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Insurance

Oct. 9, 2025

Regulators target Tesla Insurance amid class action over claims mishandling

California regulators accuse Tesla Insurance of widespread claims mishandling, bolstering a pending class action. The Department of Insurance alleges systemic delays and violations that harmed policyholders, vendors and communities across the state.

Regulators target Tesla Insurance amid class action over claims mishandling
California Insurance Commissioner Ricardo Lara

A state regulatory enforcement action against Tesla Insurance Company that alleges mishandling of hundreds of claims filed by California drivers will almost certainly benefit a putative class action in Los Angeles County Superior Court.

The California Department of Insurance says it noticed a marked uptick in consumer complaints against Tesla Insurance as well as violations of the Insurance Code stemming from State National Insurance Company's policies. The regulator initiate...

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