Tesla eliminates Forward Collision Warnings from Safety Score calculation due to class action lawsuit

Tesla has recently made a significant change to its Safety Score system by removing Forward Collision Warnings (FCW) from the formula. This decision comes in the midst of a class action lawsuit that alleges the metric led to inflated insurance premiums for Tesla owners.

The Safety Score system was initially introduced by Tesla in 2021 for Tesla Insurance. This system relies on real-time driving data to calculate scores based on various metrics like Hard Braking, Aggressive Turning, and more. These scores, when combined, determine an overall Safety Score, which in turn affects the monthly insurance premiums. Higher Safety Scores result in lower insurance premiums.

One particularly contentious metric within the Safety Score system was the Forward Collision Warnings (FCW). Tesla explained that FCWs were triggered in situations where a potential collision with an object in front of the vehicle was likely without driver intervention. However, many Tesla drivers reported inaccuracies with the FCW system, often issuing false warnings when no real collision risk was present.

In response to a lawsuit filed in Illinois by a Tesla owner, who claimed that the FCW system led to overcharged insurance premiums, Tesla attempted to have the case dismissed. Yet, a judge ruled in December 2023 that the lawsuit could move forward. As of now, Tesla has been granted an extension until October 2025 to gather evidence for their defense. However, before the court date, Tesla quietly removed FCW from the Safety Score formula.

The updated Safety Score formula, version 2.2, now includes metrics such as Hard Braking, Aggressive Turning, Unsafe Following, Excessive Speeding, Late-Night Driving, Forced Autopilot Disengagement, and Unbuckled Driving. It remains uncertain how this change will impact the ongoing lawsuit. While it could lead to a potential settlement, removing FCW may limit the plaintiffs’ ability to claim sustained harm. The case might then focus on past damages and Tesla’s accountability during the time when FCW was part of the Safety Score formula.

This adjustment underscores Tesla’s commitment to refining its Safety Score system and addressing concerns raised by customers. The evolving nature of the Safety Score highlights the importance of transparency and accuracy in determining insurance premiums based on real driving data. As Tesla navigates legal challenges and updates its safety features, the company remains dedicated to enhancing the driving experience for its customers.