Sep 3 (edited)

Insurance discounts for Tesla FSD!

Lemonade announced the launch of Autonomous Car insurance, “a first-of-its-kind product” designed for self-driving cars, starting with Tesla FSD.

The new offering cuts per-mile rates for FSD-engaged driving by ~50%. Lemonade expects further reductions as Tesla releases FSD software updates.

Check this out! https://www.lemonade.com/fsd

Sep 3, 2026

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Replies (10)

· Sep 3

Comparing Tesla fleet driven manually with active safety features on vs Tesla Full Self Drive shows ~2.7× fewer major collisions (5.69M vs 2.08M miles per crash). Using Tesla fleet eliminates the very young and very old who are typically not Tesla drivers and gives apples to apples on the types of vehicles. Data shows you much less likely to crash so paying less for insurance in FSD mode makes sense to me.

Note that if you compare Tesla FSD against all drivers in all cars you FSD is something like 8x safter.

· Sep 3

This will basically be a way to subsidize the 100/month fee for the FSD.

· Sep 3

I was thinking the same thing. So if you are paying 1200/year for insurance and are running FSD 90% of the time that is around 600 bucks which is half the cost of the FSD for the year.

· Sep 3

In 10 years we will all be taking RoboTaxis and not need cars or insurance. Except for our collector cars!

· Sep 3

Lemonade did a technical collaboration with Tesla that gives it access to vehicle telemetry via Tesla’s Fleet API. Needs to be enabled by the driver. Lemonade uses a pay-per-mile model with a low base rate when the car is parked and a few cents per mile when it moves. Miles driven with FSD engaged get a 50% discount off that per-mile rate. Manual miles are priced at the normal rate. There is no minimum FSD usage—any FSD miles automatically get the cut. So heavy FSD usage brings the cost down as well as low miles since you pay a cheap rate for being parked.

· Sep 4

What if I have autopilot enabled on the highway but not full “FSD”? I assume those miles count? I don’t love FSD for side streets and so on but always have autopilot on when cruising the highway.

· Sep 4

PS buzz kill Lemonade is not in Massachusetts yet. I signed up for the notification email.

· Sep 4

From what I read you need HW 4 so time to upgrade that old Tesla. Auto pilot does not count.

· Sep 4

Hey I can get pet insurance too! I wonder if they will bundle (sarcasm)

· Sep 4

Pet insurance feels like a scam. But then again most insurance is a scam.