[HN Gopher] Self Driving Car Insurance
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       Self Driving Car Insurance
        
       Author : KellyCriterion
       Score  : 141 points
       Date   : 2026-01-30 15:50 UTC (1 days ago)
        
 (HTM) web link (www.lemonade.com)
 (TXT) w3m dump (www.lemonade.com)
        
       | FrankWilhoit wrote:
       | One's first thought is that they ought to be running away from
       | underwriting this as fast as they can go. But then one realizes
       | that it is all profit -- they need never pay a claim, because in
       | accidents involving autonomous vehicles, it will never be
       | possible to establish fault; and then one sees that the primary
       | purpose of most automations is to obscure responsibility.
        
         | nradov wrote:
         | You're not making any sense. In terms of civil liability, fault
         | is attached to the vehicle regardless of what autonomous
         | systems might have been in use at the time of a collision.
        
           | SoftTalker wrote:
           | Or even who was driving it, in the case of ordinary cars.
        
         | jgbuddy wrote:
         | > and then one sees that the primary purpose of most
         | automations is to obscure responsibility.
         | 
         | Are you saying that the investments in FSD by tesla have been
         | with the goal of letting drivers get a way with accidents? The
         | law is black and white
        
           | FrankWilhoit wrote:
           | What is the "driver"? Who wrote which line of the software?
           | Who tested it? Who approved its deployment? The rest is
           | lawyers.
        
         | tehwebguy wrote:
         | One might imagine that lower courts won't determine fault, one
         | would be wrong.
        
         | deelayman wrote:
         | I think there's a narrow unregulated space where this could be
         | true. I'm exercising my creativity trying to imagine it - where
         | automations are built with the outcome of obscured
         | responsibility in mind. And I could understand profit as a
         | possible driving factor for that outcome.
         | 
         | As an extreme end of a spectrum example, there's been worry and
         | debate for decades over automating military capabilities to the
         | point where it becomes "push button to win war". There used to
         | be, and hopefully still is, lots of restraint towards heading
         | in that direction - in recognition of the need for ethics
         | validation in automated judgements. The topic comes up now and
         | then around Tesla's, and impossible decisions that FSD will
         | have to make.
         | 
         | So at a certain point, and it may be right around the point of
         | serious physical harm, the design decision to have or not have
         | human-in-the-middle accountability seems to run into ethical
         | constraints. In reality it's the ruthless bottom line focused
         | corps - that don't seem to be the norm, but may have an
         | outsized impact - that actually push up against ethical
         | constraints. But even then, I would be wary as an executive
         | documenting a decision to disregard potential harms at one of
         | them shops. That line is being tested, but it's still there.
         | 
         | In my actual experience with automations, they've always been
         | derived from laziness / reducing effort for everyone, or
         | "because we can", and sometimes a need to reduce human error.
        
       | sabareesh wrote:
       | Tesla have their own Insurance product which is already very
       | competitive compared to other providers. Not sure if lemonade can
       | beat them . Tesla's insurance product has similar objective in
       | place already where it rewards self driving over manual driving.
        
         | kjksf wrote:
         | Tesla is cooperating with Lemonade on this by providing them
         | necessary user driving data.
         | 
         | If Tesla didn't want Lemonade to provide this, they could block
         | them.
         | 
         | Strategically, Tesla doesn't want to be an insurer. They
         | started the insurance product years ago, before Lemonade also
         | offered this, to make FSD more attractive to buyers.
         | 
         | But the expansion stalled, maybe because the state bureaucracy
         | or maybe because Tesla shifted priority to other things.
         | 
         | In conclusion: Tesla is happy that Lemonade offers this. It
         | makes Tesla cars more attractive to buyers without Tesla doing
         | the work of starting an insurance company in every state.
        
           | mullingitover wrote:
           | > But the expansion stalled, maybe because the state
           | bureaucracy or maybe because Tesla shifted priority to other
           | things.
           | 
           | If the math was mathing, it would be _malpractice_ not to
           | expand it. I 'm betting that their scheme simply wasn't
           | workable, given the extremely high costs of claims (Tesla
           | repairs aren't cheap) relative to the low rates that they
           | were collecting on premiums. The cheap premiums are probably
           | a form of market dumping to get people to buy their FSD
           | product, the sales of which boosts their share price.
        
             | Veserv wrote:
             | It was not workable. They have a loss ratio of >100% [1],
             | as in they paid out more in claims than received in
             | premiums before even accounting for literally any other
             | costs. Industry average is ~60-80% to stay profitable when
             | including other costs.
             | 
             | They released the Tesla Insurance product because their
             | cars were excessively expensive to insure, increasing
             | ownership costs, which was impacting sales. By releasing
             | the unprofitable Tesla Insurance product, they could
             | subsidize ownership costs making the cars more attractive
             | to buy right now which pumped revenues immediately in
             | return for a "accidental" write-down in the future.
             | 
             | [1] https://peakd.com/tesla/@newageinv/teslas-push-into-
             | insuranc...
        
               | redanddead wrote:
               | Who was paying for this?
        
               | Onavo wrote:
               | You as the consumer when you buy a tesla car that's twice
               | the price of what you can get it for in Asia. Teslas are
               | very cheap to produce.
               | 
               | Remember with their own insurance they also have access
               | to the parts at cost.
        
               | Veserv wrote:
               | That is not true. Since Tesla was losing money on their
               | insurance to boost sales the customers were not paying
               | for it since they were receiving a service for below
               | cost.
               | 
               | The people paying were actually the retirement funds who
               | fronted Tesla's cash reserves when they purchased Tesla
               | stock and the US government paying for it in the form of
               | more tax credits on sales that would not have otherwise
               | materialized without this financial fraud. But do not
               | worry, retirement funds and the US government may have
               | lost, but it boosted Tesla sales and stock valuation so
               | that Elon Musk could reach his KPIs to get his multiple
               | tens of billions of dollars of payout.
        
               | redanddead wrote:
               | Wow this went deep ahaha
        
             | redanddead wrote:
             | The math should've mathed. Better data === lower losses
             | right? They probably weren't able to get it to work quite
             | right on the tech side and were eating fat losses during an
             | already bad time in the market.
             | 
             | It'll come back.
             | 
             | Lemonade or Tesla if you find this, let's pilot, i'm a
             | founder in sunnyvale, insurtech vertical at pnp
        
         | redanddead wrote:
         | You'd be very surprised. Distribution works wonders. You could
         | have a large carrier taking over Tesla's own vehicles in
         | markets they care about. The difference then would be loss
         | ratios on the data collection, like does LIDAR data really beat
         | Progressive Snapshot?
         | 
         | The two are measuring data for different sources of losses for
         | carriers.
        
       | jasoncartwright wrote:
       | If it autonomous or self-driving then why is the person in the
       | car paying for the insurance? Surely if it's Tesla making the
       | decisions, they need the insurance?
        
         | jgbuddy wrote:
         | Because the operator is liable? Tesla as a company isn't
         | driving the car, it's a ML model running on something like HW4
         | on bare metal in the car itself. Would that make the silicon
         | die legally liable?
        
           | throw20251220 wrote:
           | Who's the "operator" of an "autonomous" car? If I sit in it
           | and it drives me around, how am I an "operator"?
        
             | renewiltord wrote:
             | If you get on a horse and let go of the reins you are also
             | considered the operator of the horse. Such are the
             | definitions in our society.
        
               | kyleee wrote:
               | Great analogy, lol
        
           | jasoncartwright wrote:
           | Sounds like it's neither self-driving, nor autonomous, if I'm
           | on the hook if it goes wrong.
        
             | scottbez1 wrote:
             | Yeah, Tesla gets to blame the "driver", and has a history
             | of releasing partial and carefully curated subsets of data
             | from crashes to try to shift as much blame onto the driver
             | as possible.
             | 
             | And the system is designed to set up drivers for failure.
             | 
             | An HCI challenge with mostly autonomous systems is that
             | operators lose their awareness of the system, and when
             | things go wrong you can easily get _worse_ outcomes than if
             | the system was fully manual with an engaged operator.
             | 
             | This is a well known challenge in the nuclear energy sector
             | and airline industry (Air France 447) - how do you keep
             | operators fully engaged even though they almost never need
             | to intervene, because otherwise they're likely to be
             | missing critical context and make wrong decisions. These
             | days you could probably argue the same is true of software
             | engineers reviewing LLM code that's often - but not always
             | - correct.
        
               | redanddead wrote:
               | > has a history of releasing partial and carefully
               | curated subsets of data from crashes to try to shift as
               | much blame onto the driver as possible
               | 
               | Really? Thats crazy.
        
             | thelastgallon wrote:
             | Its neither self-driving, nor autonomous, eventually not
             | even a car! (as Tesla slowly exits the car business). It
             | will be 'insurance' on Speculation as a service, as Tesla
             | skyrockets to $20T market cap. Tesla will successfully
             | transition from a small revenue to pre-revenue company:
             | https://www.youtube.com/watch?v=SYJdKW-UnFQ
             | 
             | The last few years of Tesla 'growth' show how this
             | transition is unfolding. S and X production is shutdown,
             | just a few more models to shutdown.
        
               | rubyfan wrote:
               | I wonder if they will try to sell off the car business
               | once they can hype up something else. It seems odd to
               | just let the car business die.
        
               | redanddead wrote:
               | Wild prediction, would love to hear the rest of it
        
             | iwontberude wrote:
             | Especially since they can push regressions over the air and
             | you could be lulled into a sense of safety and robustness
             | that isn't there and bam you pay the costs of the
             | regressions, not Tesla.
        
           | close04 wrote:
           | The point is if the liability is always exclusively with the
           | human driver then any system in that car is at best a "driver
           | assist". Claims that "it drives itself" or "it's autonomous"
           | are just varying degrees of lying. I call it a partial lie
           | rather than a partial truth because the result more often
           | than not is that the customer is tricked into thinking the
           | system is more capable than it is, and because that outcome
           | is more dangerous than the opposite.
           | 
           | Any car has varying degrees of autonomy, even the ones with
           | no assists (it will safely self-drive you all the way to the
           | accident site, as they say). But the car is either driven by
           | the human with the system's help, or is driven by the system
           | with or without the human's help.
           | 
           | A car can't have 2 drivers. The only real one is the one the
           | law holds responsible.
        
         | throw20251220 wrote:
         | It's because you bought it. Don't buy it if you don't want to
         | insure.
        
           | SoftTalker wrote:
           | Yep, you bought it, you own it, you choose to operate it on
           | the public roads. Therefore your liability.
        
             | 9rx wrote:
             | If you bought and owned it, you could sell it to another
             | auto manufacturer for some pretty serious amounts of money.
             | 
             | In reality, you acquired a license to use it. Your
             | liability should only go as far as you have agreed to
             | identify the licenser.
        
               | recursive wrote:
               | You can actually do that. Except that they could just buy
               | one themselves.
               | 
               | Companies exist that buy cars just to tear them down and
               | publish reports on what they find.
        
               | 9rx wrote:
               | _> Companies exist that buy cars just to tear them down
               | and publish reports on what they find._
               | 
               | What does it mean to tear down software, exactly? Are you
               | thinking of something like decompilation?
               | 
               | You can do that, but you're probably not going to learn
               | all that much, and you still can't use it in any
               | meaningful sense as you never bought it in the first
               | place. You only licensed use of it as a consumer (and now
               | that it is subscription-only, maybe not even that). If
               | you have to rebuild the whole thing yourself anyway, what
               | have you really gained? Its not exactly a secret how the
               | technology works, only costly to build.
               | 
               |  _> Except that they could just buy one themselves._
               | 
               | That is unlikely, unless you mean buying Tesla outright?
               | Getting a license to use it as a manufacturer is much
               | more realistic, but still a license.
        
               | recursive wrote:
               | Check out Munro and Associates. I'm not talking about
               | software. The whole car.
        
               | 9rx wrote:
               | For what reason?
               | 
               | In case you have forgotten, the discussion is about self-
               | driving technology, and specifically Tesla's at that. The
               | original questioner asked why he is liable when it is
               | Tesla's property that is making the decisions. Of course,
               | the most direct answer is because Tesla disclaims any
               | liability in the license agreement you must agree to in
               | order to use said property.
               | 
               | Which has nothing to do with an independent consulting
               | firm or "the whole car" as far as I can see. The
               | connection you are trying to establish is unclear.
               | Perhaps you pressed the wrong 'reply' button by mistake?
        
               | recursive wrote:
               | I started responding to this. I interpreted it to be
               | referring to the whole car.
               | 
               | > Yep, you bought it, you own it, you choose to operate
               | it on the public roads. Therefore your liability.
        
           | Rebelgecko wrote:
           | I don't think Tesla lets you buy FSD
        
             | scottyah wrote:
             | They do, until Feb 14th.
        
               | Rebelgecko wrote:
               | Even now I think it's a revocable license
        
         | davidhunter wrote:
         | Seems like the role of the human operator in the age of AI is
         | to be the entity they can throw in jail if the machine fails
         | (e.g. driver, pilot)
        
           | taneq wrote:
           | I've said for years that pragmatically, our definition of a
           | "person" is an entity that can accept liability and take
           | blame.
        
             | wcfrobert wrote:
             | LLCs can't go to jail though
        
               | amitav1 wrote:
               | Because LLCs aren't people
        
             | sroussey wrote:
             | Not to be confused with "human" thanks to SCOTUS.
        
         | jimt1234 wrote:
         | Not an expert here, but I recall reading that certain European
         | countries (Spain???) allow liability to be put on the
         | autonomous driving system, not the person in the car. Does
         | anyone know more about this?
        
           | bluGill wrote:
           | That is the case everywhere. It is common when buying a
           | product for the contract to include who has liability for
           | various things. The price often changes by a lot depending on
           | who has liability.
           | 
           | Cars are traditionally sold as the customer has liability.
           | Nothing stops a car maker (or even an individual dealer) from
           | selling cars today taking all the insurance liability in any
           | country I know of - they don't for what I hope are obvious
           | reasons (bad drivers will be sure to buy those cars since it
           | is a better deal for them an in turn a worse deal for good
           | drivers), but they could.
           | 
           | Self driving is currently sold as customers has liability
           | because that is how it has always been done. I doubt it will
           | change, but it is only because I doubt there will ever be
           | enough advantage as to be worth it for someone else to take
           | on the liability - but I could be wrong.
        
         | kjksf wrote:
         | Because that's the law of the land currently.
         | 
         | The product you buy is called "FSD Supervised". It clearly
         | states you're liable and must supervise the system.
         | 
         | I don't think there's law that would allow Tesla (or anyone
         | else) to sell a passenger car with unsupervised system.
         | 
         | If you take Waymo or Tesla Robotaxi in Austin, you are not
         | liable for accidents, Google or Tesla is.
         | 
         | That's because they operate on limited state laws that allow
         | them to provide such service but the law doesn't allow selling
         | such cars to people.
         | 
         | That's changing. Quite likely this year we will have federal
         | law that will allow selling cars with fully unsupervised self-
         | driving, in which case the insurance/liability will obviously
         | land on the maker of the system, not person present in the car.
        
           | jasoncartwright wrote:
           | I see. So not Tesla's product they are using to sell
           | insurance around isn't "Full Self-Driving" or "Autonomous"
           | like the page says.
        
             | FeloniousHam wrote:
             | My current FSD usage is 90% over ~2000 miles (since v14.x).
             | Besides driving everywhere, everyday with FSD, I have
             | driven 4 hours garage to hotel valet without intervention.
             | It is absolutely "Full Self-Driving" and "Autonomous".
             | 
             | FSD isn't perfect, but it is everyday amazing and useful.
        
               | jasoncartwright wrote:
               | Yet still on relying you to cover it with your insurance.
               | Again, clearly not autonomous.
        
               | AlotOfReading wrote:
               | Liability is a separate matter from autonomy. I assume
               | you'd consider yourself autonomous, yet it's your
               | employer's insurance that will be liable if you have an
               | accident while driving a company vehicle.
               | 
               | If the company required a representative to sit in the
               | car with you and participate in the driving (e.g. by
               | monitoring and taking over before an accident), then
               | there's a case to be made that you're not fully
               | autonomous.
        
               | buran77 wrote:
               | > it's your employer's insurance that will be liable if
               | you have an accident while driving a company vehicle
               | 
               | I think you're mixing some concepts.
               | 
               | There's car insurance paid by the owner of the car, for
               | the car. There's workplace accident insurance, paid by
               | the employer for the employee. The liability isn't
               | assigned by default, but by determining who's
               | responsible.
               | 
               | The driver is always legally responsible for accidents
               | caused by their negligence. If you play with your phone
               | behind the wheel and kill someone, even while working and
               | driving a company car, the company's insurance might pay
               | for the damage but you go to prison. The company will
               | recover the money from you. Their work accident insurance
               | will pay nothing.
               | 
               | The test you can run in your head: will you get arrested
               | if you fall asleep at the wheel and crash? If yes, then
               | it's not autonomous or self driving. It just has driver
               | assistance. It's not that the car can't drive itself at
               | all, just that it doesn't meet the bar for the entire
               | legal concept of "driver/driving".
               | 
               | "Almost" self driving is like jumping over a canyon and
               | almost making it to the other side. Good effort, bad
               | outcome.
        
               | wat10000 wrote:
               | If it was full self driving, wouldn't your usage be 100%?
        
               | pests wrote:
               | Sometimes a car is fun to drive.
        
               | fragmede wrote:
               | It refuses to engage above, like, 80.
        
               | JumpCrisscross wrote:
               | > _My current FSD usage is 90% over ~2000 miles_
               | 
               | I'd guess my Subaru's lane-keeping utilisation is in the
               | same ballpark. (By miles, not minutes. And yes, I'm safer
               | when it and I are watching the road than when I'm
               | watching the road alone.)
        
               | olyjohn wrote:
               | My favorite feature of Subaru's system is when you change
               | lanes, and it stays locked onto the car in the slower
               | lane and slams on the brakes. People behind you love
               | that.
        
           | rubyfan wrote:
           | Waymo is also a livery service which you normally aren't
           | liable for as a passenger of taxi or limousine unless you
           | have deep pockets. /IANAL
        
           | AlotOfReading wrote:
           | You can sell autonomous vehicles to consumers all day long.
           | There's no US federal law prohibiting that, as long as
           | they're compliant with FMVSS as all consumer vehicles are
           | required to be.
        
           | 2III7 wrote:
           | Without LIDAR and/or additional sensors, Tesla will never be
           | able to provide "real" FSD, no matter how wonderful their
           | software controlling the car is.
           | 
           | Also, self driving is a feature of a vehicle someone owns, I
           | don't understand how that should exempt anyone from insuring
           | their property.
           | 
           | Waymo and others are providing a taxi service where the
           | driver is not a human. You don't pay insurance when you ride
           | Uber or Bolt or any other regular taxi service.
        
             | Marsymars wrote:
             | > Also, self driving is a feature of a vehicle someone
             | owns, I don't understand how that should exempt anyone from
             | insuring their property.
             | 
             | Well practically speaking, there's nothing stopping anyone
             | from voluntarily assuming liability for arbitrary things.
             | If Tesla assumes the liability for my car, then even if I
             | still require my "own" insurance for legal purposes, the
             | marginal cost of covering the remaining risk is going to be
             | close to zero.
        
             | arijun wrote:
             | Never say never--it's not physically impossible. But yes,
             | as it stands, it seems that Tesla will not be self driving
             | any time soon (if ever).
        
               | kjksf wrote:
               | They literally just (in the last few days) started
               | unsupervised robotaxis in Austin.
               | 
               | They are as self-driving as a car can be.
               | 
               | This is different than the one where they had a human
               | supervisor in passenger seat (which they still do
               | elsewhere).
               | 
               | And different than the one where they didn't have human
               | supervisor but did have a follow car.
               | 
               | Now they have a few robotaxis that are self driving.
        
               | amanaplanacanal wrote:
               | Have you actually ridden in one? It's unclear whether
               | this is a real thing or not.
        
               | throwaway2037 wrote:
               | This is a very low effort post. Was it really too
               | difficult for you to Google: "youtube tesla robotaxis in
               | Austin"? It took me about 7 seconds. There are lots of
               | videos.
        
               | thg wrote:
               | It was just another marketing stunt to pump the stock
               | price before their terrible earnings report. One
               | "unsupervised" unit, with the supervisor in a follow car,
               | that nobody could actually get and drive around in.
               | 
               | https://electrek.co/2026/01/28/teslas-unsupervised-
               | robotaxis...
        
               | iknowstuff wrote:
               | Stop reading electrek.
               | 
               | https://x.com/davidmoss/status/2016939137031381487?s=46
        
           | kolbe wrote:
           | > Quite likely this year we will have federal law that will
           | allow selling cars with fully unsupervised self-driving, in
           | which case the insurance/liability will obviously land on the
           | maker of the system, not person present in the car.
           | 
           | This is news to me. This context seems important to
           | understanding Tesla's decision to stop selling FSD. If
           | they're on the hook for insurance, then they will need to
           | dynamically adjust what they charge to reflect insurance
           | costs.
        
           | arijun wrote:
           | I imagine insurance would be split in two in that case.
           | Carmakers would not want to be liable for e.g. someone
           | striking you in a hit-and-run.
        
             | smallnix wrote:
             | If the car that did a hit-and-run was operated autonomously
             | the insurance of the maker of that car should pay.
             | Otherwise it's a human and the situation falls into the
             | bucket of what we already have today.
             | 
             | So yes, carmakers would pay in a hit-and-run.
        
               | JumpCrisscross wrote:
               | > _If the car that did a hit-and-run was operated
               | autonomously the insurance of the maker of that car
               | should pay_
               | 
               | Why? That's not their fault. If a car hits and runs my
               | uninsured bicycle, the manufacturer isn't liable. (My
               | personal umbrella or other insurance, on the other hand,
               | may cover it.)
        
               | graeme wrote:
               | They're describing a situation of liability, not mere
               | damage. If yor bicycle is hit you didn't do anything
               | wrong.
               | 
               | If you run into someone on your bike and are at fault
               | then you generally would be liable.
               | 
               | They're talking about the hypothetical where you're on
               | your bike, which was sold as an autobomous bike and the
               | bike manufacturer's software fully drives the bike, and
               | it runs into someone and is at fault.
        
           | paulryanrogers wrote:
           | Tacking "Supervised" on the end of "Full Self Driving" is
           | just contradictory. Perhaps if it was "Partial Self Driving"
           | then it wouldn't be so confusing.
        
             | pests wrote:
             | Its only to differentiate it from their "Unsupervised FSD"
             | which is what they call it now.
        
               | paulryanrogers wrote:
               | That is redundant and doesn't make the other any less
               | contradictory
        
           | throwaway2037 wrote:
           | > Quite likely this year we will have federal law that will
           | allow selling cars with fully unsupervised self-driving, in
           | which case the insurance/liability will obviously land on the
           | maker of the system, not person present in the car.
           | 
           | You raise an important point here. Is it economically
           | feasible for system makers to bear the responsibility of
           | self-driving car accidents? It seems impossible, unless the
           | cars are _much_ more expensive to cover the potential future
           | costs. I 'm very curious how Waymo insures their cars today.
           | I assume they have a bespoke insurance contract negotiated
           | with a major insurer. Also, do we know the initial cost of
           | each Waymo car (to say nothing of ongoing costs from
           | compute/mapping/etc.)? It must be very high (2x?) given all
           | of the special navigation equipment that is added to each
           | car.
        
         | gizmo686 wrote:
         | Generally speaking, liability for a thing falls on the
         | owner/operator. That person can sue the manufacturer to recover
         | the damages if they want. At some point, I expect it to become
         | somewhat routine for insurures to pay out, then sue the
         | manufacturer to recover.
        
           | amelius wrote:
           | Or at some point subscribing to a service may be easier than
           | owning the damn thing.
        
             | DaSHacka wrote:
             | All according to plan
        
               | koakuma-chan wrote:
               | It already doesn't make sense to own a car for me. It's
               | cheaper to just call an Uber.
        
               | gffrd wrote:
               | For some this is the case. For others, this is not the
               | case.
        
               | amelius wrote:
               | some -> most ?
        
               | ghaff wrote:
               | I'm guessing that's a fairly city viewpoint. My car is
               | setup with roofrack and carries a lot of other gear I
               | want. I'm regularly in places without reliable cell etc.
               | Visiting friends can easily be an hour drive.
        
               | koakuma-chan wrote:
               | Yes, a city viewport. I usually just walk, but when I
               | don't I most often take the subway, not even Uber. Though
               | I feel like in Toronto the subway or some part thereof is
               | closed or under maintenance or whatever way too often.
               | It's not very reliable.
        
               | paulddraper wrote:
               | Depends how often.
               | 
               | Multiple Ubers per day are expensive. ($55 x 365 =
               | $20,000)
               | 
               | All in, a budget car costs less than half of that per
               | year.
               | 
               | But if you replace some of that with public
               | transportation, or a car is otherwise impractical, the
               | math changes.
        
               | amelius wrote:
               | If you take off the conspiracy hat, you will see that
               | there are many advantages to not owning a product. Such
               | as that the vendor's incentives are better aligned with
               | yours. For example, if the thing breaks, it is in
               | __their__ best interest to fix it (or to not let it break
               | in the first place). This also has positive implications
               | for sustainability.
        
               | physicles wrote:
               | It's also in their best interest to set the price so as
               | to maximize their own profits. If switching costs or
               | monopoly power allow them to set a higher price, they
               | will do so.
               | 
               | Have we learned nothing from a decade of subscription
               | services?
        
               | amelius wrote:
               | Nobody said we should allow monopolies?
        
               | fragmede wrote:
               | Especially Adam Smith. The claims are scattered
               | throughout _The Wealth of Nations_ , but he hated them
               | with specificity. He said they raise prices and lower
               | quality, misallocate capital, and corrupt politics, among
               | other things.
        
           | einpoklum wrote:
           | Ah, but could one not argue that the owner of the self-
           | driving car is _not_ the operator, and it is the car, or
           | perhaps Tesla, which operates it?
        
             | sroussey wrote:
             | Mercedes agrees. They take on liability when their system
             | is operated appropriately.
        
               | kube-system wrote:
               | They say they will, but until relevant laws are updated,
               | this is mostly contractual and not a change to legal
               | liability. It is similar to how an insurance company
               | takes responsibility for the way you operate your car.
               | 
               | If your local legal system does not absolve you from
               | liability when operating an autonomous vehicle, you can
               | still be sued, and Mercedes has no say in this... even
               | though they could reimburse you.
        
               | iknowstuff wrote:
               | No. They don't. It was vaporware made to fool people
               | including you. You could never actually order it and it's
               | canceled now in favor of an L2 system.
        
             | kube-system wrote:
             | All Tesla vehicles require the person behind the steering
             | wheel to supervise the operations of the vehicle and avoid
             | accidents at all times.
             | 
             | Also, even if a system is fully automated, that doesn't
             | necessarily legally isolate the person who owns it or set
             | it into motion from liability. Vehicle law would generally
             | need to be updated to change this.
        
               | einpoklum wrote:
               | But that might be considered a legal trick. Suppose that,
               | when you pay for a taxi, the standard conditions of
               | carriage would make it your responsibility to supervise
               | the vehicle operation and alert the driver so as to avoid
               | accidents. Would the taxi driver and taxi company be able
               | to eschew liability through that formalism? Probably not.
               | The fact that Tesla makes you sign something does not
               | automatically make the signed document valid and
               | enforceable.
               | 
               | It may be that it is; but then, if you are required to be
               | watchful at all time, and be able to take over from the
               | autonomous vehicle at all times, then - the autonomy
               | doesn't really help you all that much, does it?
        
               | kube-system wrote:
               | No, Tesla doesn't assign you liability by making you sign
               | something. The law makes the driver of a vehicle liable
               | for the operation, as it always has.
               | 
               | My first sentence was to say that even _if_ the law
               | treats autonomous vehicles differently, Tesla doesn't
               | sell one.
        
               | einpoklum wrote:
               | > The law makes the driver of a vehicle liable for the
               | operation, as it always has.
               | 
               | So, either those Tesla's don't really self-drive (which
               | may be the case, I don't know, but then the whole
               | discussion is moot), or they do, in which case, the human
               | wasn't the one driving and may thus avoid liability.
               | 
               | Then of course there is the possibility that the court
               | might be convinced the car was being drive
               | collaboratively by the human and the car/the computer, in
               | which case Tesla and the human might share the liability.
               | IANA(US)L though.
        
           | PunchyHamster wrote:
           | but tesla is the operator
        
             | fragmede wrote:
             | Aside from the human in the vehicle holding the steering
             | wheel with a foot on the pedal, that is.
        
         | loeg wrote:
         | It isn't fully autonomous yet. For any future system sold as
         | level 5 (or level 4?), I agree with your contention -- the
         | manufacturer of the level 5 autonomous system is the one who
         | bears primary liability and therefore should insure. "FSD"
         | isn't even level 3.
         | 
         | (Though, there is still an element of owner/operator
         | maintenance for level 4/5 vehicles -- e.g., if the owner fails
         | to replace tires below 4/32", continues to operate the vehicle,
         | and it causes an injury, that is partially the owner/operator's
         | fault.)
        
           | Night_Thastus wrote:
           | Wouldn't that requirement completely kill any chance of a L5
           | system being profitable? If company X is making tons of self-
           | driving cars, and now has to pay insurance for _every single
           | one_ , that's a mountain of cash. They'd go broke
           | immediately.
           | 
           | I realize it would suck to be blamed for something the car
           | did when you _weren 't_ driving it, but I'm not sure how else
           | it could be financially feasible.
        
             | AlotOfReading wrote:
             | The way it works in states like California currently is
             | that the permit holder has to post an insurance bond that
             | accidents and judgements are taken out against. It's a
             | fixed overhead.
        
             | loeg wrote:
             | No? Insurance costs would be passed through to consumers in
             | the form of up-front purchase price. And probably the cost
             | to insure L5 systems for liability will be very low. If it
             | isn't low, the autonomous system isn't very safe.
        
         | abtinf wrote:
         | You insure the property, not the person.
        
           | redanddead wrote:
           | well it's the risk, the combination ..
           | 
           | it's why young drivers pay more for insurance
        
         | ck2 wrote:
         | The coder and sensor manufacturers need the insurance for
         | wrongful death lawsuits
         | 
         | and Musk for removing lidar so it keeps jumping across high
         | speed traffic at shadows because the visual cameras can't see
         | true depth
         | 
         | 99% of the people on this website are coders and know how even
         | one small typo can cause random fails, yet you trust them to
         | make you an alpha/beta tester at high speed?
        
         | djoldman wrote:
         | That's probably the future; Mercedes currently does do this in
         | limited form:
         | 
         | https://www.roadandtrack.com/news/a39481699/what-happens-if-...
        
           | jdminhbg wrote:
           | Not "currently," "used to":
           | https://www.theverge.com/transportation/860935/mercedes-
           | driv...
           | 
           | It was way too limited to be useful to anyone.
        
         | charcircuit wrote:
         | Not all insurance claims are based off of the choices of the
         | driver.
        
         | JumpCrisscross wrote:
         | > _Surely if it 's Tesla making the decisions, they need the
         | insurance?_
         | 
         | Why surely? Turning on cruise control doesn't absolve motorists
         | of their insurance requirement.
         | 
         | And the premise is false. While Tesla does "not maintain as
         | much insurance coverage as many other companies do," there
         | _are_ "policies that [they] do have" [1]. (What it insures is a
         | separate question.)
         | 
         | [1]
         | https://www.sec.gov/ix?doc=/Archives/edgar/data/0001318605/0...
        
           | forgetfreeman wrote:
           | Cruise control is hardly relevant to a discussion of
           | liability for autonomous vehicle operation.
        
             | fragmede wrote:
             | In the context of ultramodern cruise control (eg comma.ai),
             | which has a radar to track the distance to the car (if any)
             | in front of you, and cameras so the car can wind left or
             | right and track the freeway, I think it does.
        
               | sroussey wrote:
               | Not unless they are marketing it as "autopilot" or some
               | such that a random consumer would reasonably assume meant
               | autopilot.
               | 
               | And I'd include "AI driver" as an example.
        
               | olyjohn wrote:
               | A random consumer doesn't actually understand what
               | Autopilot means. Most people don't have pilot's licenses.
               | And cars don't fly. Did you not see all the debacles
               | around it when it first came out?
        
         | seanmcdirmid wrote:
         | I think there is an even bigger insurance problem to worry
         | about: if autonomous vehicles become common and are a lot safer
         | than manual driven vehicles, insurance rates for human driven
         | cars could wind up exploding as the risk pool becomes much
         | smaller and statistically riskier. We could go from paying
         | $200/month to $2000/month if robo taxis start dominating
         | cities.
        
           | mavhc wrote:
           | The fact you think $200 per month is sane is amusing to
           | people in other countries
        
             | theodric wrote:
             | Hell, I was paying EUR180/yr for my New Beetle a decade
             | ago...
        
             | wavesquid wrote:
             | Is that low or high?
        
               | raisedbyninjas wrote:
               | I'm guessing that other developed countries don't need
               | 6-7 figure injury coverage.
        
             | seanmcdirmid wrote:
             | Haha, yes, today already sucks badly in many US markets.
             | Imagine what will happen when the only people driving cars
             | manually are "enthusiasts".
        
           | AnthonyMouse wrote:
           | > if autonomous vehicles become common and are a lot safer
           | than manual driven vehicles, insurance rates for human driven
           | cars could wind up exploding as the risk pool becomes much
           | smaller and statistically riskier.
           | 
           | The assumption there is that the remaining human drivers
           | would be the higher risk ones, but why would that be the
           | case?
           | 
           | One of the primary movers of high risk driving is that
           | someone goes to the bar, has too many drinks, then needs both
           | themselves and their car to get home. Autonomous vehicles can
           | obviously improve this by getting them home in their car
           | without them driving it, but if they do, the risk profile of
           | the remaining human drivers _improves_. At worst they 're
           | less likely to be hit by a drunk driver, at best the drunk
           | drivers are the early adopters of autonomous vehicles and opt
           | themselves out of the human drivers pool.
        
             | seanmcdirmid wrote:
             | Drunk driving isn't the primary mover of high risk driving.
             | Rather you have:
             | 
             | 1. People who can't afford self driving cars (now the
             | insurance industry has a good proxy for income that they
             | couldn't tap into before)
             | 
             | 2. Enthusiasts who like driving their cars (cruisers,
             | racers, Helcat revving, people who like doing donuts,
             | etc...)
             | 
             | 3. Older people who don't trust technology.
             | 
             | None of those are good risk pools to be in. Also, if self
             | driving cars go mainstream, they are bound to include the
             | safest drivers overnight, so whatever accidents/crashes
             | happen afterwards are covered by a much smaller and
             | "active" risk pool. Oh, and those self driving cars are
             | expensive:
             | 
             | * If you hit one and are at fault, you might pay out
             | 1-200k, most states only require 25k-50k of coverage...so
             | you need more coverage or expect to pay more for incident.
             | 
             | * Self driving cars have a lot of sensors/recorders. While
             | this could work to your advantage (proving that you aren't
             | at fault), it often isn't (they have evidence that you were
             | at fault). Whereas before fault might have been much more
             | hazy (both at fault, or both no fault).
             | 
             | The biggest factor comes if self driving cars really are
             | much safer than human drivers. They will basically
             | disappear from the insurance market, or somehow be covered
             | by product liability instead of insurance...and the
             | remaining drivers will be in a pool of the remaining
             | accidents that they will have to cover on their own.
        
               | AnthonyMouse wrote:
               | > Drunk driving isn't the primary mover of high risk
               | driving.
               | 
               | It kind of is. They're responsible for something like 30%
               | of traffic fatalities despite being a far smaller
               | percentage of drivers.
               | 
               | > People who can't afford self driving cars (now the
               | insurance industry has a good proxy for income that they
               | couldn't tap into before)
               | 
               | https://pubmed.ncbi.nlm.nih.gov/30172108/
               | 
               | But also, wouldn't they already have this by using the
               | vehicle model and year?
               | 
               | > Enthusiasts who like driving their cars (cruisers,
               | racers, Helcat revving, people who like doing donuts,
               | etc...)
               | 
               | Again something that seems like it would already be
               | accounted for by vehicle model.
               | 
               | > Older people who don't trust technology.
               | 
               | How sure are we that the people who don't trust
               | technology are older? And again, the insurance company
               | already knows your age.
               | 
               | > Also, if self driving cars go mainstream, they are
               | bound to include the safest drivers overnight
               | 
               | Are they? They're more likely to include the people who
               | spend the most time in cars, which is another _higher_
               | risk pool, because it allows those people to spend the
               | time on a phone /laptop instead of driving the car, which
               | is worth more to people the more time they spend doing it
               | and so justifies the cost of a newer vehicle more easily.
               | 
               | > Oh, and those self driving cars are expensive
               | 
               | Isn't that more of a problem for the self-driving pool?
               | Also, isn't most of the cost that the sensors aren't as
               | common and they'd end up costing less as a result of
               | volume production anyway?
               | 
               | > Self driving cars have a lot of sensors/recorders.
               | While this could work to your advantage (proving that you
               | aren't at fault), it often isn't (they have evidence that
               | you were at fault). Whereas before fault might have been
               | much more hazy (both at fault, or both no fault).
               | 
               | Which is only a problem for the worse drivers who are
               | actually at fault, which makes them more likely to move
               | into the self-driving car pool.
               | 
               | > The biggest factor comes if self driving cars really
               | are much safer than human drivers.
               | 
               | The biggest factor is which drivers switch to self-
               | driving cars. If half of human drivers switched to self-
               | driving cars but they were chosen completely at random
               | then the insurance rates for the remaining drivers would
               | be essentially unaffected. How safe they are is only
               | relevant insofar as it affects your chances of getting
               | into a collision with another vehicle, and if they're
               | safer then it would make that chance go _down_ to have
               | more of them on the road.
        
               | seanmcdirmid wrote:
               | Only .61% of car crashes involve fatalities, so that's
               | like .2% of car crashes you are referring to. Probably
               | more due to alcohol, but we don't know the ratio of
               | accidents that involve alcohol, which would be more
               | telling.
               | 
               | > How sure are we that the people who don't trust
               | technology are older? And again, the insurance company
               | already knows your age
               | 
               | Boomers are already the primary anti-EV demographic, with
               | the complaint that real cars have engines. It doesn't
               | matter if they know your age of state laws keep them from
               | acting on it.
               | 
               | > that more of a problem for the self-driving pool? Also,
               | isn't most of the cost that the sensors aren't as common
               | and they'd end up costing less as a result of volume
               | production anyway?
               | 
               | I think you misunderstood me: If you get into an accident
               | and are found at fault, you are responsible for damage to
               | the other car. Now, if it's a clunker Toyota, that will
               | be a few thousand dollars, if it's a roll Royce, it's a
               | few hundred thousand dollars. The reason insurances are
               | increasing lately is that the average car on the road is
               | more expensive than it was ten years ago, so insurance
               | companies are paying out more. If most cars are $250k
               | Waymo cars, and you hit one...and you are at fault, ouch.
               | And we will know if it is your fault or not since the
               | Waymo is constantly recording.
               | 
               | > If half of human drivers switched to self-driving cars
               | but they were chosen completely at random then the
               | insurance rates for the remaining drivers would be
               | essentially unaffected.
               | 
               | That's not how the math works out (smaller risk pools are
               | more expensive per person period). And it won't be people
               | switching at random to self driving cars (the ones not
               | switching will be the ones that are more likely to have
               | accidents).
        
               | AnthonyMouse wrote:
               | > Only .61% of car crashes involve fatalities, so that's
               | like .2% of car crashes you are referring to. Probably
               | more due to alcohol, but we don't know the ratio of
               | accidents that involve alcohol, which would be more
               | telling.
               | 
               | Fatalities get more thoroughly investigated so we have
               | better numbers on them, but if you had to guess whether
               | the people who get behind the wheel drunk were similarly
               | disproportionately likely to bang up their cars in a non-
               | fatal way, what would your guess be?
               | 
               | > Boomers are already the primary anti-EV demographic,
               | with the complaint that real cars have engines.
               | 
               | EVs and self-driving are two different things. Fox News
               | tells boomers that EVs are bad because Republicans have
               | the oil companies as a constituency.
               | 
               | > It doesn't matter if they know your age of state laws
               | keep them from acting on it.
               | 
               | The only states that do that are Hawaii and
               | Massachusetts.[1]
               | 
               | [1] https://www.cnbc.com/select/best-car-insurance-
               | seniors/
               | 
               | > If most cars are $250k Waymo cars, and you hit
               | one...and you are at fault, ouch. And we will know if it
               | is your fault or not since the Waymo is constantly
               | recording.
               | 
               | If X% of cars are Waymos and you hit another car in your
               | normally priced car and you're at fault, there is an X%
               | chance it will be expensive. If the Waymo hits another
               | car and it's at fault, there is a 100% chance it will be
               | expensive because it will damage itself, and an
               | additional X% chance that it will be _very_ expensive
               | because both cars are.
               | 
               | And again, that's assuming the price stays as high as it
               | is when the production volume increases. A $250,000 car
               | _can 't_ become the majority of cars because that
               | percentage of people can't afford that.
               | 
               | > That's not how the math works out (smaller risk pools
               | are more expensive per person period).
               | 
               | Smaller risk pools don't have _higher risk_ , they have
               | _higher volatility_ , and then if they're too small
               | insurers have to charge a volatility premium. But the
               | auto insurance market is _very_ large and for it to get
               | to the size that it would have volatility issues it would
               | have to be a consequence rather than a cause of the large
               | majority of people switching to self-driving cars.
               | 
               | > And it won't be people switching at random to self
               | driving cars (the ones not switching will be the ones
               | that are more likely to have accidents).
               | 
               | You keep saying that but it's still not obvious that it's
               | what would happen, and in any event the ones more likely
               | to have accidents are _already_ the ones paying higher
               | insurance premiums -- which is precisely a reason they
               | would have the incentive to be the first to switch to
               | self-driving cars.
        
               | cucumber3732842 wrote:
               | Classic car insurance is dirt cheap, even for daily
               | driven stuff. Removing people who don't want to drive and
               | don't care to not suck at it hugely improves the risk
               | pool.
               | 
               | If there's only a small minority of human drivers people
               | like you will have bigger fish to screech about there
               | will be substantially less political will to perpetuate
               | the system and it'll probably go away in favor of a far
               | simpler and cheaper "post up a bond" type thing and much
               | of the expensive mechanisms for grading drivers will be
               | dismantled.
        
         | AnthonyMouse wrote:
         | > If it autonomous or self-driving then why is the person in
         | the car paying for the insurance? Surely if it's Tesla making
         | the decisions, they need the insurance?
         | 
         | Suppose ACME Corporation produces millions of self-driving cars
         | and then goes out of business because the CEO was embezzling.
         | They no longer exist. But the cars do. They work fine. Who
         | insures them? The person who wants to keep operating them.
         | 
         | Which is the same as it is now. It's your car so you pay to
         | insure it.
         | 
         | I mean think about it. If you buy an autonomous car, would the
         | manufacturer have to keep paying to insure it _forever_ as long
         | as you can keep it on the road? The only real options for
         | making the manufacturer carry the insurance are that the answer
         | is no and then they turn off your car after e.g. 10 years,
         | which is quite objectionable, or that the answer is  "yes" but
         | then you have to pay a "subscription fee" to the manufacturer
         | which is really the insurance premium, which is also quite
         | objectionable because then you're then locked into the OEM
         | instead of having a competitive insurance market.
        
         | stubish wrote:
         | Risk gets passed along until someone accepts it, usually an
         | insurance company or the operator. If the risk was accepted and
         | paid for by Tesla, then the cost would simply be passed down to
         | consumers. All consumers, including those that want to accept
         | the risk themselves. In particular, if you have a fleet of cars
         | it can be cheaper to accept the risk and only pay for mandatory
         | insurance, because not all of your cars are going to crash at
         | the same time, and even if they did, not all in the worst way
         | possible. This is how insurance _works_ , by amortizing lots of
         | risk to make it highly improbable to make a loss in the long
         | run.
        
         | ponector wrote:
         | Why ship owner is paying for the insurance while it's a captain
         | making all decisions?
        
         | zugi wrote:
         | If your minor child breaks something, or your pet bites
         | someone, you are liable.
         | 
         | This analogy may be more apt than Tesla would like to admit,
         | but from a liability perspective it makes sense.
         | 
         | You could in turn try to sue Tesla for defective FSD, but the
         | now-clearly-advertised "(supervised)" caveat, plus the lengthy
         | agreement you clicked through, plus lots of lawyers, makes you
         | unlikely to win.
        
           | paulryanrogers wrote:
           | Can a third party reprogram my dog or child at any moment? Or
           | even take over and control them?
        
       | cebert wrote:
       | I own a Model Y with hardware version 4. FSD prevented my from
       | getting in an accident with a drunk driver. It reacted much
       | faster to the situation than I could have. Ever since, I'm sold
       | that in a lot of circumstances, machines can drive better than
       | humans.
        
         | throw20251220 wrote:
         | So does AEB in any modern car.
        
           | fred_is_fred wrote:
           | Tesla fans have not realized that every car made since
           | 2021ish can do this.
        
             | throw20251220 wrote:
             | Obviously.
        
             | mullingitover wrote:
             | My 2016 Honda Civic has automatic braking ( _and_ it has
             | lanekeep assist, so it 's technologically superior to a
             | 2026 Tesla).
        
             | 1970-01-01 wrote:
             | It does more than AEB. It also knows to swerve out of the
             | way during E: https://www.youtube.com/watch?v=c1MWml-81e0
        
               | throw20251220 wrote:
               | Generally known as AES, for example from BMW available
               | with Active Driving Assistant or Driving Assistant Plus
               | packages.
        
               | tevon wrote:
               | I have a late model Audi, and a Tesla Model 3. Audi has
               | all the bells and whistles.
               | 
               | Doesn't come close to the safety I feel in the Tesla. Not
               | even close. I know anecdotal
        
               | servo_sausage wrote:
               | Design of these safety features for euro cars generally
               | aims to be invisible unless active. You don't "feel" the
               | car in control.
        
               | PunchyHamster wrote:
               | then the PR worked
        
             | dzhiurgis wrote:
             | AEB has been around since ages. Even my 2010 Mazda had it.
             | It's nowhere near Tesla's capabilities tho. Not sure what
             | are you trying to achieve with such dunks?
        
             | cucumber3732842 wrote:
             | About once a month my car makes me look like a piece of
             | shit because the AEB gets confused by lane changes when you
             | maintain speed coming up to slow traffic in order to wait
             | for a good spot to move over. As you go to move over it'll
             | flip out and brake as you slide left and no amount of gas
             | pedal will override it so you wind up moving over a lane
             | only to brake check that lane. Thankfully it doesn't do a
             | full stop, just brakes for long enough to realize there's
             | nothing there.
             | 
             | 0/10. Someone is gonna cause a multi-car pile up with this.
             | 
             | I'm sure it would work great to prevent me from texting my
             | way into the back of stopped traffic though.
        
       | 1970-01-01 wrote:
       | A 50% discount is pretty damning empirical evidence for FSD being
       | better at driving your Tesla than you are.
        
         | jerlam wrote:
         | We don't know if 50% makes it actually cheaper than other car
         | insurance companies, or the coverage is comparable, or if they
         | have comparable service. Or if they sell your location
         | information to marketers.
        
         | dangus wrote:
         | Or a price hike if the fleet API tattles on you for negative
         | driving behaviors.
         | 
         | It may not be on the marketing copy but it's almost certainly
         | present in the contract.
        
         | _diyar wrote:
         | Assuming this discount is offered broadly and indefinitely.
         | Otherwise these might just be marketing dollars.
        
         | Veserv wrote:
         | No it does not. A 50% discount and the insurance still having
         | industry average profit, or at least being profitable at all,
         | would tell you that. Selling at a loss does not indicate your
         | costs are actually lower. You need to wait until we learn if it
         | is actually at a loss.
        
           | 1970-01-01 wrote:
           | Sir, your bias is extreme.
           | 
           | https://news.ycombinator.com/submitted?id=Veserv
        
             | Veserv wrote:
             | Ah yes, posting well documented video evidence of reality
             | is bias. How silly of me. The only unbiased take is to
             | ignore my lying eyes and make logically unsound arguments
             | in favor of endangering the public. That is what unbiased
             | people do.
             | 
             | I also like how you completely avoided addressing my
             | argument in favor of a attempted ad hominem.
        
               | 1970-01-01 wrote:
               | > ignore my lying eyes and make logically unsound
               | arguments
               | 
               | Why haven't you acknowledged this video as fake?
               | https://www.youtube.com/watch?v=Tu2N8f3nEYc
        
               | Veserv wrote:
               | I am utterly baffled by what you are trying to argue with
               | this post except for distracting from the weakness of
               | your original argument with more attempted(?) ad
               | hominems. Must be my bias showing.
        
               | 1970-01-01 wrote:
               | Uh huh
        
         | recursive wrote:
         | I will sell you a loaf of bread for $10 and a tortilla for
         | $100.
         | 
         | Analysts saying tortilla industry in shambles.
        
         | crazygringo wrote:
         | Yeah I'm actually very curious about this, it's the first I've
         | heard.
         | 
         | I'd like to know what data this is based on, and if Tesla is
         | providing any kind of subsidy or guarantee.
         | 
         | There's also a big difference between the value of car damages
         | and, well, death. E.g. what if FSD is much less likely to get
         | into otherwise common fender benders that don't harm you, but
         | more likely to occasionally accidentally drive you straight
         | into a divider, killing you?
        
         | gwern wrote:
         | A discount they get to set on a subset of miles of their choice
         | may just be a marketing expense for an insurance startup which
         | makes losses and relies on VC capital and needs growth:
         | https://en.wikipedia.org/wiki/Lemonade,_Inc.#2015%E2%80%9320...
         | I was impressed by this until I looked Lemonade up.
        
         | stubish wrote:
         | A 50% discount when using FSD or just doubling insurance
         | company profits when when not using FSD. The only evidence that
         | actually matters is cost in comparison to other insurance
         | companies. If this product is cheaper _for you_ , then it
         | probably does indicate FSD is better at driving _than you_
         | (well, than the average driver in your demographic). Maybe this
         | is damning with faint praise.
        
         | estearum wrote:
         | I'm sure from an underwriting perspective, they could also
         | offer a significant discount for miles driven with LKAS turned
         | on for the same reason they can do it for FSD: you only do it
         | in certain (lower risk) conditions.
        
         | FloatArtifact wrote:
         | Oh, you've totally forgotten about selling to third parties and
         | making tons of money off of what you do and where you go.
        
       | t1234s wrote:
       | What happens if you have FSD turned off and like to drive fast on
       | public roads. Will they see this telemetry and raise your rates?
        
         | jerlam wrote:
         | It seems the answer is yes. From their web site:
         | 
         | > Fair prices, based on how you drive [...] Get a discount, and
         | earn a lower premium as you drive better.
        
           | t1234s wrote:
           | Bummer.. its super fun to floor them off the line.
        
             | giobox wrote:
             | This (instant torque) is exciting for about the first week
             | of electric car ownership, it gets old very fast. I have
             | far more fun driving my much slower gas-engined cars.
        
               | dzhiurgis wrote:
               | It doesn't get old. What a ludicrous statement.
               | 
               | I did get lots of traction issues with FWD EV, any sort
               | of wet - you need to baby it.
        
               | giobox wrote:
               | There's much more to enjoying cars than speed in a
               | straight line, which I do not disagree at all most EVs
               | are exceptional at.
               | 
               | Booting the go pedal at every stop sign or light just
               | feels like being a bit of a childish jerk after a short
               | while on public roads once the novelty wears off.
        
               | darkwater wrote:
               | Speak for yourself. Over 3 years and 100k km and still
               | enjoying it.
        
               | t1234s wrote:
               | MT gas cars are very fun to drive!
        
             | t1234s wrote:
             | Someone with a Plaid will need to test this out to see how
             | high they can make their Lemonade premium.
        
       | xnx wrote:
       | Marketing stunt
        
       | rebelde wrote:
       | 99/month is more than I have been willing to pay for FSD, but if
       | it lowers my insurance by 200/month, I could be convinced.
        
         | vel0city wrote:
         | Lowering by $200? Full coverage on two recent model cars here
         | and that's nearly three quarters of my monthly insurance bill.
         | Insane what people are paying for insurance these days.
        
       | drnick1 wrote:
       | > automatically tracking FSD miles versus manual miles through
       | direct Tesla integration.
       | 
       | No thanks. I unplugged the cellular modem in my car precisely
       | because I can't stand the idea that the
       | manufacturer/dealer/insurance company or other unauthorized third
       | parties could have access to my location and driving habits.
       | 
       | I also generally avoid dealers like the plague and only trust the
       | kind of shops where the guy who answers the phone is the guy
       | doing the work.
        
         | iknowstuff wrote:
         | And yet you have a phone on you, probably using its navigation
         | too. You're totally right so much safer to trust Google/Apple
         | with your location and driving habits
        
       | hamdingers wrote:
       | The whole point of self-driving cars (to me) is I don't have to
       | own or insure it, someone else deals with that and I just make it
       | show up with my phone when I need it.
        
         | BarryMilo wrote:
         | Imagine this for a whole neighborhood! Maybe it'd be more
         | efficient for the transport to come at regular intervals
         | though. And while we're at it, let's pick up other people along
         | the way, you'll need a bigger vehicle though, perhaps bus-
         | sized...
         | 
         | Half-jokes aside, if you don't own it, you'll end up paying
         | more to the robotaxi company than you would have paid to own
         | the car. This is all but guaranteed based on all SaaS services
         | so far.
        
           | Sayrus wrote:
           | Focusing only on price, renting a beafy shared "cloud"
           | computer is cheaper than buying one and changing every 5
           | years. It's not always an issue for idle hardware.
           | 
           | Cars are mostly idle and _could_ be cheaper if shared. But
           | why make them significantly cheaper when you can match the
           | price and extract more profits?
        
             | theLiminator wrote:
             | > Cars are mostly idle and could be cheaper if shared. But
             | why make them significantly cheaper when you can match the
             | price and extract more profits?
             | 
             | Yeah, this would rely on robust competition.
        
             | bluGill wrote:
             | Cars and personal computers have advantages over shared
             | resources that often make them worth the cost. If you want
             | your transport/compute in busy times you may find
             | limitations. (ever got on the train and had to stand
             | because there are no seats? Every had to wait for your
             | compute job to start because they are all busy? Both of
             | these have happened to me).
        
               | cyberax wrote:
               | I ran the numbers, and for most non-braindead cities
               | something like a fleet of 6-seater minivans will easily
               | replace all of local transit.
               | 
               | And with just 6 people the overhead if an imperfect route
               | and additional stops will be measured in minutes.
               | 
               | And of course, it's pretty easy to imagine an option to
               | pay a bit more for a fully personal route.
        
               | dpkirchner wrote:
               | This exists in a way -- I'd wager every city has a
               | commercial service that will shuttle you to, say, the
               | airport. They're not cheap, however.
        
               | cyberax wrote:
               | Yep. And it's indeed a good model for this mode of
               | transportation. And they ARE cheap.
               | 
               | For example, in Seattle I can get a shared airport
               | shuttle for $40 with the pick-up/drop-off at my front
               | door. And this is a fully private ADA-compliant
               | commercial service, with a healthy profit margin, not a
               | rideshare that offloads vehicle costs onto the driver.
               | And a self-driving van can be even cheaper than that,
               | since it doesn't need a driver.
               | 
               | Meanwhile, transit also costs around $40 per trip and
               | takes at least 1 hour more. And before you tell me: "no
               | way, the transit ticket is only $2.5", the TRUE cost of a
               | transit ride in Seattle is more than $20. It's just that
               | we're subsidizing most of it.
               | 
               | So you can see why transit unions are worrying about
               | self-driving. It'll kill transit completely.
        
               | bluGill wrote:
               | you made too many false assumptions if you came up with
               | those routes. Experts have run real numbers including
               | looking at what happens in the real world.
               | https://humantransit.org/category/microtransit - (as I
               | write this you need to scroll to the second article to
               | find the useful rebuttal of your idea)
        
               | cyberax wrote:
               | Yeah, yeah: "Major US Public Transit Union Questions
               | "Microtransit"" Read it. Go on. It's pure bullshit.
               | 
               | The _only_ issue with the old "microtransit" is the
               | _driver_. Each van ends up needing on average MORE
               | drivers than it moves passengers. It does solve the
               | problem of throughput, though.
               | 
               | But once the driver is removed, this problem flips on its
               | head. Each regular bus needs around 4 drivers for decent
               | coverage. It's OK-ish only when the average bus load is
               | at least 15-20 people. It's still much more expensive and
               | polluting than cars, but not crazily so.
        
               | bluGill wrote:
               | Scroll down to the other articles as I said in the first
               | place.
               | 
               | self driving changes some things, but there are a lot of
               | other points in the many article linked from there that
               | don't change.
        
               | cyberax wrote:
               | This article is just a bunch of propaganda. You can tell
               | that by the picture with people in the shape of a bus
               | next to the line of cars. Every time you see it, you can
               | immediately blacklist the author and ignore whatever they
               | are saying about cars.
               | 
               | Can you guess why?
               | 
               | Hint: think about the intervals between buses and how you
               | should represent them to stay truthful. And that buses
               | necessarily move slower than cars. And that passengers
               | will waste some time due to non-optimal routes and
               | transfers. And that passengers will waste some time
               | because they need to walk to the station.
               | 
               | So back to my point, can you tell me EXACTLY what I
               | should read in that article? Point out the paragraph,
               | please.
        
             | brookst wrote:
             | > But why make them significantly cheaper when you can
             | match the price and extract more profits?
             | 
             | Even better -- charge 10% less and corner the market! As
             | long as nobody charges 10% less than you...
        
             | nradov wrote:
             | Nah, I don't want to share my car with anyone. It's my own
             | personal space where I can keep some of my stuff and set it
             | up exactly the way I want.
        
               | recursive wrote:
               | That's how some people feel about airplanes. Presumably
               | you're not one of them. For some people, the
               | inconvenience of being responsible for a car would
               | outweigh the benefit of setting up their stuff inside of
               | one.
        
               | nradov wrote:
               | It's not even an inconvenience. I like my cars. Dealing
               | with ride hailing services (autonomous or not) is
               | certainly far more inconvenient than owning a car (unless
               | maybe you're stuck living somewhere without convenient
               | parking).
        
           | dfabulich wrote:
           | Self-driving municipal busses would be fantastic.
        
             | nine_k wrote:
             | Also, a real nightmare for the municipal trade unions. (Do
             | you know why every NYC subway train needs to have not one
             | but two operators, even though it could run automatically
             | just fine?)
        
               | koakuma-chan wrote:
               | Why?
        
               | nine_k wrote:
               | Because the Transport Workers Union fought tooth and nail
               | for it. Laying off hundreds of operators would be a
               | politically very dangerous move.
        
               | koakuma-chan wrote:
               | Huh. I wonder if that makes any sense. It doesn't seem to
               | make sense to keep employing people if you no longer need
               | them. It sucks to be layed off, but that's just how it
               | works.
        
               | supertrope wrote:
               | It also shows a lack of imagination. If you have to
               | provide a union with a job bank, why not re-deploy
               | employees to other roles? With one person per train, re-
               | deploy people to run more trains therefore decreasing the
               | interval between trains. Stations used to have medics but
               | this was cut. How about re-train people to be those
               | medics? The subway could use a signaling upgrade and
               | positive train control. Installing platform screen doors
               | to greatly reduce the incidence of people falling onto
               | the tracks is going to need a lot of labor.
        
             | cyberax wrote:
             | Why would you need buses?
        
               | onlyrealcuzzo wrote:
               | Believe it or not, in some cities that have near grid-
               | lock rush-hour traffic - there's between 50-100%+ as many
               | people traveling by bus as by car.
               | 
               | If all of those people switch to cars, you end up with it
               | taking an hour to travel 1 mile by car.
               | 
               | It's almost as if they have busses for a reason.
        
               | cyberax wrote:
               | First, these cities should be fixed by removing the
               | traffic magnets. It's far past the point where we used
               | the old obsolete ideology of trying to supply as much
               | traffic capacity as possible.
               | 
               | But anyway, your statement is actually not true anywhere
               | in the US except NYC. Even in Chicago, removing ALL the
               | local transit and switching to 6-seater minivans will
               | eliminate all the traffic issues.
        
               | dfabulich wrote:
               | 6-seater self-driving municipal minivans would be
               | fantastic, too. (I would still call that a "bus", but I
               | don't care what we call it.)
        
               | supertrope wrote:
               | Car traffic magnets like highways inside urban cores? Or
               | people traffic magnets like office buildings, colleges,
               | sports stadiums, performing arts venues, shopping malls?
        
               | cyberax wrote:
               | Office buildings. Everything else is just noise.
               | 
               | Large stadium arenas are a special case, but they don't
               | create sustained traffic, and their usage periods
               | typically do not overlap with the regular rush hour.
        
               | toast0 wrote:
               | > First, these cities should be fixed by removing the
               | traffic magnets.
               | 
               | If you remove the jobs and housing, traffic does get a
               | lot better. But it's not much of a city without jobs and
               | housing.
        
               | cyberax wrote:
               | Indeed. And people live better lives, with better job
               | accessibility and variety. Once you remove dense office
               | cores.
        
               | supertrope wrote:
               | Mass transit is a capacity multiplier. If 35 people are
               | headed in the same direction compare that with the
               | infrastructure needed to handle 35 cars. Road capacity,
               | parking capacity, car dealerships, gas stations, repair
               | shops, insurance, car loans.
        
           | nine_k wrote:
           | This only works in neighborhoods that are veritable city
           | blocks, with buildings several stories tall standing close
           | by. Not something like northern Houston, TX; it barely works
           | for places like Palo Alto, CA. You cannot run buses on every
           | lane, at a reasonable distance from every house.
           | 
           | The point of a car is takes you _door to door_. There 's no
           | expectation to walk three blocks from a stop; many US places
           | are not intended for waking anyway. Consider heavy bags from
           | grocery shopping, or similar.
           | 
           | Public transit works in proper cities, those that became
           | cities before the advent of the car, and were not kept in the
           | shape of large suburban sprawls by zoning. Most US cities
           | only qualify in their downtowns.
           | 
           | Elsewhere, rented / hailed self-driving cars would be best.
           | First of all, fewer of them would be needed.
        
           | boredatoms wrote:
           | > Maybe it'd be more efficient for the transport to come at
           | regular intervals though
           | 
           | Efficient for who, is the problem
        
           | hamdingers wrote:
           | > if you don't own it, you'll end up paying more to the
           | robotaxi company than you would have paid to own the car
           | 
           | Maybe for you, I already don't own it and have not found that
           | to be true. I pretty much order an uber whenever I don't feel
           | like riding my bike or the bus, and that costs <$300 most
           | months. Less than the average used car payment in the US
           | before you even consider insurance, fuel, storage,
           | maintenance, etc.
           | 
           | I also rent a car now and then for weekend trips, that also
           | is a few hundred bucks at most.
           | 
           | I would be surprised if robotaxis were more expensive long
           | term.
        
         | Larrikin wrote:
         | This is the nightmare scenario for me. A forever subscription
         | for the usage of a car.
         | 
         | Subscription for self driving will almost be a given with so
         | many bad actors in tech nowadays, but never even being allowed
         | to own the car is even worse.
        
           | bluGill wrote:
           | Subscription for changes to maps and the law makes sense. I'd
           | also pay for the latest safety improvements (but they better
           | be real improvements). However they are likely to add a
           | number of unrelated things and I object to those.
        
             | jtbayly wrote:
             | How do maps changes make sense to subscribe to when they
             | are on OSM?
             | 
             | And what do you even mean by subscription to changes to the
             | law?
        
               | bluGill wrote:
               | If OSM is up to date - many places it is very outdated.
               | (others it is very good).
               | 
               | Law - when a government changes the driving laws.
               | Government can be federal (I have driven to both Canada
               | and Mexico. Getting to Argentina is possible though I
               | don't think it has ever been safe. Likewise it is
               | possible to drive over the North Pole to Europe), state
               | (or whatever the country calls their equivalent). When a
               | city changes the law they put up signs, but if a state
               | passes a law I'm expected to know even if I have never
               | driven in that state before. Right turn on red laws are
               | the only ones I can think of where states are different -
               | but they are likely others.
               | 
               | Laws also cover new traffic control systems that may not
               | have been in the original program. If the self driving
               | system can't figure out the next one (think roundabout)
               | then it needs to be updated.
        
           | dddgghhbbfblk wrote:
           | I think this is purely psychological. The notion of paying
           | for usage of some resource that you don't own is really
           | rather mundane when you get down to it.
        
             | Larrikin wrote:
             | One mean tweet and your self driving subscription is taken
             | away is way better than one mean tweet and your car is
             | taken away.
        
         | bluGill wrote:
         | For the vast majority of people who own a car, continuing to
         | own the car will remain the better deal. Most people need their
         | car during "rush hour", so there isn't any savings from
         | sharing, and worse some people have "high standards" and so
         | will demand the rental be a clean car nicer than you would
         | accept - thus raising the costs (particularly if you drive used
         | cars) Any remaining argument for a shared car dies when you
         | realize that you can leave your things in the car, and you
         | never have to wait.
         | 
         | For the rest - many of them live in a place where not enough
         | others will follow the same system and so they will be forced
         | to own a car just like today. If you live in a not dense area
         | but still manage to walk/bike almost everywhere (as I do),
         | renting a car is on paper cheaper the few times when you need a
         | car - but in practice you don't know about that need several
         | weeks in advance and so they don't have one they can rent to
         | you. Even if you know you will need the car weeks in advance,
         | sometimes they don't have one when you arrive.
         | 
         | If you live in a very dense area such that you almost regularly
         | use transit (but sometimes walk, bike), but need a car for
         | something a few times per year, then not owning a car makes
         | sense. In this case the density means shared cars can be a
         | viable business model despite not being used very much.
         | 
         | In short what you say sound insightful, but reality of how cars
         | are used means it won't happen for most car owners.
        
           | jtbayly wrote:
           | > sometimes they don't have one when you arrive.
           | 
           | Or, if they are Hertz, they might have one but refuse to give
           | it to you. This happened to my wife. In spite of payment
           | already being made to Hertz corporate online, the local agent
           | wouldn't give up a car for a one-way rental. Hertz corporate
           | was less than useless, telling us their system said was a car
           | available, and suggesting we pay them hundreds of dollars
           | _again_ and go pick it up. When I asked the woman from
           | corporate whether she could actually guarantee we would be
           | given a car, she said she couldn 't. When I suggested she
           | call the local agent, she said she had no way to call the
           | local office. Unbelievable.
           | 
           | Since it was last minute, there were... as you said, no cars
           | available at any of the other rental companies. So we had to
           | drive 8 hours to pick her up. Then 8 hours back, which was
           | the drive she was going to make in the rental car in the
           | first place.
           | 
           | Hertz will hurts you.
        
             | bluGill wrote:
             | Hertz this time, but things like that have happened with
             | every rental company I know of.
        
             | Matheus28 wrote:
             | I personally would have changed it to a round-trip then
             | just returned the car to the other Hertz location and let
             | them figure it out.
        
         | starik36 wrote:
         | I think part of the issue in California at least is that you
         | must have insurance. You gonna get a giant fine if you don't.
        
         | crazygringo wrote:
         | That's the point of self-driving _fleets_. Or maybe a special
         | category of leased vehicles.
         | 
         | This is about a self-driving car _you own_.
        
       | FlyingBears wrote:
       | Lemonade purchased Metromile and significantly increased prices.
       | 2.5x if I recall correctly. This has forced me to move to Geico.
       | Now, since prices have increased and new self driving car
       | insurance is giving a discount, are you effectively paying same
       | old rate?
        
         | redanddead wrote:
         | Just curious about this, this was Lemonade's integrated
         | insurance to the Tesla right? How's Geico like for you?
         | Probably just fine right? Any differences?
        
       | aanet wrote:
       | It would be interesting to see if Lemonade requires a Driver
       | Monitoring System (DMS) to see if the driver/operator is actually
       | paying attention (or, like sleeping / watching Netflix /
       | whatever) while at the driver's seat.
       | 
       | Anybody know??
       | 
       | Tesla FSD is still a _supervised_ system (= ADAS), afaik.
        
         | rogerrogerr wrote:
         | FSD won't stay engaged for very long if you're not paying
         | attention. It's getting pretty smart about how much attention
         | it wants you to pay in different situations, but there are no
         | situations where it will let you just sleep.
        
       | sktb wrote:
       | Hmmm. The source for the "FSD is safer" claim might not be wholly
       | independent: "Tesla's data shows that Full Self-Driving miles are
       | twice as safe as manual driving"
        
         | gizmo686 wrote:
         | I would be surprised if that was what they were actually
         | looking at. They are an established insurance company with
         | their own data and the actuaries to analyze it. I can't imagine
         | them doing this without at least validating a substantial drop
         | in claims relating to FSD capable cars.
         | 
         | Now that they are offering this program, they should start
         | getting much better data by being able to correlate claims with
         | actual FSD usage. They might be viewing this program partially
         | as a data acquisition project to help them insure autonomous
         | vehicles more broadly in the future.
        
           | Veserv wrote:
           | They are a grossly unprofitable insurance company. Your
           | actuaries can undervalue risk to the point you are losing
           | money on every claim and still achieve that.
           | 
           | In fact, Tesla Insurance, the people who already have direct
           | access to the data already loses money on every claim [1].
           | 
           | [1] https://peakd.com/tesla/@newageinv/teslas-push-into-
           | insuranc...
        
             | navigate8310 wrote:
             | Tesla expanding into insurance actuarial science, isn't it
             | a conflict of interest if they offer it for their own cars?
        
           | redanddead wrote:
           | > They might be viewing this program partially as a data
           | acquisition project to help them insure autonomous vehicles
           | more broadly in the future
           | 
           | What do you mean?
        
         | ErroneousBosh wrote:
         | > "Tesla's data shows that Full Self-Driving miles are twice as
         | safe as manual driving"
         | 
         | Teslas only do FSD on motorways where you tend to have far
         | fewer accidents per mile.
         | 
         | Also, they switch to manual driving if they can't cope, and
         | because the driver isn't paying attention this usually results
         | in a crash. But hey, it's in manual driving, not FSD, so they
         | get to claim FSD is safer.
         | 
         | FSD is not and never will be safer than a human driver.
        
           | Onavo wrote:
           | > _Teslas only do FSD on motorways where you tend to have far
           | fewer accidents per mile._
           | 
           | They have been end to end street level for the past two
           | years.
        
             | ErroneousBosh wrote:
             | Not successfully.
        
               | qwerpy wrote:
               | Successful enough for me and many other people I know.
               | End to end from my house to grocery store, kids schools,
               | friends houses, etc. Multiple times per day for the past
               | year.
               | 
               | It's not perfect but I'd consider it a smashing success
               | for something I rely on for safely transporting my family
               | every day.
        
               | ErroneousBosh wrote:
               | I wouldn't feel safe in one. I've seen how they drive,
               | and I've had a brief shot of a car with FSD.
               | 
               | They are not safe and they will never be safe.
        
               | mavhc wrote:
               | If they're not safe then why does the data show they're
               | safer than humans?
               | 
               | Why will they never be safe?
               | 
               | Also can you define safe?
        
               | rogerrogerr wrote:
               | > They are not safe
               | 
               | Debatable, but you won't be convinced.
               | 
               | > they will never be safe.
               | 
               | Define safe? Would be interested to see you provide a
               | benchmark that is reasonable, and lock it in now so we
               | can see if this statement is falsified in the future.
        
           | iknowstuff wrote:
           | Wrong in every count. You're embarrassing yourself. Your
           | identity is so tied up in this haha. Yes, it's safer, no its
           | not just freeways, and crashes after disengagements still
           | count.
        
         | ex-aws-dude wrote:
         | It doesn't really matter because the insurance company itself
         | will learn if that is correct or not when the claims start
         | coming in
         | 
         | Its their own bet to make
        
       | cs702 wrote:
       | TL;DR: 50% insurance discount for Tesla vehicles driven by Tesla
       | FSD.
       | 
       | On the surface, this looks like an endorsement of Tesla's claims
       | about FSD safety.
        
         | recursive wrote:
         | Assuming the non-discounted rates are market-competitive.
        
           | notahacker wrote:
           | And that the sort of miles accrued when using FSD in Arizona
           | aren't >50% less likely to result in a claim than the average
           | mile driven regardless of who's driving
        
       | dmitrygr wrote:
       | Fleet API gives location data, no? I bet this discount will be
       | paid for by this location data
        
       | kittikitti wrote:
       | I have Lemonade for my home insurance. It's been reliable for
       | several years and the customer service is great. I don't have a
       | self-driving car but I wouldn't hesitate to sign up. Their rates
       | are very affordable.
        
         | ajcp wrote:
         | I've had their Home Insurance since they started up and grabbed
         | their car insurance a couple years ago. Competitive price,
         | excellent customer service, no notes.
        
           | culopatin wrote:
           | Have you cashed a claim from them?
        
       | thewillowcat wrote:
       | You're telling me this car insurance drives itself?
        
       | philip1209 wrote:
       | I was curious what the break-even is where the insurance discount
       | covers the $99/mo FSD subscription. I got a Lemonade quote around
       | $240/mo (12k mi/yr lease on a Model 3), so 50% off would save
       | ~$120/mo - i.e. it would cover FSD and still leave ~$21/mo net.
       | Or, "free FSD is you use it".
       | 
       | I believe, at the end of the day, insurance companies will be the
       | ones driving FSD adoption. The media will sensationalize the
       | outlier issues of FSD software, but insurance companies will set
       | the incentives for humans to stop driving.
        
         | bmsleight_ wrote:
         | Yep - the way to get adoption, whilst the bar is too high for
         | self-driving cars, the bar should be safer than the average
         | person. An old greying socialist - saying that capitalism drive
         | the right outcomes. Same with low-carbon, insurance will help
         | with climate change mitigation.
        
         | IshKebab wrote:
         | $240 per _month_? That 's literally eight times what I pay in
         | the UK. Ok I don't have a fancy electric car but still... what.
        
           | JumpCrisscross wrote:
           | > _$240 per month?_
           | 
           | Are Teslas still ridiculously-expensive to repair? (I pay
           | $1,100 a year (~$92/month) to insure my Subaru, which costs
           | more than a Model 3.)
        
           | bradleyjg wrote:
           | We have contingency fee personal injury lawyers and you have
           | loser pays. Your system works better.
        
             | freedomben wrote:
             | Yep, also people who will spend thousands of dollars to get
             | a tiny scratch repaired because for some reaosn in the US
             | everyone expects cars to be utterly perfect.
        
           | philip1209 wrote:
           | I don't have a car so I don't know what is normal. i just
           | went through the lemonade quote process. (I have a license
           | and my record is clean, though - so there shouldn't be any
           | high-risk flags.)
        
       | microtherion wrote:
       | I'm quite skeptical of Tesla's reliability claims. But for
       | exactly that reason, I welcome a company like Lemonade betting
       | actual money on those claims. Either way, this is bound to
       | generate some visibility into the actual accident rates.
        
         | JumpCrisscross wrote:
         | > _quite skeptical of Tesla 's reliability claims_
         | 
         | I'm sceptical of Robotaxi/Cybercab. I'm less sceptical that
         | FSD, supervised, is safer than fully-manual control.
        
           | misiti3780 wrote:
           | this ^^
        
           | madsmith wrote:
           | Having handed over control of my vehicles to FSD many times,
           | I've yet to come away from the experience feeling that my
           | vehicle was operating in a safer regime for the general
           | public than within my own control.
        
             | Rover222 wrote:
             | I think you greatly overestimate humans
        
               | ihaveajob wrote:
               | The problem IMO is the transition period. A mostly safe
               | system will make the driver feel at ease, but when an
               | emergency occurs and the driver must take over, it's
               | likely that they won't be paying full attention.
        
               | Retric wrote:
               | We aren't talking about the average human here.
               | 
               | On average you include sleep deprived people, driving way
               | over the speed limit, at night, in bad weather, while
               | drunk, and talking to someone. FSD is very likely
               | situationally useful.
               | 
               | But you can know most of those adverse conditions don't
               | apply when you engage FSD on a given trip. As such the
               | standard needs to be extremely high to avoid increased
               | risks when you're sober, wide awake, the conditions are
               | good, and you have no need to speed.
        
               | izacus wrote:
               | > On average you include sleep deprived people, driving
               | way over the speed limit, at night, in bad weather, while
               | drunk, and talking to someone. FSD is very likely
               | situationally useful.
               | 
               | Are those people also able to suprevise FSD like the law
               | and Tesla expects them to? That's also a question.
        
               | fragmede wrote:
               | FSD will pull over and stop if it detects the driver has
               | passed out. Can the law do that automatically?
        
               | JumpCrisscross wrote:
               | > _you greatly overestimate humans_
               | 
               | Tesla's FSD still goes full-throttle dumbfuck from time
               | to time. Like, randomly deciding it wants to speed into
               | an intersection despite the red light having done
               | absolutely nothing. Or swerving because of glare that you
               | can't see, and a Toyota Corolla could discern with its
               | radars, but which hits the cameras and so fires up the
               | orange cat it's simulating on its CPU.
        
               | fragmede wrote:
               | Yeah even corollas have better sensors than a Tesla for
               | driving in fog. It's embarrassing.
        
             | smileysteve wrote:
             | Keeping a 1-2 car's length stopping distance is likely over
             | a 50% reduction in at fault damages.
        
           | panopticon wrote:
           | Where I live isn't particularly challenging to drive (rural
           | Washington), but I'm constantly disengaging FSD for doing
           | silly and dangerous things.
           | 
           | Most notably my driveway meets the road at a blind y
           | intersection, and my Model 3 just blasts out into the road
           | even though you cannot see cross traffic.
           | 
           | FSD stresses me out. It's like I'm monitoring a teenager with
           | their learners permit. I can probably count the number trips
           | where I haven't had to take over on one hand.
        
             | apearson wrote:
             | Do you have HW3 or HW4?
        
               | lotsofpulp wrote:
               | The newest FSD on HW4 was very good in my opinion.
               | Multiple 45min+ drives where I don't need to touch the
               | controls.
               | 
               | Still not paying $8k for it. Or $100 per month. Maybe $50
               | per month.
        
               | fragmede wrote:
               | It's your sanity (and money) -\\_(tsu)_/-
        
               | panopticon wrote:
               | HW3, unfortunately. Missed the HW4 refresh by a couple of
               | months.
        
             | elif wrote:
             | it's edging into the intersection to get a better view on
             | the camera. it's further than you would normally pull out,
             | but it will NOT pull into traffic.
        
               | seanmcdirmid wrote:
               | The software probably has a better idea of their car's
               | dimensions than a human driver, so will be able to get a
               | better view of traffic by pulling out at just the right
               | distance.
        
               | panopticon wrote:
               | It's not edging; it enters the street going a consistent
               | speed (usually >10mph) from my driveway. The area is
               | heavily wooded, and I don't think it "sees" the cross
               | direction until it's already in the road. Or perhaps the
               | lack of signage or curb make it think it has the right of
               | way.
               | 
               | My neighbor joked that I should install a stop sign at
               | the end of my driveway to make it safer.
        
               | cucumber3732842 wrote:
               | Or just manually drive in your own driveway.
               | 
               | The fact that it does't handle some specific person's
               | driveway well is far from a condemnation of the system.
               | I'm far more concerned about it mishandling things on
               | "proper" roads at speed.
        
             | parpfish wrote:
             | > I'm constantly disengaging FSD for doing silly and
             | dangerous things.
             | 
             | You meant "I disable FSD because it does silly things"
             | 
             | I read "I disable FSD so I can do silly things"
        
               | horns4lyfe wrote:
               | Exactly. Every bad situation I've been in with FSD was
               | when I misread the situation and disengaged it during a
               | maneuver that it was handling safely
        
             | horns4lyfe wrote:
             | I use it for 90% of my driving in Austin and it's
             | incredible
        
           | bayarearefugee wrote:
           | > I'm less sceptical that FSD, supervised, is safer than
           | fully-manual control.
           | 
           | I'm very skeptical that the average human driver properly
           | supervises FSD or any other "full" self driving system.
        
             | microtherion wrote:
             | Supervised FSD -- automating 99.9% of driving and expecting
             | drivers to be fully alert for the other .1% -- appears to
             | go against everything we know about human attention.
        
         | rubyfan wrote:
         | Lemonade will have some actual claim data to support this
         | already, not relying on the word of Tesla.
        
         | sfblah wrote:
         | One thing that was unclear to me from the stats cited on the
         | website is whether the quoted 52% reduction in crashes is when
         | FSD is in use, or overall. This matters because people are much
         | more likely to use FSD in situations where driving is easier.
         | So, if the reduction is just during those times, I'm not even
         | sure that would be better than a human driver.
         | 
         | As an example, let's say most people use FSD on straight US
         | Interstate driving, which is very easy. That could artificially
         | make FSD seem safer than it really is.
         | 
         | My prior on this is supervised FSD ought to be safer, so the
         | 52% number kind of surprised me, however it's computed. I would
         | have expected more like a 90-95% reduction in accidents.
        
           | wrsh07 wrote:
           | I think this might be right, but it does two interesting
           | things:
           | 
           | 1) it let's lemonade reward you for taking safer driving
           | routes (or living in a safer area to drive, whatever that
           | means)
           | 
           | 2) it (for better or worse) encourages drivers to use it
           | more. This will improve Tesla's training data but also might
           | negatively impact the fsd safety record (an interesting
           | experiment!)
        
             | paulryanrogers wrote:
             | > ...but also might negatively impact the fsd safety record
             | (an interesting experiment!)
             | 
             | As a father of kids in a neighborhood with a lot of Teslas,
             | how do I opt out of this experiment?
        
               | almosthere wrote:
               | https://www.zillow.com/homes/for_sale/?searchQueryState=%
               | 7B%...
        
               | pfannkuchen wrote:
               | Do your kids randomly run into the road? I was worried
               | about that but then mine just don't run into the road for
               | some reason, they are quite careful about it seemingly by
               | default after having "getting bumped into by a car"
               | explained to them. I'm not sure if this is something
               | people are just paranoid about because the consequences
               | are so bad or if some kids really do just run out into
               | the road randomly.
        
               | wcrossbow wrote:
               | Kids will randomly run into the road. They might run
               | behind a ball or a dog so that it doesn't end up on the
               | other side or runned over or are simply too excited to
               | remember your stern road safety talk.
               | 
               | The first thing I was taught when I picked up a car was:
               | if you see a ball on the road you stop immediately. This
               | valuable lesson has saved one kid (and my sanity) with me
               | on the wheel.
        
               | dragonwriter wrote:
               | Some kids really do just run into the road seemingly
               | randomly. Other kids run in with a clear purpose, not at
               | all randomly, and sometimes (perhaps very rarely, but it
               | only takes once and bad luck) forget to look both ways.
               | Kids are not cookie cutter copies that all behave the
               | same way in the same circumstances (even with the same
               | training).
        
               | tbossanova wrote:
               | Yes it does happen. Otherwise smart kids will do dumb
               | stuff sometimes. Like see their friend across the road,
               | but at that moment someone on a motorcycle is
               | accelerating out of their driveway, kid runs across, dead
        
               | paulryanrogers wrote:
               | I'm more worried about the Teslas hitting my kids when
               | they're on bicycles or Teslas swerving off the road into
               | the yards. Regardless, it sure would be nice if
               | technology controlling multi-ton vehicles on public roads
               | were subject to regulations, or at least had clearly
               | define liability.
        
               | fragmede wrote:
               | Same way you opt out of having drunk drivers drive home
               | along your street and pass out while driving, or drivers
               | getting a stroke or other blood clot while driving and
               | crashing into parked cars.
        
         | benatkin wrote:
         | > betting actual money on those claims
         | 
         | Insurance companies can let marketing influence rates to some
         | degree, with programs that tend to be tacked on after the
         | initial rate is set. This self driving car program sounds an
         | awful lot like safe driver programs like GEICO Clean Driving
         | Record, State Farm Good Driver Discount, and Progressive Safe
         | Driver, Progressive Snapshot, and Allstate Drivewise. The risk
         | assessment seems to be less thorough than the general
         | underwriting process, and to fall within some sort of risk
         | margin, so to me it seems gimmicky and not a true innovation at
         | this point.
        
         | DaedalusII wrote:
         | The insurance industry is a commercial prediction market.
         | 
         | It is often an indicator of true honesty, providing there is no
         | government intervention. Governments intervene in
         | insurance/risk markets when they do not like the truth.
         | 
         | I tried to arrange insurance for an obese western expatriate
         | several years ago in an Asian country, and the (western)
         | insurance company wrote a letter back saying the client was
         | morbidly obese and statistically likely to die within 10 years,
         | and they should lose x weight before they could consider having
         | insurance.
        
           | croddin wrote:
           | I could see prediction markets handing insurance in the
           | future, it could probably get fairer prices but would have to
           | be done right to avoid bad incentives, interesting to think
           | about how that might work.
        
           | cucumber3732842 wrote:
           | > providing there is no government intervention.
           | 
           | You mean like forcing people to buy it ad then shaping what
           | product can ad cant be offered with a spiderweb of complex
           | rules?
        
         | sMarsIntruder wrote:
         | They don't bet money on just "I'm quite skeptical because I
         | hate the man", but on actual data provided by the company.
         | 
         | That's the difference.
        
           | microtherion wrote:
           | The skepticism and hate is based on observing decades of
           | shameless dishonesty, which is itself a form of data provided
           | by the company: https://motherfrunker.ca/fsd/
        
             | sMarsIntruder wrote:
             | Still doesn't change my point: as of today being skeptic
             | because relying on outdated data or historical series is
             | just nonsense. I mean, insurance quotes work in a totally
             | different way.
        
         | thegreatpeter wrote:
         | Do you drive a HW4? I'm 90% FSD on my total car miles
        
       | justapassenger wrote:
       | I'm 200% sure it's subsidized by Tesla and they have a deal that
       | any losses they'd get Tesla is going to pay Lemonade for them.
        
       | einpoklum wrote:
       | Now all that's missing is a self-insuring car and we're set.
        
       | cptaj wrote:
       | So, here's a thought...
       | 
       | If FSD is going to be a subscription and you will never own our
       | fancy autopilot feature. Why should the user pay for insurance?
       | 
       | The user is paying for a service that they do not control and
       | which workings are completely opaque. How can responsibility ever
       | lie with the user in such a situation?
        
         | cesarvarela wrote:
         | If you buy an autonomous killing robot and ask it to kill
         | someone, who's responsible?
        
       | jsight wrote:
       | You know what's weird? This is a company that has been using the
       | fleet api for quite a while now to monitor non-professional
       | drivers using FSD on their daily commute, often while distracted
       | doing other things. The latest versions even allow some phone
       | usage.
       | 
       | And yet people are skeptical. I mean, they should be skeptical,
       | given that the company is using this for marketing purposes. It
       | doesn't make sense to just believe them.
       | 
       | But it is strange to see this healthy skepticism juxtaposed with
       | the many unskeptical comments attached to recent Electrek
       | articles with outlandish claims.
        
       | FloatArtifact wrote:
       | Yes, this is giving away everything about your vehicles driving
       | to a third party for sale or, manufacture. I don't like this
       | personally and I don't like it for my vehicle either. Where I go
       | in my vehicle and when I do it is my business. With vehicles
       | being IoT connected, we are forced to surrender that data as
       | there is no opt-out except for disconnecting the antenna. Not to
       | mention going in to be serviced what kind of data is pulled off.
        
       | sergiotapia wrote:
       | I wish this was available in Miami! I would switch in a
       | heartbeat.
        
       | pcchristie wrote:
       | Not directly related to the topic, I spose, but I have a Model 3,
       | and absolutely love it, but the Smart Cruise Control/Driver
       | Assist is, I hate to admit it, pretty annoying (I think it's
       | gotten worse, too). It's incredibly "jumpy" and over-cautious. A
       | car could pull out in your way 300m ahead of you, totally safely,
       | and the car will shit itself and slam on the brakes to be over-
       | cautious. Same thing with pedestrians who are walking alongside
       | the road, posing no risk.
       | 
       | It's so jarring at times that I'll often omit to use the Cruise
       | Control if I have my wife in the car (so as not to give her car
       | sickness) or other passengers (so as not to make them think I'm a
       | terrible driver!).
       | 
       | I now have developed a totally new skill which is to temporarily
       | disengage it when I see a mistake incoming, then re-engaging it
       | immediately after the moment passes.
       | 
       | NB I am in Australia and don't have FSD so this is all just using
       | Adaptive Cruise Control. Perhaps the much harder challenge of FSD
       | (or near-FSD) is executed a lot better, but you wouldn't assume
       | so.
        
         | losvedir wrote:
         | FSD is way beyond AutoPilot (the free Traffic Aware Cruise
         | Control + Lane Keep). Autopilot uses an entirely different,
         | hand coded system from several years ago, which they haven't
         | updated at all. FSD is a Deep Learning neutral network based
         | system.
        
           | navigate8310 wrote:
           | Apologies for my novice question, does deep learning neural
           | network give rise to hallucinated brakes and accelerations?
        
             | iknowstuff wrote:
             | No
        
       | socalgal2 wrote:
       | This is the biggest scam I can think of. You are not driving the
       | car. If it crashes while its "self driving" the company that made
       | the self driving system should be at fault. The End!
       | 
       | Gees! Come on!
       | 
       | PS: I'm not talking about Tesla's fake FSD.
        
       | yencabulator wrote:
       | And how much money will Lemonade make from tracking & selling
       | your exact location?
        
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