GEICO, the second largest U.S. auto insurer, has refused to insure a Tesla Cybertruck because it is… a Cybertruck. Other owners write about rejections from this and other companies.
Recently, GEICO told a customer with a multi-car policy that it would not renew the Cybertruck because the electric pickup did not meet their requirements. Some owners have also reported rejections, and others are frightened by this development.
For various safety-related reasons, Tesla has recalled the Cybertruck at least five times since its release in 2023. Users have been accompanied by loose aluminum panels, Gas pedals that fly off, trunk dangerous for fingers or more funny cases. Insurers, of course, pay attention to all these messages and the overall level of vehicle safety, and are gradually starting to refuse to service cars. In a letter from GEICO owner Cybertruck Robert Stevenson is being told by the company that his 2024 Cybertruck will lose insurance coverage:
«We cannot insure your 2024 Tesla Cybertruck because this type of vehicle does not meet our prescribed requirements».
Stevenson, who has a policy for eight vehicles, replied that it didn’t make sense because there are other riskier cars. He asked for a recommendation for another insurance company, as he was canceling the GEICO policy for all his cars.
There are other cases where GEICO refused to cover Cybertruck. Forum user cybertruckownersclub shared a similar experience. A few months after receiving the pickup truck in New York, GEICO also canceled his policy. He was also turned down by more than five insurance brokers, and he found himself in a situation where he could not drive the car or sell it because of Tesla’s resale policy.
Other Cybertruck owners have reported facing the same problem. It’s getting to the point where people are canceling their Cybertruck orders because they can’t find insurance coverage. In some absurd cases, the proposed monthly insurance payment exceeds the cost of the pickup truck.
There is currently no guaranteed solution to this problem. Potential Cybertruck owners should understand this before buying a vehicle.
Source: Notebookcheck
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