According to Sawyer Merritt, U.S. insurer Lemonade announced a 50% rate cut for Tesla vehicle owners using Full Self-Driving (FSD) mode, citing data that shows significant accident reduction when AI is in control. The move highlights the growing influence of AI-powered driver assistance technologies in the insurance sector, as advanced perception and reaction capabilities of FSD systems are proving to improve road safety. This development underscores a major business opportunity for insurers to differentiate products based on AI-driven risk assessment, accelerating adoption of autonomous driving technologies and setting a new industry benchmark for AI integration in automotive insurance (Source: Sawyer Merritt on Twitter, January 21, 2026).