Tesla launching insurance service in California


Tesla announced on Wednesday it is starting an insurance service in California, offering "comprehensive coverage" at lower rates.
The California Department of Insurance website shows Tesla was licensed as a broker to conduct business on behalf of the State National Insurance Company Inc., Reuters reports. California is Tesla's largest market, and the company said it plans on expanding its insurance product to other states in the future.
Tesla says that because its cars have safety features that set them apart from other vehicles, Tesla drivers should receive lower rates. Without going into specifics, Tesla said its rates could be up to 20 percent lower than those of rivals. Researchers say it's usually more expensive to insure a Tesla, because they have high repair costs.
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Catherine Garcia has worked as a senior writer at The Week since 2014. Her writing and reporting have appeared in Entertainment Weekly, The New York Times, Wirecutter, NBC News and "The Book of Jezebel," among others. She's a graduate of the University of Redlands and the Columbia University Graduate School of Journalism.
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