No, fronting is not reinsurance. It's basically a licensed insurance company that is "leasing out" its license/assisting in regulatory/filing matters for a small percentage of the premium.

Tesla doesn't want to set up an actual insurance company, so it's easier to reuse an existing one.

Almost certainly there is a reinsurer involved as well (that hasn't been publicly disclosed), as Tesla likely doesn't have excess capital available to fund the surplus requirements for this auto insurance line.

https://www.insurancejournal.com/news/national/2019/05/02/52...