The Financial Revolutionist

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Tesla Looks to Conquer Insurtech

Last week, we covered how Elon Musk has set his sights on dominating the rideshare industry with his army of robot-powered cars. Well, now his flagship company aims to disrupt the insurance industry as well. Musk said during a Tesla earnings call recently that the company plans to create its own insurance product and launch it within a month. Specifically, Musk has taken umbrage with the much higher rates that Tesla drivers pay to insure their vehicles. That’s something Musk hopes to alleviate with his new insurance product, though no additional information was given. The increasing diversification of its core business has led some analysts to downgrade Tesla stock, arguing that the company is spreading itself thin and should focus on its core product. Overall, Tesla stock is down 25% for the year.