Insurance rates being jacked up arbitrarily by Allstate

Insurance rates being jacked up arbitrarily by Allstate

So, after a year of being basically satisfied with my insurance cost, Allstate just reclassified the risk rating for Model 3s and my insurance rate just went up OVER 50%!!!!! WTF?!?!?!?!

Has anyone else had this problem?

No accidents, speeding tickets, or anything else. They told me it went up because Corporate just reclassified the cars.

I am beyond livid.

Lonestar10_1999 | June 14, 2019

It could be related to unusually high collision repair costs.

Kary993 | June 14, 2019

Seems like it is happening a lot now. I don't understand why insurance raises rates on these cars if the car classified as the safest car on the road and also have so many advanced features that avoid accidents and can report on what actually happened via Tesla data and dashcam.....does not make any sense.

wiscy67 | June 14, 2019

Reclassified from what to what? My insurance was high out of the gate with USAA. They seem not to care if you have an SR+ or performance model as the cost to repair is high for both. I pay $2100/yr for 12k miles with $100/$500 deductibles and $300k/500k coverage. Not tickets or accidents.

kevin666 | June 14, 2019

I had the same experience, Allstate rates went up too ridiculous.
There are still some companies that offered decent rates, and the lowest quotes I got from Ameriprise. You can find a link on Costco website.

Tuning In | June 14, 2019

@wiscy67 You are correct that there is little difference in the premium between a Performance and a SR-. The difference between our P+ and the LR RWD for us is $73 a year. Just for shts and giggles, as we were getting quotes during renewal from several insurers, we found that the difference between the P and the SR- is less than $100 a year among all major carriers, so a SR- is pretty much the same cost to insure as a LR RWD.

derotam | June 14, 2019

My Allstate went up a little bit but not that much.. maybe 15-20% or so. I don't like it but it is what it is. I hear people talking about cheap rates with other companies but then I also hear people having claims issues with those companies when there is an accident. You get what you pay for, not all insurance companies are the same even with same coverage, YMMV...pick your favorite phrase. I've been happy with Allstate service for a few not at fault accidents over the years so I don't plan on changing any time soon.

AmpManNC | June 14, 2019

We discovered we were insured by 'Allstate Indemnity' when we tried to shop around for lower rates after buying our SR+. This is a subdivision of Allstate that normally applies to high risk drivers. The Costco insurer wouldn't even quote us (ie, wouldn't insure us) because we were currently under this version of Allstate.

We have a squeaky clean record and have been with Allstate for 30+ years, so I was not happy to hear this. I complained to my agent, and he swung us over to the regular Allstate, and lo and behold our rates went down significantly. I'm still pissed he had never suggested this in the first place, so I will be shopping around when things settle. We have 4 cars, home, boat, and umbrella policy with them; we've probably put one of his kids through college. Live and learn...

So something to check if you're with Allstate.

FISHEV | June 14, 2019

So dump Allstate and go with Progressive $647/6 months for my $52k Model 3. $100 more than my $25k Subaru. GEICO also seems competitive on the Teslas.

So many auto insurance companies with instant online quoting, no need to put up with high insurance costs.

TabascoGuy | June 14, 2019

@wiscy67 - bump your deductibles up, they are too low. That's why you're paying so much.

ajgianoli | June 14, 2019

I figure fender benders - the most common accidents - are no longer just that. There are sensors to replace, harnesses, maybe cameras. As other carmakers join the “awareness” bandwagon, all those rates will increase. Insurance companies are NOT going to lose money. (I have a friend in the Sierra foothills of N. Calif., whose homeowners fire insurance was recently cancelled.)

Maybe as more data points come in, it’ll even out some.

MichaelB00012 | June 14, 2019

I have Allstate, and it went up about 60 or 80 bucks over 6 months. A lot of your rate is also based on where you live. If you live in shitty areas with shitty people that tend to break into Tesla vehicles, you're probably going to pay more because idiots don't want you to have nice things.

Neomaxizoomdweebie | June 14, 2019

WantMY flagged. Go away, troll.

Neomaxizoomdweebie | June 14, 2019

WantMYflag, you really shouldn't use offensive slurs.

Lonestar10_1999 | June 14, 2019

Insurance rates vary widely from a person’s age, driving record, and where they reside. Anyone considering an M3 purchase ought to do their due diligence and get insurance quotes.

If you can’t afford the insurance premium, you need to know this before you order your M3.

lbowroom | June 14, 2019

State Farm hasn't raised my rates. $1200 yr 250/500

Kary993 | June 14, 2019

Traveler's, $1010 / year $1000 deductible 300k/500k coverage no tickets or accidents for model 3 performance. Use a broker to find you rates they can do much better than doing it yourself.

howard | June 14, 2019

American Family and it has gone up about 50% since new. The cost of insuring the Tesla is starting to offset the savings at this point. Yes, I think the repair history (length of time in the shop and cost of parts) is probably the driving factor. Perhaps Tesla insurance could help with this. It is starting to concern me. It will be coming to all carriers soon.

WantMY | June 14, 2019

Yes, the problem is - insurance co do not pass the extra expense burden to the specific owner, they pass it to all Tesla owners, and it is not small amount. So shopping around might help for a while, but soon they all would raise rates, so there will be no place to run.

Neomaxizoomdweebie | June 14, 2019

How ever will you afford insurance when you can finally get your Model Y?

NapaChris | June 14, 2019


Neomaxizoomdweebie | June 14, 2019

Wow, if you have so much money why would you waste your time here? Loser.

keith | June 14, 2019

Just got my Allstate Indemnity renewal and AwdM3 premium increased 35%. We insure 5 cars in TX with $1k deductible with no increase for 3 cars and only 5% increase for the 911. Looking at the component costs of the M3, collision went up 40% and “other than collision “ went up 80%. Total 6 mo premium for M3 is $1,183. I’ve got a call in to my agent. Thanks AmpManNC.

cnsf | June 16, 2019

So, to be clear, we are with regular Allstate, not Indeminty. One driver out of three (over 25 female) had an accident almost three years ago with 100% at fault. Our rates had already been adjusted for this issue and I've had the Tesla M3 LR DM for a year at a comparable insurance rate to a 2017 Toyota Highlander. They reclassified the Tesla to a higher risk rating across the board, apparently. When I got the Tesla, I investigated the insurance cost before buying. This was a total blindside by Allstate. No warning, just a renewal notice that I actually read. I have a $500 deductible and lots of discounts, including Safe Driving discounts. Collision is what jacked up.

rhj | June 16, 2019

There is a lot of time and money required to get a Tesla back on the road after an accident
Rental car cost alone far exceed any deductible just waiting for parts.
The bulk of spit and polish body shops cannot do the repairs and those that can do it right charge like Sin.
As the data is coming in Insurance carriers are charging accordingly.
But some are also have their good-hands on your privates, because they can

thedrisin | June 16, 2019

Most insurance companies use complex actuarial mathematic models and are not arbitrary. Otherwise, they would go bankrupt.

charles.a.braun | June 16, 2019

Based on the fun I have been having with Tesla Energy for the past several months over a simple <$40 warranty claim, I can only imagine what a nightmare it will be to work with Tesla Insurance if it were to ever happen.

I dont think that there is any amount of savings on the front end that would convince me to use Tesla as my insurance carrier.

Xov | June 16, 2019

I had bad luck with Allstate, too. They wanted an extra $1,000 every six months for my performance model 3. I'm coming from a 2015 Audi SQ5 and have desirable underwriting criteria. So, after 27 years of doing business with them, I no longer have Allstate. Switched to Amica and took the dividend policy option. Worth a look.