As we previously reported, Tesla was exploring the option of adding discounts to Tesla Insurance for users who actively use FSD. Tesla Insurance is integrated directly right into the app and offers an easy-to-use and seamless experience for those who have access to it - and if you’re an active user of FSD - it's about to get even better.
Tesla already offered discounts based on safety score, which are Tesla’s internal factors determining how safe a driver you are. A higher score means you pay less for insurance, while a lower score increases your rate. Now, FSD use is also a factor in that equation.
FSD (Supervised) Discount
Tesla added a page to its Tesla Insurance support section outlining the new Full Self-Driving (Supervised) discount, so let’s look at exactly what it’s offering.
This discount is aimed at owners in the U.S. who have either purchased or subscribed to FSD. The more you use FSD, the larger the discount on your insurance.
Tesla will compare the total miles driven (overall) against the total miles driven with FSD enabled - giving you an overall percentage of time spent on FSD rather than manual driving. When you meet or exceed 50% of your miles driven with FSD engaged, you’ll receive up to a 10% discount on your insurance premiums.
Unfortunately, Tesla’s Safety Score and, thus, miles driven on FSD are only available to Tesla Insurance subscribers, which is limited to a variety of states in the U.S.
You can find your total miles driven with FSD by navigating to Safety Score and tapping the round info icon in the top right corner of the app. This displays the information for the current month, while your current discount is displayed under Safety Score > Premium.
How to Qualify
This discount is currently limited - it is only offered in Arizona and Texas at the moment. While it will take effect for new policyholders immediately, existing policyholders will have to wait until March 8th, 2025, to begin taking advantage of the FSD discount. While you can insure non-Tesla vehicles through Tesla Insurance, letting you keep a single policy for all of your vehicles, the FSD discount only applies to Tesla vehicles on your account.
Tesla also notes that the 10% discount doesn’t apply to all portions of the premium - but only to certain eligible coverages. Some ineligible coverages include comprehensive collision coverage, uninsured motorist, and uninsured pedestrian coverage - so your total discount rate may be lower than a full 10%.
If you recently received an FSD trial, the discount will also apply during the trial period. If your trial or subscription lapses, the discount will apply for the previous 30 days, regardless of your subscription status.
While this isn’t the massively cheaper insurance many were hoping for, it can still help offset the price of FSD, especially if you are already a heavy user. For the average insurance policyholder, this will cut between $20 - $40 from your insurance premium, which can cut the price of subscribing to FSD to $60-$80. It was just last year that subscribing to FSD cost $199/month.
Hopefully, Tesla will quickly roll this discount out to more eligible states and continue the expansion of Tesla Insurance into new territories. It’ll be interesting to see how this discount gets adjusted as newer, safer versions of FSD roll out.
