How Much Does Tesla Insurance Cost? A Comprehensive Guide for Owners
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Buying a Tesla is expensive, especially with higher trim levels or add-ons. In addition to the high sticker price, the advanced technology that Tesla uses in its vehicles makes them some of the most expensive cars to insure. Here's what you need to know about Tesla insurance cost factors and how you may be able to save money.
What Impacts Tesla Insurance Costs?
Insurance providers consider several factors when assessing rates for Teslas:
- Vehicle price and features: Teslas can range from $43,000 to over $100,000. Higher-priced models have higher insurance rates because they cost more to repair or replace.
- Driver demographic: Your driving record, gender, age, and location all impact your risk profile. Men, young drivers, and people who live in crowded areas typically have higher premiums.
- Type of coverage: Minimum liability coverage is going to be the cheapest option but has the lowest level of protection. Additional coverages like collision and comprehensive will raise your rate but provide better coverage.
Tesla Insurance Costs by Model
The cost to insure a Tesla depends on the model and trim level. Upgrades can significantly alter the average cost of insurance due to potentially expensive repairs.
Model 3
| Metric | Details |
|---|---|
| Average Monthly Premium (Full Coverage) | $243 |
| Base Price | $42,490 |
| Factors Raising Insurance Costs |
|
Model Y
| Metric | Details |
|---|---|
| Average Monthly Premium (Full Coverage) | $259 |
| Base Price | $44,990 |
| Factors Raising Insurance Costs |
|
Model S
| Metric | Details |
|---|---|
| Average Monthly Premium (Full Coverage) | $334 |
| Base Price | $74,990 |
| Factors Raising Insurance Costs |
|
Model X
| Metric | Details |
|---|---|
| Average Monthly Premium (Full Coverage) | $320 |
| Base Price | $79,990 |
| Factors Raising Insurance Costs |
|
These estimated rates are for a 40-year-old male with full coverage.
Types of Coverage Available for Tesla Vehicles
Because a Tesla is a significant investment, it's important to understand your coverage options to ensure that you are protected.
State Minimum Coverage
Most states require drivers to maintain a minimum amount of auto insurance. It usually includes liability coverage to protect you from damages you may cause to others. You may also need uninsured/underinsured motorist coverage for accidents with drivers who don't have sufficient insurance.
While these policies meet your legal requirements, they may not offer adequate protection for your Tesla.
Full Coverage
For more protection, you want full coverage. This typically includes:
- Collision insurance: Covers damage to your vehicle in an accident regardless of fault
- Comprehensive coverage: Covers damage from theft, vandalism, storms, and other events outside your control
This combination offers a wider safety net than just liability. Remember that you have to pay your deductible before insurance covers repairs, and insurance policies with a higher deductible generally cost less.
Additional Coverage Options
Full coverage may not include every offering from your insurance company. They may offer additional options such as:
- Roadside assistance: This usually reimburses towing, locksmithing, battery jumps, and gas delivery.
- Rental car reimbursement: Your insurance provider will cover the cost of a rental car if your car is in the shop.
- Gap insurance: This insurance pays the difference between what you owe on your loan and what the value of your car is if it's totaled.
To ensure that you're covered at every step, these additional coverages may be for you. The more coverage your policy includes, though, the higher your insurance rate will be.
Tesla Insurance Coverage By State
| State | Average Tesla Insurance Cost (Annual Rate) | State Average |
|---|---|---|
| Alabama | $2,316 | $2,115 |
| Alaska | $2,628 | $2,336 |
| Arizona | $3,084 | $2,737 |
| Arkansas | $3,048 | $2,331 |
| California | $2,112 | $2,810 |
| Colorado | $3,084 | $2,945 |
| Connecticut | $2,460 | $2,506 |
| Delaware | $2,544 | $2,628 |
| District of Columbia | $3,456 | $2,539 |
| Florida | $3,312 | $3,594 |
| Georgia | $2,376 | $2,727 |
| Hawaii | $2,160 | $1,573 |
| Idaho | $1,632 | $1,359 |
| Illinois | $2,292 | $2,126 |
| Indiana | $1,776 | $1,713 |
| Iowa | $1,848 | $1,835 |
| Kansas | $2,376 | $2,525 |
| Kentucky | $2,856 | $2,689 |
| Louisiana | $4,608 | $3,696 |
| Maine | $1,512 | $1,554 |
| Maryland | $2,304 | $2,609 |
| Massachusetts | $1,704 | $1,828 |
| Michigan | $2,844 | $3,053 |
| Minnesota | $1,932 | $2,398 |
| Mississippi | $2,568 | $2,252 |
| Missouri | $2,508 | $2,700 |
| Montana | $3,240 | $2,295 |
| Nebraska | $2,184 | $2,297 |
| Nevada | $2,940 | $3,174 |
| New Hampshire | $1,644 | $1,753 |
| New Jersey | $3,120 | $2,587 |
| New Mexico | $2,532 | $2,314 |
| New York | $2,436 | $3,807 |
| North Carolina | $2,268 | $2,059 |
| North Dakota | $2,232 | $1,863 |
| Ohio | $1,608 | $1,499 |
| Oklahoma | $2,748 | $2,681 |
| Oregon | $1,584 | $1,958 |
| Pennsylvania | $2,208 | $2,419 |
| Rhode Island | $3,012 | $2,726 |
| South Carolina | $2,328 | $1,898 |
| South Dakota | $2,412 | $2,278 |
| Tennessee | $2,364 | $2,005 |
| Texas | $3,516 | $2,458 |
| Utah | $2,220 | $2,118 |
| Vermont | $1,452 | $1,361 |
| Virginia | $2,220 | $2,098 |
| Washington | $1,896 | $1,713 |
| West Virginia | $2,676 | $2,101 |
| Wisconsin | $1,920 | $1,839 |
| Wyoming | $1,524 | $1,668 |
Tesla rates are based on a full coverage policy for a 35-year-old insuring a Model 3. State average rates are estimates for a full coverage policy for a single driver in their 40s driving a Toyota Camry.
In Texas, Montana, or Louisiana, Tesla car insurance costs may be above average. However, insuring a Tesla in New York, California, or Minnesota might cost less compared to a regular vehicle.
Discounts and Savings Opportunities
Many insurers offer discounts to help you save on your coverage:
- Safe driver discounts: You can often get rate discounts if you avoid accidents or tickets for a length of time. Some insurance companies may also offer products to monitor your driving habits to further decrease your rate.
- Bundling: You may be able to save money by bundling your home and auto insurance together under the same insurer.
- Tesla's Insurance: Tesla offers its own insurance that assigns a rate every month based on your driving patterns with a real-time safety score. It is available in Arizona, California, Colorado, Illinois, Maryland, Minnesota, Nevada, Ohio, Oregon, Texas, Utah, and Virginia.
Save Money with EverQuote
If you own a Tesla or are looking to purchase one, compare quotes for top providers with EverQuote to get the most affordable rate.
FAQs About Tesla Insurance
Is it expensive to insure a Tesla?
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Does Tesla Insurance insure other cars?
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Premiums are sourced from over 30,000 zip codes across 200 insurance companies. We estimate premiums based on public filings for policies seeking 50/100 in liability with $500 deductibles for collision and comprehensive coverage. Estimated rates are based on a 35-year-old single female with a good credit score and no history of accidents or violations driving a 2023 Toyota RAV4 LE. We partner with Quadrant Information Services to source our data and assume no unique benefits or discounts are applied for these rates (unless otherwise stated). Your own rates may be different.