Toronto, Ontario -- Nearly half of General Motors vehicle drivers in the U.S. can now buy car insurance directly from the OEM.
GM Insurance officially launched in Florida this week, bringing its total coverage to 18 states. The automaker now serves customers across Arizona, Texas, Georgia, Minnesota, Iowa, Missouri, Illinois, Indiana, Ohio, Pennsylvania, Tennessee, Virginia, Alabama, Oklahoma, Arkansas, Colorado, Louisiana and Florida, where about 42.6 percent of Americans live. GM plans to reach 20 states by year-end.
But the rapid expansion comes with growing pains. GM National Insurance Company racked up a $58-million underwriting loss in 2024 despite generating $20 million in written premiums. Things haven't improved much this year — the company posted another $15.4-million loss in the first quarter alone.
Still, GM is betting on a simple value proposition: when policyholders get into accidents, their vehicles get repaired with genuine GM parts at certified collision shops.
GM isn't alone in this push. Tesla broke new ground when it launched Tesla Insurance in California back in 2019.
Ford took a different route, partnering with established insurers for its Ford Insure program rather than going it alone. Toyota has dabbled with Toyota Insurance, though the program has had a rocky ride with stops and starts.
So far, this OEM insurance trend hasn't crossed the border. No major automakers offer direct insurance to Canadian drivers. Tesla comes closest with InsureMyTesla—but that's actually underwritten by Aviva, not Tesla itself.
