Best car insurance for a Tesla in 2025: Top picks by model

Best car insurance companies for Tesla Model 3

Nationwide, State Farm, and GEICO are the top three best insurance companies for the Tesla Model 3. 

• The Model 3 is currently Tesla’s least expensive vehicle, and it’s the cheapest to insure. 
• Tesla Model 3 insurance costs an average of $289 per month and has average annual premiums of $3,466.

Here’s our breakdown of the top car insurance companies for a Tesla Model 3:

1. Nationwide with a score of 4.64 out of 5, tied for our highest consumer survey score with State Farm, is the least expensive company in our rating and has the best consumer complaint ratio from the NAIC with a score of 0.63. While it has the lowest AM Best credit score of the insurance companies in our rating, its score of A is still considered ‘Excellent.’ 
2. State Farm, with a score of 4.62, takes the #2 spot. It boasts a low consumer complaint ratio, low annual premiums, above-average scores in our consumer survey and a Superior AM Best rating for financial strength.
3. GEICO takes the third spot with the second-best NAIC complaint ratio of the companies in our rating, a Superior AM Best rating, and an annual premium below the average for companies in our rating.
4. Progressive’s complaint ratio is lower than expected for a company of its size, but its premiums are higher and it was not ranked as well as competitors in our consumer survey.
5. Allstate’s NAIC consumer complaint score of 1.1 is a little above expected for its market size. In its favor are an average annual premium almost $700 cheaper than Farmers and a Superior AM Best rating.
6. Farmers had the highest average annual premium of all the insurance companies in our rating for the Model 3, with a cost of $4,723. It does, however, have a low consumer complaint ratio and the same AM Best financial strength rating as our No. 1 pick, Nationwide.

Best car insurance companies for Tesla Model Y

The best car insurance companies for the Tesla Model Y are State Farm, Nationwide, and GEICO. 

• The Model Y is Tesla’s bestselling vehicle, and while it isn’t the cheapest to insure, it is only a few dollars more per month than the Model 3. 
• Tesla Model Y insurance cost is an average of $294 per month, for companies in our rating, less than $10 more expensive to insure per month than the Model 3, and only $63 more annually.

Here’s our breakdown of the top car insurance companies for a Tesla Model Y:

1. State Farm is our top insurance company for the Model Y, with a high consumer survey score and AM Best rating, as well as a low consumer complaint ratio and affordable premiums. 

2. Nationwide’s consumer survey score is tied with State Farm. However, it has lower premiums and a lower NAIC consumer complaint score. State Farm edges it out with a better financial strength rating from AM Best.

3. GEICO boasts a low NAIC complaint ratio among the companies in our rating and a Superior financial strength rating from AM Best. Compared to State Farm and Nationwide is expensive; $455 more expensive annually than second-place Nationwide.

4. Progressive has a low NAIC complaint ratio, but ranks lower due to higher-than-average premiums. It has a solid A+ rating with AM Best.

5. Farmers has a low NAIC complaint score and a consumer survey score is only slightly below our No. 3 pick, GEICO. However, its premiums are the most expensive in this group, and almost $2,200 more expensive than State Farm.

6. Allstate rounds out our rating for the best insurance companies for the Model Y. While it has the only above-expected NAIC consumer complaint ratio amongst the companies in our rating, it has a Superior financial strength rating from AM Best and is less expensive than Farmers. 

Best car insurance companies for Tesla Model S

Nationwide, State Farm and GEICO are the three best insurance companies for the Model S.  

• Tesla Model S insurance rates vary widely, with the cheapest average annual policy coming in at $2,678 and the most expensive policy topping $8,000.
• Allstate’s high rate is an outlier for the Model S, more than $2,000 above the next most expensive company.

Here’s our breakdown of the top car insurance companies for a Tesla Model Y:

1. Nationwide is our #1 insurance company for the Model S. It has the lowest NAIC complaint ratio, the cheapest policy premiums, and ties for the highest survey score.

2. State Farm comes in second, tying for the highest AM Best rating and survey score. It also boasts a better-than-expected complaint ratio for a company with its market share. 

3. GEICO boasts the second-lowest NAIC complaint ratio and ties with State Farm for the highest AM Best rating. Its average annual premium is slightly above the average for companies in our rating, at $5,228. 

4. Progressive has a low complaint ratio and premiums, along with a consumer survey score less than a tenth of a point below first-place Nationwide. Its premiums are also among our top three cheapest for the Model S. 

5. Farmers has a slightly better consumer survey score than Progressive and a low complaint ratio, but the second-highest rates among all the ranked companies.

6. Allstate has a Superior AM Best credit rating, but also has the highest premiums in our rating by over $2,550 annually. Its 1.1 complaint ratio is also slightly above what is expected for a company with its market share. 

Best car insurance companies for Tesla Model X

The best insurance companies for the Model X are State Farm, Progressive, and Nationwide. 

• On average, the Model X is the most expensive of all Tesla models to insure.
• The cheapest rate among the companies ranked is State Farm at $3,057, with rates rising over $6,000.

Here’s our breakdown of the top car insurance companies for a Tesla Model X:

1. State Farm takes our No. 1 spot for the best insurance company for the Model X, with a total score of 4.68. It has the highest consumer survey score and the lowest average premiums of the companies in our rating.

2. Progressive has the second-cheapest average annual premium of the companies in our rating, as well as a Superior AM Best credit rating, and a low NAIC complaint ratio.

3. Nationwide has the lowest complaint ratio, below-average premiums, and ties for the best consumer survey score. It has a slightly lower but still “Excellent” AM Best rating.

4. GEICO has best-possible AM Best score and a low complaint ratio. However, above-average annual premiums lowered its overall score.

5. Farmers has a slightly higher complaint ratio and scored slightly better than second-place Progressive in our consumer survey. Its annual premiums are less costly than GEICO’s, but only by approximately $5 a year.

6. Allstate has the highest average annual premium at $6,163 for the Model X, almost $800 more than the next highest and more than double the price of the cheapest company in the rating, State Farm. However, it has Superior credit rating from AM Best and a solid survey score.

Average Tesla insurance cost by model

Teslas are typically more expensive to insure than the average vehicle. The average cost of full coverage car insurance nationwide is $2,513, while the average cost of insurance for a Tesla is $3,466.

That breaks down by model as follows:

• Tesla Model 3. With an average insurance rate of $3,500, the Model 3 is Tesla’s most affordable model, and lacks some of the luxury features and amenities of the S and X; keeping insurance costs lower.
• Tesla Model Y. With an average annual rate of $3,529, The Model Y costs about $63 more a year to insure than the Model 3.
• Tesla Model S. The average premium of $400 per month or $4,805 annually for the Model S is significantly higher than the Model 3 and the Model Y.
• Tesla Model X. The Model X is both the most expensive to purchase and the most expensive, on average, to insure. It costs $423 per month or  $5,074 annually. This makes it $134 per month and $1,608 per year more expensive than the Model 3.

Both the Model S and X are pitched towards the luxury car market, with higher-end finishes and features, which makes them more expensive to repair or replace if something happens, and that is reflected in the insurance cost.

Methodology

We partnered with Quadrant Information Services to field rates for the Tesla Model 3, Y, S, and X across all 50 states and Washington, D.C.

Unless otherwise indicated, averages are based on our full coverage data set. This data set is based on:

• Bodily injury liability of $100,000 per person and $300,000 per incident
• Property damage liability of $100,000 per incident
• Comprehensive and collision deductibles of $500
• 40-year-old driver
• Good credit
• A clean driving record
• 12-mile commute, 10,000 annual mileage

The Insurance.com score is based on our annual survey of insurance customers as well as third-party ratings from the NAIC and AM Best.

Learn more about our data and methodology.

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