior to Tesla’s price cuts earlier this month, the retail prices of the cars were about $60,000 to over $80,000. 

Insurance companies usually consider a vehicle a total loss when the cost of repairing it is deemed too high. Interestingly enough, out of the 15 Giga Texas-made Model Y Long Range vehicles that were part of the publication’s analysis and declared as total losses from June to November, 14 had fewer than 10,000 miles on their odometers.

These include a Giga Texas-made 2022 Model Y Long Range, which was listed by IAA with front collision damage in early January. The vehicle had a retail price of $61,388 and an estimated repair cost of $50,388. Another Model Y, which was listed with side collision damage, had a retail price of $72,667 and an estimated repair cost of $43,814.

Advertisement
-->

As per Reuters’ analysis, several prominent insurance companies such as State Farm, Geico, Progressive, and Farmers, are among the providers that have considered low-mileage damaged Teslas too expensive to repair.  

Considering the estimates for the repair of damaged Teslas, it is no surprise that some insurance companies are opting to write off the damaged vehicles as total losses. It’s difficult to argue, however, that such a strategy is wasteful. At this point, it seems like the best-case scenario for Tesla is to ramp up the expansion of its insurance service. This way, its owners are not burdened by insurance providers that do not seem to fully understand their vehicles. 

Elon Musk said as much during the fourth quarter and full-year 2022 earnings call last week, when he explained how Tesla Insurance is giving the company a good feedback loop on how to optimize the costs of its vehicles’ repair.

“It is also giving us a good feedback loop into minimizing the cost of repair of Teslas — for all Teslas worldwide — because we obviously want to minimize the cost of repairing a Tesla if it’s in a collision… And previously, we didn’t actually have good insight into that because the other insurance companies would cover the cost. And actually, the cost in some cases were unreasonably high,” Musk said. 

The Teslarati team would appreciate hearing from you. If you have any tips, contact me at maria@teslarati.com or via Twitter @Writer_01001101.

Advertisement
-->

Maria--aka "M"-- is an experienced writer and book editor. She's written about several topics including health, tech, and politics. As a book editor, she's worked with authors who write Sci-Fi, Romance, and Dark Fantasy. M loves hearing from TESLARATI readers. If you have any tips or article ideas, contact her at maria@teslarati.com or via X, @Writer_01001101.

Advertisement
Comments

Cybertruck

Tesla updates Cybertruck owners about key Powershare feature

Published

on

Credit: Tesla

Tesla is updating Cybertruck owners on its timeline of a massive feature that has yet to ship: Powershare with Powerwall.

Powershare is a bidirectional charging feature exclusive to Cybertruck, which allows the vehicle’s battery to act as a portable power source for homes, appliances, tools, other EVs, and more. It was announced in late 2023 as part of Tesla’s push into vehicle-to-everything energy sharing, and acting as a giant portable charger is the main advantage, as it can provide backup power during outages.

Cybertruck’s Powershare system supports both vehicle-to-load (V2L) and vehicle-to-home (V2H), making it flexible and well-rounded for a variety of applications.

However, even though the feature was promised with Cybertruck, it has yet to be shipped to vehicles. Tesla communicated with owners through email recently regarding Powershare with Powerwall, which essentially has the pickup act as an extended battery.

Powerwall discharge would be prioritized before tapping into the truck’s larger pack.

However, Tesla is still working on getting the feature out to owners, an email said:

“We’re writing to let you know that the Powershare with Powerwall feature is still in development and is now scheduled for release in mid-2026. 

This new release date gives us additional time to design and test this feature, ensuring its ability to communicate and optimize energy sharing between your vehicle and many configurations and generations of Powerwall. We are also using this time to develop additional Powershare features that will help us continue to accelerate the world’s transition to sustainable energy.”

Owners have expressed some real disappointment in Tesla’s continuous delays in releasing the feature, as it was expected to be released by late 2024, but now has been pushed back several times to mid-2026, according to the email.

Foundation Series Cybertruck buyers paid extra, expecting the feature to be rolled out with their vehicle upon pickup.

Cybertruck’s Lead Engineer, Wes Morrill, even commented on the holdup:

He said that “it turned out to be much harder than anticipated to make powershare work seamlessly with existing Powerwalls through existing wall connectors. Two grid-forming devices need to negotiate who will form and who will follow, depending on the state of charge of each, and they need to do this without a network and through multiple generations of hardware, and test and validate this process through rigorous certifications to ensure grid safety.”

It’s nice to see the transparency, but it is justified for some Cybertruck owners to feel like they’ve been bait-and-switched.

Continue Reading

News

Tesla’s northernmost Supercharger in North America opens

Published

on

Credit: Tesla

Tesla has opened its northernmost Supercharger in Fairbanks, Alaska, with eight V4 stalls located in one of the most frigid cities in the U.S.

Located just 196 miles from the Arctic Circle, Fairbanks’s average temperature for the week was around -12 degrees Fahrenheit. However, there are plenty of Tesla owners in Alaska who have been waiting for more charging options out in public.

There are only 36 total Supercharger stalls in Alaska, despite being the largest state in the U.S.

Eight Superchargers were added to Fairbanks, which will eventually be a 48-stall station. Tesla announced its activation today:

The base price per kWh is $0.43 at the Fairbanks Supercharger. Thanks to its V4 capabilities, it can charge at speeds up to 325 kW.

Despite being the northernmost Supercharger in North America, it is not even in the Top 5 northernmost Superchargers globally, because Alaska is south of Norway. The northernmost Supercharger is in Honningsvåg, Norway. All of the Top 5 are in the Scandanavian country.

Tesla’s Supercharger expansion in 2025 has been impressive, and although it experienced some early-quarter slowdowns due to V3-to-V4 hardware transitions, it has been the company’s strongest year for deployments.

Through the three quarters of 2025, the company has added 7,753 stations and 73,817 stalls across the world, a 16 percent increase in stations and an 18 percent increase in stalls compared to last year.

Tesla is on track to add over 12,000 stalls for the full year, achieving an average of one new stall every hour, an impressive statistic.

Recently, the company wrapped up construction at its Supercharger Oasis in Lost Hills, California, a 168-stall Supercharger that Tesla Solar Panels completely power. It is the largest Supercharger in the world.

Continue Reading

News

Tesla shocks with latest Robotaxi testing move

Why Tesla has chosen to use a couple of Model S units must have a reason; the company is calculated in its engineering and data collection efforts, so this is definitely more than “we just felt like giving our drivers a change of scenery.”

Published

on

Credit: Sawyer Merritt | X

Tesla Model S vehicles were spotted performing validation testing with LiDAR rigs in California today, a pretty big switch-up compared to what we are used to seeing on the roads.

Tesla utilizes the Model Y crossover for its Robotaxi fleet. It is adequately sized, the most popular vehicle in its lineup, and is suitable for a wide variety of applications. It provides enough luxury for a single rider, but enough room for several passengers, if needed.

However, the testing has seemingly expanded to one of Tesla’s premium flagship offerings, as the Model S was spotted with the validation equipment that is seen entirely with Model Y vehicles. We have written several articles on Robotaxi testing mules being spotted across the United States, but this is a first:

Why Tesla has chosen to use a couple of Model S units must have a reason; the company is calculated in its engineering and data collection efforts, so this is definitely more than “we just felt like giving our drivers a change of scenery.”

It seems to hint that Tesla could add a premium, more luxury offering to its Robotaxi platform eventually. Think about it: Uber has Uber Black, Lyft has Lyft Black. These vehicles and services are associated with a more premium cost as they combine luxury models with more catered transportation options.

Tesla could be testing the waters here, and it could be thinking of adding the Model S to its fleet of ride-hailing vehicles.

Reluctant to remove the Model S from its production plans completely despite its low volume contributions to the overall mission of transitioning the world to sustainable energy, the flagship sedan has always meant something. CEO Elon Musk referred to it, along with its sibling Model X, as continuing on production lines due to “sentimental reasons.”

However, its purpose might have been expanded to justify keeping it around, and why not? It is a cozy, premium offering, and it would be great for those who want a little more luxury and are willing to pay a few extra dollars.

Of course, none of this is even close to confirmed. However, it is reasonable to speculate that the Model S could be a potential addition to the Robotaxi fleet. It’s capable of all the same things the Model Y is, but with more luxuriousness, and it could be the perfect addition to the futuristic fleet.

Continue Reading