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Model S Owner Endures Insurance Woes Over Repairs
A minor accident turned into a major repair headache for this New York based Tesla owner. (Source: Standard Code)
Last month, a Tesla Model S owner documented a small accident in Midtown Manhattan and surprised the TMC discussion board by revealing that his car was to be declared a total-loss by his insurance company, Costco Insurance Agency. The damage occurred to the outside of the wheel-well, the tire and the certified shop also claimed some damage to the suspension, see image above.
From the surface, it looked to be a small amount of work but the total bill after being sent to a certified Tesla repair shop was $30,000, which included $10,000 in parts and $20,000 in labor. The kicker was that Costco Insurance initially decided they’d rather declare the car a total loss than pay $30k+tax for repair.
So the discussion on the board turned to replacement value with his insurance company and this is where the frustration started. The owner documented the back-and-forth with his insurance company and realized that it would be quite a financial hit with the replacement option. The owner originally paid $104,000 for Model S85 and received it in December 2013.
According to the owner, the insurance company had no Kelly Blue Book value to lean on and wielded its own internal formula for the car’s value. The Tesla discussion board and owner calculated a $75,000 replacement value for his year-old car, which included sales tax. The owner, known as standardcode, was not really happy with that amount due to his financing, which had him on the hook for another $70,000 US Bank for the car. There was a lot of discussion on depreciation and commenters felt the depreciate in this case was pretty accurate.
The thread generated many other related topics. Some discussion centered around the owner’s initial frustration with Tesla’s pre-paid service agreement that’s not transferrable to another car or owner. However, the owner said that after talking with Tesla Motors during this process that they would prorate his agreement to his next purchase.
Also, others mentioned on the board that other luxury cars would not have been totaled due to such a small amount of bodywork, but some pointed out that a new Model S means the ability to add recently added features (can you say P85D).
Throughout December 2014, we have been talking with standardcode and found out the ordeal was still fluid and the insurance company was reconsidering (Clean Technica reported it was a done deal). Early this month, standardcode told me that Ameriprise reconsidered and did pay for the repairs that came to $35,000.
In an email to Tesla Motors this month, the owner wrote, “the body shop was obviously good at what they do and they communicated well too. They even sent me pictures of the work constantly. Having said that I still think $35,000 to repair the damage my car had is very high and I do still think that Tesla as a company needs to worry about the full ownership lifecycle including repairs etc.”
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He went on to write, “All in all, I recognize that it was Ameriprise that caused me the headaches here and wasted a lot of my time.”
Standardcode picked up his repaired car in early January and mentioned “the most important lesson I learned is to have better insurance with replacement value. I guess there’s some legal risk to it but I’d have appreciated advice on which insurance is best when I first purchased the car.”
This tale, to me, is all about growing pains for a low-volume automaker. There’s been discussion about the car’s aluminum body as a reason for the high cost for parts and also the lack of certified Tesla body shops at this point for driving up repair costs? In Chicago, there’s only one certified body shop in the metro area.
What about your experiences? What has your experience been like with insurance companies and certified repair shops?
Addendum:
taurusking via the TMC discussion board mentioned that State Farm , AllState and Geico were top rated but the website did not specify by region. I switched from Geico ( was very happy with their customer service ) mainly because Liberty Mutual offers Better Car Replacement pkg.
Tesla released Full Self-Driving version 14.3.6 last week, and after what was potentially one of the best FSD releases in v14.3.5, there has been a bit of a regression. While there are some bright spots, the changes made to v14.3.6 seem to have backtracked some behaviors.
Overall, it is hard to really complain about FSD in any sense; it has revolutionized how I travel literally anywhere. According to my self-driving app, the last time I went a day without using it was 59 days ago.
However, I think it’s also important to recognize when things are just plain bad with FSD. There are times it does truly mind-boggling things, and I’ll dive into those here. Additionally, I only had these issues on local roads, not on highways. Highway operation, generally, is always incredible other than the occasional complaint about speed or left lane camping.
With those things being said, my personal experience may not represent others’ experiences. A handful of people have said they have had a similar experience on v14.3.6, while others have said it is more than normal.
Turning Hesitancy, Inaccuracy
I’ve noticed more inaccuracy turning into multi-lane stretches of road than in any version I can remember. I’ve had at least three instances of FSD turning into a stretch of roadway that has two or more lanes, and not selecting a lane confidently as it has in past versions.
I think Tesla FSD v14.3.6 is a regression from previous .3 branches
This version in particular has been incredibly hesitant, jerky, and indecisive at times. There’s actually been two drives that I have decided to not used FSD for the remainder of the trip. These were local trips… pic.twitter.com/YobHDOKRS6
— TESLARATI (@Teslarati) July 26, 2026
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Instead, the car will drive over one of the dashed road lines, and the steering wheel will jerk back and forth before picking the lane. It should be said that it has always picked the correct lane when choosing based on the navigation, but it is still very indecisive. The steering wheel jerking is reminiscent of some of the later versions of v13.
I admit I really hate to see the steering wheel jerking come back. However, I think when Tesla releases v14.3.7, it won’t be present. When there are occurrences of it in FSD versions, it is usually resolved by the following release.
FSD Disregards Manual Turn Signals
This is my biggest bone to pick with FSD other than Navigation issues, but this one seems like it would be such an easy fix.
If Tesla is going to put the word “Supervised” on the end of “Full Self-Driving,” then when I tell the car to do something, it should do it. If I input an increase in speed by pressing the accelerator, the car will immediately respond. It does not disregard my input because it feels it is traveling at the right speed.
FSD should never disobey and turn off turn signals that the driver inputs. Trying to direct the car into the correct lane, I had initiated the left turn signal not once, not twice, but three times, with the car turning it off all three times and continuing in a lane that would end in just one block. The only solution at this point would be to zipper merge.
This goes back to the fact that self-driving’s biggest bottleneck might be rider preference. A zipper merge might have been more than reasonable, might have saved me time that I spent sitting through an additional light cycle, and might be something many drivers would do. I was in no hurry, I traditionally do not try to zipper merge because it feels inconsiderate, and lastly, the car should have just followed my input.
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This caused me to disengage and drive manually the rest of the way home. Sometimes I just do not need FSD to try to pass every car it can at intersections.
Bird Braking is a Thing of the Past
The big complaint with recent versions of Full Self-Driving has been what we’ve coined as “bird braking,” which is when the car will brake suddenly as a bird flies past.
There have been zero issues with this so far in v14.3.6, which is an excellent improvement.
FSD Might Already Be Taking Note of Driver Preferences
Another thing I have noticed over the past few days is that v14.3.6 seems to already be taking my preferences with navigation into account.
This is something that is supposed to be rolling out with the Summer Update, but I have a hunch it’s already present and might have been included in this v14.3.6 build. On Friday, FSD pulled into an entrance to a local convenience store that it had never attempted to go into before.
Typically, I manually pull into this entrance because it avoids heavy cross traffic at the main entrance. FSD has always chosen that congested main entrance.
I don’t want to get anyone excited but my Tesla running FSD v14.3.6 just:
✅ Pulled into an entrance at my local Sheetz that I routinely pull into manually but FSD never has entered
-✅ Pulled into my assigned parking space at home despite many other spots being vacant https://t.co/ZUShvknTWO pic.twitter.com/83O5a2S0eh
— TESLARATI (@Teslarati) July 24, 2026
Additionally, FSD has pulled into my assigned parking spot at my townhouse community on multiple occasions with this release. This is something that used to happen ocassionally, but not consistently.
It also navigated back to the same convenience store last night, drove through crazy cars scrambling to gas pumps, navigated out of the parking lot correctly, drove me home, and, once again, parked in my assigned spot.
As previously stated, this release just seems to have a few things that need to be brought to Tesla’s attention, and also to make others who use FSD aware of some things that I’ve experienced. I look forward to the next release that will remedy these issues, just as Tesla has always done in the past.
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Elon Musk’s massive Terafab project, which will be the first true conglomeration between each of his major entities, is set to get its final location soon, the CEO said on Tesla’s recent earnings call.
“The Terafab, we expect to announce a location soon, and provide more details about our plans in that regard. We’ll leave that to the product, the launch announcement rather than try to squeeze it into an earnings call,” Musk said last Wednesday.
Tesla Terafab set for launch: Inside the $20B AI chip factory that will reshape the auto industry
Terafab was announced by Musk back in March and was essentially a massive, vertically integrated semiconductor manufacturing project that would provide all the chips the three companies needed for their AI initiatives without needing third-party companies.
The plant will produce over 1 terawatt of AI compute each year, and will help back up projects like Optimus, Full Self-Driving, and other AI-based projects that Musk’s companies are working on.
In April, less than a month after the project was launched, Intel announced it would join the project, contributing manufacturing expertise and consulting to Terafab as a whole. Intel is one of three chip manufacturers that produce sub-5 nanometer chips at scale. TSMC and Samsung are the other two.
However, there was no true indication of where Terafab would end up, but most believe it will likely be somewhere in Texas. Business Insider has reported that SpaceX plans to build out Terafab in Grimes County, Texas, but this is unconfirmed.
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Musk confirmed recently that it would not be on Giga Texas property, as it is simply too large.
The sheer scale of TERAFAB is going to be insane.
Elon said it wouldn’t be suitable for anywhere on Giga Texas property because it’s too big:
“We couldn’t possibly fit the Terafab on the GigaTexas campus. It will be far bigger than everything else combined there.
Several… pic.twitter.com/79GbhNNuf4
— TESLARATI (@Teslarati) March 23, 2026
Terafab holds much of Musk’s grand ambitions for the future within its construct. It holds so much responsibility for the future and the biggest projects that Musk’s companies can imagine.
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“I think this is a very big announcement and it deserves to have its own day in the spotlight and not be squeezed into an earnings call,” he said. “I do think Terafab is going to be an amazing initiative and a necessary one, and one without which we will be constrained in our ability to scale Optimus production, because we simply won’t have enough AI chips.”
He continued by stating that Terafab is necessary for scaling Optimus, which Musk said could be the biggest product of any kind of all time. “It’s crucial to solve that, and we’ll have to solve memory, logic, and packaging in order to scale Optimus.”
SpaceX performed a secret test on a specific portion of Starship with its recent 13th test flight last week, CEO Elon Musk revealed.
Starship’s 13th test flight took place last Friday, and in many aspects, it was one of the most overwhelmingly successful launches in the project’s history.
All of the mission objectives were met without incident, both the Super Heavy Booster and Ship managed to perform safe splashdowns in the Gulf of America and the Indian Ocean, respectively, and the deployment of Starlink satellites came and went without any complications.
— Elon Musk (@elonmusk) July 25, 2026
However, there was more on the agenda for SpaceX with Flight 13. Musk revealed an internal test of the ship’s heat shield tiles, as the space exploration company wanted to push them to the limits after previous issues.
Many noticed that Starship’s initial launch seemed to be more accelerated than normal, and that was not a mistake. Musk revealed that SpaceX decided to give Flight 13 an intentionally aggressive acceleration rate in an effort to test how well the tiles would remain attached to the ship:
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This flight intentionally had much higher acceleration to test how well the heat shield tiles would remain attached at high dynamic pressure.
Test was successful.
— Elon Musk (@elonmusk) July 25, 2026
SpaceX had issues with some of the heat shield tiles remaining attached early on in the Starship program. The first six test flights presented some kind of anomaly with them, so the company’s big focus with them was to figure out a way to keep them intact through the duration of the flight.
Things truly improved as Flight 10 showed that ceramic tiles generally stayed attached to the ship far better due to refined attachment, as SpaceX utilized pins instead of adhesives. Flights 10 through 13 truly showed some clear progress with the heat shield tiles, and this latest test seems to be where some real progress was noticed, especially by Musk.
The 13th Starship launch last Friday was the second with Starship V3, SpaceX’s latest and greatest iteration of the spacecraft. Goals and ambitions are getting even grander as the project continues to progress. Musk has already hinted that SpaceX will likely try to catch Starship with Flight 14.
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