The world’s wealthiest guy Elon Musk, Tesla’s CEO, called a recent insurance claim by a Missiouri women who was caught a sexually transmitted disease in a car against GEICO “crazy” and threatened legal action against law firms who pursue “mad cases.”
“crazy damages claims like this are a large part of why auto insurance costs so much.” Musk stated on the twitter on Friday.
In a follow-up tweet, Musk stated, “ it should be possible to sue law firms for pursuing ridiculous damages claims.”
Following a Missouri Court of Appeal judgement, GEICO faces a potential 45.2 millions reimbursement to a women who claims she was unintentionally infected with sexually transmitted HPV (human papillomavirus).
In the response to the case, the carrier has launched a federal lawsuit, claiming that it will determine whether “there is coverage in this circumstance.”
The insurance industry claimed collusion and fraud, that arbitration proceedings violated its right to due process, and that an original verdict was invalid in a recent unsuccessful appeal.
While speaking at a Miami gathering last month, Musk, whose $44 billion Twitter deal has made news in recent weeks, called thw auto insurance.
Tesla is looking to expand its own insurance product, while is now accessible in eight US states, according to the billionaire. Tesla’s CEO predicted in a 2020 earings call that vehicle insurance might make up 30-40% of the company’s automotive revenue.
Tesla CFO Zachary Kirkhorn stated that the company plans to expand its insurance coverage across the United Ststes. Kirkhorn stated on an earning call earlier this year that he wanted 80% of tesla customers to be able to use.
