Popular national insurer, AAA is raising its rates on Tesla vehicles, since it has researched data that shows that Tesla Model S and Model X owners have higher insurance claim rates. AAA could raise its premiums up to 30 percent on the Tesla vehicles based on information that it has received from the Highway Loss Data Institute.

Tesla insurance rates could go up 30 percent

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The Highway Loss Data Institute’s report covered 2014-2016 model years and the vehicles were divided into classes based on size, weight and competing models. The data claims that Tesla vehicles have a higher claim rates and higher costs of insurance claims than other cars in the same classes, but Tesla is disputing the report.

Related: Tesla Model S and X get lower Consumer Reports ratings

“This analysis is severely flawed and is not reflective of reality,” Tesla stated to Automotive News. “Among other things, it compares Model S and X to cars that are not remotely peers, including even a Volvo station wagon.”

In the report the Model S is classified as a large luxury vehicle and is in the same class as the Volvo XC70, Audi A6, Mercedes-Benz E class and BMW 5 series. Tesla claims that its models were compared with the wrong competitors and if they were compared to similar vehicles, the crash data would not be an issue. Tesla also points out that the acceleration of both the Model S and Model X make it “false and misleading” to compare its vehicles against vehicles, like the Volvo XC70.

According to the report, the Model S is involved in 46 percent more insurance claims than average, while Model X owners have 41 percent more claims than average.

AAA says that the group looked at several sources of data to makes it decision about changing its rates on Tesla vehicles. “Looking at a much broader set of countrywide data, we saw the same patterns observed in our own data, and that gave us the confidence to change rates,” said Anthony Ptasznik, chief actuary of AAA.

Related: Tesla Model Y crossover could arrive by 2019

The Highway Loss Data Institute stands by its findings. “Teslas get into a lot of crashes and are costly to repair afterward,” stated Russ Rader, spokesman for the Insurance Institute for Highway Safety – the Highway Loss Data Institute’s parent organization. “Consumers will pay for that when they go to insure one.”

Tesla also points out that the Model S currently has the lowest likelihood of injury, according to the National Highway Traffic Safety Administration. “We expect Model X to receive the best score for any SUV ever tested,” a Tesla spokesperson stated.

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