Tesla MODEL S

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Though the fires are alarming, one must realize that hundreds of thousands of vehicle fires occur in the US every year. Electric Teslas, like any vehicle (including those with an internal combustion engine), are not immune to catching fire in certain situations. Here's Musk's take on the issue: "[The Model S] is about five times less likely to have a fire than an average gasoline car," he reportedly said Tuesday at the New York Times' DealBook conference in New York.

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Still, the UK reception for Musk is a heck of a lot less frosty than in states like Texas, which is taking exception to Musk's efforts to skip the traditional dealership distribution channel in order to sell directly to the public. Tesla legislators recently and pointedly excluded the Tesla Model S from its list of electric and natural-gas vehicles that will be eligible for state rebates slated to start next year. Texas has set aside about $3.8 million to fund the program but it only includes cars that are sold at dealerships. With Texas having what's believed to be the strictest laws forbidding automakers from selling directly to the public, Texas residents must go out of state to buy Teslas.

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Still, Tesla has announced a new three-pronged approach to assuage Model S fire fears, the first of which is an over-the-air software update that will increase the car's ground clearance at highway speeds. This will hopefully make it less likely to impact debris on the road surface, which was the cause of two of three Model S fires.

Second, Tesla has "requested that the National Highway Traffic Safety Administration conduct a full investigation as soon as possible into the fire incidents," according to Musk, who had previously said a there would "definitely" not be a recall. While a recall still seems highly unlikely, Musk says that "if something is discovered that would result in a material improvement in occupant fire safety, we will immediately apply that change to new cars and offer it as a free retrofit to all existing cars."

Finally, in a move we'd describe as very baller indeed, Tesla has amended the warranty of its Model S sedan to cover damage due to a fire, even if due to driver error. "Unless a Model S owner actively tries to destroy the car, they are covered," says Musk.

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