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Tesla Insurance: Compare Cheap Rates
The Tesla Model 3 and Model Y are the cheapest models to insure, on average.
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Last updated: June 1, 2026
Key Takeaways: Compare Cheap Tesla Insurance
The cheapest Tesla model to insure is the Model 3, very closely followed by the Model Y.
The average full coverage cost for a Tesla is $4,625 per year or $385 per month, 96 percent higher than the national average.
The Tesla Model S and Model X are the most expensive models to insure at over 30 percent higher than the national average for Teslas.
Nationwide has the lowest average rates for Teslas, followed by USAA and Progressive.
Drivers of newer Teslas can expect to pay more for insurance than owners of older model years.
Average Cost of Tesla Car Insurance
Tesla insurance costs are significantly higher than the national average due to higher EV repair and replacement expenses.
Full coverage car insurance for a Tesla costs an average of $4,625 per year or $385 per month, which is 96 percent higher than the national average. This average encapsulates all Tesla models and various model years, so it’s not necessarily representative of what you can expect to pay. Your rate will depend on the specific Tesla model you own, as well as your driving record, age, location, and more.
Note that Tesla also offers its own insurance, but rate data is not widely available. Many customers report getting competitive quotes, but the insurance program is usage-based, and users report getting easily dinged and having rates increase, sometimes significantly.
FYI:
Electric cars tend to be more expensive to insure than gas-powered cars for several reasons, and Teslas are the most expensive EVs to insure, on average.
Cheapest Tesla Model to Insure: Tesla Model 3
The cheapest Tesla model to insure, unsurprisingly, is the Tesla Model 3. This model was released as a more affordable alternative to the models that were on the market at the time, the Model S and Model X. The average annual premium for a Model 3 is $4,098 — that’s 74 percent higher than the national average. The cost to insure a Model Y is just a bit higher on average.
The most expensive model to insure, according to our data, is the Model S, but it is only slightly more expensive than the Model X. There is a clear jump in cost from the (relatively) less expensive models to the Model S and Model X, which have been discontinued as of the 2026 model year.
| Model | Average annual full coverage premium | Average monthly full coverage premium |
|---|---|---|
| Model 3 | $4,098 | $342 |
| Model Y | $4,156 | $346 |
| Cybertruck | $4,445 | $370 |
| Model X | $6,000 | $500 |
| Model S | $6,167 | $514 |
Cheapest Tesla Insurance Company: Nationwide
The company offering the lowest auto insurance rates for Teslas, on average, is Nationwide at $3,177 per year. That’s still 35 percent above the national average for all vehicles, but it’s 31 percent lower than the national average for Teslas. USAA and Progressive also have competitive rates, but the former is only available to military-affiliated drivers.
| Company | Average annual full coverage premium for Tesla | Average monthly full coverage premium for Tesla |
|---|---|---|
| Nationwide | $3,177 | $265 |
| USAA | $3,592 | $299 |
| Progressive | $3,695 | $308 |
| American Family | $3,900 | $325 |
| State Farm | $4,356 | $363 |
| GEICO | $6,258 | $522 |
| Farmers | $6,692 | $558 |
| National average for Teslas | $4,625 | $385 |
Cheapest Tesla Insurance By Model
Tesla Model 3
| Company | Average annual full coverage premium | Average monthly full coverage premium |
|---|---|---|
| USAA | $2,338 | $195 |
| Nationwide | $2,818 | $235 |
| Progressive | $3,413 | $284 |
| State Farm | $3,491 | $291 |
| American Family | $3,680 | $307 |
| Geico | $4,785 | $399 |
| Farmers | $5,970 | $498 |
| National average | $4,098 | $342 |
Tesla Model Y
| Company | Average annual full coverage premium | Average monthly full coverage premium |
|---|---|---|
| American Family | $2,592 | $216 |
| Nationwide | $2,616 | $218 |
| USAA | $2,658 | $222 |
| Progressive | $3,201 | $267 |
| State Farm | $3,722 | $310 |
| Geico | $5,005 | $417 |
| Farmers | $5,398 | $450 |
| National average | $4,156 | $346 |
Tesla Model S
| Company | Average annual full coverage premium | Average monthly full coverage premium |
|---|---|---|
| Nationwide | $3,551 | $296 |
| USAA | $3,634 | $303 |
| Progressive | $4,579 | $382 |
| State Farm | $4,993 | $416 |
| American Family | $6,411 | $534 |
| Farmers | $8,121 | $677 |
| Geico | $8,826 | $736 |
| National average | $6,167 | $514 |
Tesla Model X
| Company | Average annual full coverage premium | Average monthly full coverage premium |
|---|---|---|
| Nationwide | $3,020 | $252 |
| American Family | $3,873 | $323 |
| Progressive | $4,340 | $362 |
| State Farm | $5,075 | $423 |
| USAA | $5,429 | $452 |
| Geico | $7,448 | $621 |
| Farmers | $7,731 | $644 |
| National average | $6,000 | $500 |
Tesla Cybertruck
| Company | Average annual full coverage premium | Average monthly full coverage premium |
|---|---|---|
| American Family | $2,943 | $245 |
| Progressive | $2,945 | $245 |
| Nationwide | $3,520 | $293 |
| Geico | $3,755 | $313 |
| USAA | $3,901 | $325 |
| State Farm | $4,501 | $375 |
| Farmers | $5,518 | $460 |
| National average | $4,445 | $370 |
Average Cost of Tesla Insurance by Model Year
Insurance premiums for Teslas typically increase with newer model years due to higher vehicle values.
Generally speaking, the newer a car is, the more expensive it will be to insure. This is because newer cars have a higher value and often have more advanced technology that can increase the cost of repairs. This pattern holds true for Teslas, with a 2017 model costing around $3,582 per year to insure and a 2022 model costing around $4,328 per year.
| Tesla model year | Average annual full coverage premium | Average monthly full coverage premium |
|---|---|---|
| 2022 | $4,328 | $361 |
| 2021 | $3,867 | $322 |
| 2020 | $3,866 | $322 |
| 2019 | $3,864 | $322 |
| 2018 | $3,749 | $312 |
| 2017 | $3,582 | $299 |
Note: The data in this section includes average rates for model years from 2017 to 2022. Data for models past 2022 was not available.
By Model and Year
Tesla Model 3
| Model year | Average annual full coverage premium | Average monthly full coverage premium |
|---|---|---|
| 2022 | $3,500 | $292 |
| 2021 | $3,356 | $277 |
| 2020 | $3,271 | $273 |
| 2019 | $2,963 | $247 |
| 2018 | $3,081 | $257 |
| 2017 | $2,874 | $240 |
Tesla Model Y
| Model year | Average annual full coverage premium | Average monthly full coverage premium |
|---|---|---|
| 2022 | $3,338 | $278 |
| 2021 | $3,001 | $250 |
| 2020* | $3,065 | $255 |
*The Tesla Model Y launched in March 2020.
Tesla Model S
| Model year | Average annual full coverage premium | Average monthly full coverage premium |
|---|---|---|
| 2022 | $5,441 | $453 |
| 2021 | $4,912 | $409 |
| 2020 | $4,779 | $398 |
| 2019 | $4,450 | $371 |
| 2018 | $4,172 | $348 |
| 2017 | $4,027 | $336 |
Tesla Model X
| Model year | Average annual full coverage premium | Average monthly full coverage premium |
|---|---|---|
| 2022 | $5,032 | $419 |
| 2021 | $4,232 | $353 |
| 2020 | $4,352 | $363 |
| 2019 | $4,179 | $348 |
| 2018 | $3,996 | $333 |
| 2017 | $3,846 | $320 |
Tesla Cybertruck
| Model year | Average annual full coverage premium | Average monthly full coverage premium |
|---|---|---|
| 2025 | $4,276 | $356 |
| 2024* | $4,116 | $343 |
*The new Tesla Cybertruck launched in November 2023 for the 2024 model year.
Frequently Asked Questions
On average, Nationwide has the cheapest insurance for a Tesla at $3,177 per year or $265 per month. However, the rate you pay will depend on many factors, including the specific model and model year, as well as your age, location, driving experience, and other factors. Always get a quote from several companies to see who offers you the best rate.
Insuring a Tesla will almost always be more expensive than insuring most other cars. However, there are ways to make sure your rate is as low as possible, including avoiding violations and asking about discounts. If you have the option of getting a used Tesla rather than a brand-new one, that can also help keep your rates lower.
Tesla insurance isn’t objectively better than Progressive, but it will depend on your needs. Tesla’s insurance offers standard coverage, but if you’re looking for certain add-ons, such as accident forgiveness, then Progressive will be a better option. In addition Tesla’s insurance is usage-based, which can make it cheaper if you maintain a high driving score, but some drivers may dislike this system and prefer a more traditional policy.
Methodology
We analyze average auto insurance premiums for various Tesla models between 2017 and 2025. Our data includes rates for full coverage for good drivers with good credit. Full coverage includes the following limits:
- Bodily injury liability: $100,000 per person/$300,000 per accident
- Property damage liability: $100,000 per accident
- Uninsured and underinsured motorist bodily injury: $100,000 per person/$300,000 per accident
- Comprehensive and collision: $500 deductible
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