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New Car Insurance Rates Surge: Tesla Models Hit Hardest

5/28/2025

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Story summary
  • Full-coverage insurance rates for new cars increased by 10% in the past year, with Tesla models rising up to 29%.
  • The Tesla Model Y, Model 3, and Model X experienced the highest rate hikes.
  • Rising premiums are attributed to escalating repair costs for electric vehicles.
  • While advanced safety features reduce crash risk, they contribute to higher repair costs, affecting insurance rates.