The reddit thread is interesting, but to put it into perspective you have look at the photo of the damage and, wow...

https://imgur.com/a/1n9mJ

"On the Model X this part is serviceable, if you'd been driving an X, we could fix it."

That is just the biggest FU to a customer that spent 100k on a car.

Also I don't understand why his insurance is going up if it wasn't his fault?

It looks like the more advanced the technology is the more expensive and difficult it is to repair. Sometimes better to just stick a couple product generations for things to settle down.