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Many insurers have also dropped specific models of Kia and Hyundai because of their lack of effective anti-theft technology. I say that only to point out that a

Many insurers have also dropped specific models of Kia and Hyundai because of their lack of effective anti-theft technology. I say that only to point out that an insurer no longer covering a specific model isn't unprecedented. The repair costs of the Cybertruck are astronomical and Geico must feel that for the business model to make sense the premiums would also be astronomical, so much so that they opted to get out of the market altogether. It'd be interesting to know whether they're just dropping Full Coverage or dropping All coverage - I'd still think they'd sell you insurance to protect you should you cause damages, which is the minimum insurance required in most (all?) states.

kotaKat 2y ago
Jalopnik got a statement from GEICO that stated a bit more. https://jalopnik.com/geico-is-cancelling-tesla-cybertruck-policies-as-it-doe-1851666570 https://jalopnik.com/geico-is-cancelling-tesla-cybertruck-po... "Because of its gross weight and potential challenges with parts availability for repair shops, some customers may have received notices stating that PPA [private passenger automobile] insurance would not be renewed for this vehicle. However, policies for this vehicle have always been available through our commercial insurance division, and now remain available via PPA as well." I know my insurer (Progressive) is very iffy on Teslas, however there are 20+ year "Lifetime Crown" customers that have some level of overridability on underwriting. After 20+ years they'll even insure you "regardless of changes to your driving status", and I've heard at least one report of someone managing to put a personally owned firetruck on a Progressive policy against underwriting guidelines and Progressive was forced to underwrite it because of the Crown promises to the customer.
SoftTalker 2y ago
If you're leasing your Cybertruck, or have financed its purchase, you will be required to carry full coverage. I would imagine this is the case for most people; very few are paying cash for an $80-100K vehicle.
- russdill 2y ago
  I'm not your dad or anything, but if you don't have the cash to purchase a 6 figure vehicle, you should not be financing a 6 figure loan with auto loan rates.
  - sonofhans 2y ago
    Yes. Like with a Ferrari, you should only purchase one if you can afford to drive it into a wall.
  - pseudosavant 2y ago
    And yet I'm sure that vast majority of Cybertrucks are purchased using financing.
  - SoftTalker 2y ago
    Sure, ideally you should never borrow money to purchase a depreciating asset, but the reality is most people need a car and they don't have the cash to buy it outright. I actually do follow this rule for myself, the last car I bought was $4k, paid cash. I'd never spend 5 figures on a car, let alone 6.
    - rurp 2y ago
      There should be zero overlap on a Venn diagram of people scrounging together money for basic transportation and those considering a $100k pseudo-truck. Anyone who needs to borrow money for a basic car but buys a cyber truck instead is in for a world of financial hurt.
    - taylodl 2y ago
      There's a couple of strategies to employ: 1. Never buy a new vehicle. Vehicles depreciate most quickly up-front. Buying a vehicle coming off of a lease is often a good bet. Most of the quick depreciation is done and now you're in the period of a slowly depreciating. You also have a relatively new vehicle. 2. Always put down at least 20% of the vehicle's purchase price, i.e. don't finance more than 80%. This does two things. One, it ensures your loan is unlikely to be upside down. Two, it limits how much you can borrow which keeps you from financing fantasies. For example, you had $4K cash for the last car you purchased. Given that, I would say that you should have kept your budget at $20K or under. $20K, even today, can get you a nice used car.
mugwumprk 2y ago
Wouldn't surprise me if they dropped insurance protecting you from causing damages. As I understand it, the sharp edges and unyielding metal panels may mean they'd cause a lot more damage than an equivalent vehicle. So unless it's legally required, no form of insurance may be economically viable.
russdill 2y ago
The attitude on display at Kia for security is just shocking https://news.ycombinator.com/item?id=41658733 https://news.ycombinator.com/item?id=41658733
nabla9 2y ago
Cybertruck's 3mm stainless steel panels are insurance problem. Stainless steel is hard to repair. Normal PDR does not work. The cost of repair for even the most minor accidents is very high. In many cases replacement panel is the cheapest way. Tesla’s supply chain does not keep up with demand for repair parts.
- ortusdux 2y ago
  IIRC, it is also precipitation hardened stainless, so a weld repair would anneal it, cutting the affected area's strength in half.

kotaKat 2y ago

Jalopnik got a statement from GEICO that stated a bit more. https://jalopnik.com/geico-is-cancelling-tesla-cybertruck-policies-as-it-doe-1851666570 https://jalopnik.com/geico-is-cancelling-tesla-cybertruck-po... "Because of its gross weight and potential challenges with parts availability for repair shops, some customers may have received notices stating that PPA [private passenger automobile] insurance would not be renewed for this vehicle. However, policies for this vehicle have always been available through our commercial insurance division, and now remain available via PPA as well." I know my insurer (Progressive) is very iffy on Teslas, however there are 20+ year "Lifetime Crown" customers that have some level of overridability on underwriting. After 20+ years they'll even insure you "regardless of changes to your driving status", and I've heard at least one report of someone managing to put a personally owned firetruck on a Progressive policy against underwriting guidelines and Progressive was forced to underwrite it because of the Crown promises to the customer.

SoftTalker 2y ago

If you're leasing your Cybertruck, or have financed its purchase, you will be required to carry full coverage. I would imagine this is the case for most people; very few are paying cash for an $80-100K vehicle.

russdill 2y ago
I'm not your dad or anything, but if you don't have the cash to purchase a 6 figure vehicle, you should not be financing a 6 figure loan with auto loan rates.
- sonofhans 2y ago
  Yes. Like with a Ferrari, you should only purchase one if you can afford to drive it into a wall.
- pseudosavant 2y ago
  And yet I'm sure that vast majority of Cybertrucks are purchased using financing.
- SoftTalker 2y ago
  Sure, ideally you should never borrow money to purchase a depreciating asset, but the reality is most people need a car and they don't have the cash to buy it outright. I actually do follow this rule for myself, the last car I bought was $4k, paid cash. I'd never spend 5 figures on a car, let alone 6.
  - rurp 2y ago
    There should be zero overlap on a Venn diagram of people scrounging together money for basic transportation and those considering a $100k pseudo-truck. Anyone who needs to borrow money for a basic car but buys a cyber truck instead is in for a world of financial hurt.
  - taylodl 2y ago
    There's a couple of strategies to employ: 1. Never buy a new vehicle. Vehicles depreciate most quickly up-front. Buying a vehicle coming off of a lease is often a good bet. Most of the quick depreciation is done and now you're in the period of a slowly depreciating. You also have a relatively new vehicle. 2. Always put down at least 20% of the vehicle's purchase price, i.e. don't finance more than 80%. This does two things. One, it ensures your loan is unlikely to be upside down. Two, it limits how much you can borrow which keeps you from financing fantasies. For example, you had $4K cash for the last car you purchased. Given that, I would say that you should have kept your budget at $20K or under. $20K, even today, can get you a nice used car.

mugwumprk 2y ago

Wouldn't surprise me if they dropped insurance protecting you from causing damages. As I understand it, the sharp edges and unyielding metal panels may mean they'd cause a lot more damage than an equivalent vehicle. So unless it's legally required, no form of insurance may be economically viable.

russdill 2y ago

The attitude on display at Kia for security is just shocking https://news.ycombinator.com/item?id=41658733 https://news.ycombinator.com/item?id=41658733

nabla9 2y ago

Cybertruck's 3mm stainless steel panels are insurance problem. Stainless steel is hard to repair. Normal PDR does not work. The cost of repair for even the most minor accidents is very high. In many cases replacement panel is the cheapest way. Tesla’s supply chain does not keep up with demand for repair parts.

ortusdux 2y ago
IIRC, it is also precipitation hardened stainless, so a weld repair would anneal it, cutting the affected area's strength in half.