Tesla owners gut-punched after receiving unexpected notice from insurance company: ‘Mind you, zero accidents in my life’
Tesla’s reduced production of its Cybertruck is having a ripple effect on owners, some of whom say insurance companies are now canceling policies for the vehicle.
What’s happening?
Once one of the world’s most-hyped vehicles, sales and production numbers for Tesla’s Cybertruck have fallen sharply. In the second quarter of this year, the company sold just 4,306 Cybertrucks, a drop of more than 50% over the same period in 2024.
Now, Torque News reported, some insurance companies are using those numbers to cancel their coverage of the all-electric truck.
One Illinois resident wrote in a Cybertruck owners’ Facebook group that his Cybertruck would need to be removed from his policy.
He shared a letter written by Hanover Insurance, which said the company is “unable to adequately rate and underwrite the vehicle” because of its limited production and that “its design represents a unique challenge, as it poses an extraordinary expense for repair or replacement under comprehensive or collision coverage.”
The only way his overall policy could avoid cancellation, the company wrote, was to remove the Cybertruck from it.
“Mind you,” he wrote, “zero accidents in my life.”
Why are Cybertruck issues concerning?
This development is the latest piece of troubling news surrounding the Cybertruck — and, really, Tesla’s overall sales this year.
As Torque News noted, the company already has the capacity to produce 130,000 Cybertrucks per year, and CEO Elon Musk previously suggested Tesla would make up to 250,000 of the vehicles each year. But based on its second-quarter numbers, the company would be on pace to produce fewer than 20,000 Cybertrucks annually.
In that quarter, Cybertruck sales were not only beaten by those of the Ford F-150 Lightning but also by the Hummer EV. And the problem wasn’t limited to the Cybertruck, as Tesla’s overall sales fell 12.6% from the previous year.
As the biggest electric-vehicle company, any negative development for Tesla could potentially make people think twice before switching to an EV, which could keep more high-polluting, dirty energy-burning cars on the road instead.
What can I do about this?
On the Facebook group, some other Cybertruck owners said they also received cancellation notices from Hanover Insurance but had success finding policies with other companies, namely Farmers Insurance.
But no matter what make or model it is, switching from a gas-powered vehicle to an EV is one of the best choices you can make for our environment. And with the $7,500 federal EV tax credit ending Sept. 30, thanks to the passage of the “Big Beautiful Bill,” now may be the perfect time to make that switch.
Join our free newsletter for good news and useful tips, and don’t miss this cool list of easy ways to help yourself while helping the planet.
