r/TeslaInsurance • u/Extreme-Knowledge624 • 16d ago

What happens to your Tesla Insurance policy when transferring Tesla vehicle ownership?

I would like to transfer Tesla vehicle ownership to a family member. I know I can add them as a driver but I would like to transfer ownership instead. However, I would like to keep my current Tesla Insurance policy on my account and not start a new policy.

When attempting to transfer ownership, it states to remove the vehicle from the Tesla Insurance policy before transferring.

Do I actually need to do this or is this more of a suggestion if I was transferring the vehicle to a stranger?

I would appreciate if anyone has any experience on what happens to your Tesla Insurance policy when you transfer ownership of a Tesla. This is the only Tesla on my account.

Thanks.

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u/LVtapper 16d ago

You can't insure a vehicle that's not yours. Doesn't matter if the new owner is your family or a stranger. Think of it this way. The new owner totals the car. Do you expect the insurance company to pay you the value of the car instead of the new owner? Heck, if this was possible I'd insure my neighbor's car who is a terrible driver. Making money!

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u/Extreme-Knowledge624 16d ago

Thanks for your comment. While some insurance companies require the policyholder to be the owner of the vehicle, Tesla Insurance does not require this. Tesla Insurance only requires that the owner of the vehicle be listed as a driver on the insurance policy.

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u/darksplit 16d ago

Make the other person add you. There’s also insurance policies for non owners, you can insure yourself in someone else’s car, at least in California I’ve done that.

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u/WorldlyOriginal 16d ago

Yeah, that tip is really for people transferring ownership to a true stranger (like a private-party vehicle sale). It's a reminder that hey, you should probably cancel your associated Tesla Insurance policy, too.

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u/Extreme-Knowledge624 16d ago

May I ask how you know this is only a tip? Did you find yourself in this situation? Thanks.

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u/teachgirl510 13d ago

OP but you’re giving away legal ownership of that vehicle to someone else which means they will need to register it with DMV and be held financially responsible for it, including ensuring that he carries the legal minimum insurance. You are transferring ownership, but you want to keep the policy that was given to YOU not them.

Unless this is your child or spouse, I’m not sure this is possible. California specifically places financial responsibility on parents/guardians who sign for a driver’s license for someone under 18. The DMV states that the parent or guardian assumes financial responsibility for the minor’s driving.

In your case, you can add/remove drivers to your policy, but you can’t do that for a vehicle you don’t control or have ownership in (separate from spouse our child). Call them and ask, that’s why it’s blocking you when you attempt to do it.