How much does Tesla Model 3 insurance cost?
The average annual cost of Tesla Model 3 car insurance with full coverage is $3,466. If you choose liability-only coverage, the average annual cost is $1,173.
Refer to the table below to compare the costs. The coverage amounts show typical limit amounts of $100,000 of bodily injury per person, $300,000 for total bodily injury per accident and $100,000 for property damage with $500 deductibles. You can increase these limits, but expect to pay more. Increasing your deductibleThe deductible is the amount you pay out of pocket for a covered loss when you file a claim. can lower your premiums.
| Tesla Model | Liability only (100/300/100)* | Full coverage (100/300/100 with a $500 deductible) |
|---|---|---|
| Model 3 | $1,173 | $3,466 |
*$100,000 bodily per person, $300,000 total bodily injury per accident, $100,000 property damage
Tesla Model 3 insurance cost by company
Take a look at the table below to see what different insurance companies charge for the different types of Model 3s.
Nationwide has the best price for all three trim levels: Model 3 Long Range RWD at $2,303 per year, Long Range AWD at $2,496 and the Performance model at $2,716 per year.
Farmers is the most expensive choice for all models, with average annual costs of: $4,414 (Long Range RWD), $4,581 (Long Range AWD) and $5,174 (Performance).
These are average costs, and your individual premiums will depend on factors like your driving record, your ZIP code and even your credit score. That’s why shopping around is key.
| Model | Model Type | Company | Average Annual Premium | Monthly Premium |
|---|---|---|---|---|
| Model 3 | Long Range RWD | Allstate | $4,015 | $335 |
| Model 3 | Long Range RWD | Farmers | $4,414 | $368 |
| Model 3 | Long Range RWD | GEICO | $3,344 | $279 |
| Model 3 | Long Range RWD | Nationwide | $2,303 | $192 |
| Model 3 | Long Range RWD | Progressive | $3,567 | $297 |
| Model 3 | Long Range RWD | State Farm | $2,491 | $208 |
| Model 3 | Long Range AWD | Allstate | $3,944 | $329 |
| Model 3 | Long Range AWD | Farmers | $4,581 | $382 |
| Model 3 | Long Range AWD | GEICO | $3,263 | $272 |
| Model 3 | Long Range AWD | Nationwide | $2,496 | $208 |
| Model 3 | Long Range AWD | Progressive | $3,740 | $312 |
| Model 3 | Long Range AWD | State Farm | $2,744 | $229 |
| Model 3 | Performance | Allstate | $4,130 | $344 |
| Model 3 | Performance | Farmers | $5,174 | $431 |
| Model 3 | Performance | GEICO | $3,471 | $289 |
| Model 3 | Performance | Nationwide | $2,716 | $226 |
| Model 3 | Performance | Progressive | $3,740 | $312 |
| Model 3 | Performance | State Farm | $2,790 | $233 |
Tesla Model 3 insurance cost by state
At $5,718, Louisiana has the highest annual rates for a Tesla Model 3. That’s mainly due to Louisiana’s overall high cost of car insurance,
At $3,059 per year, Hawaii is the most affordable state to insure a Tesla Model 3.
Factors about your location that affect car insurance rates include weather, crime rates and accident frequency.
| State | Model 3 | Monthly premiums |
|---|---|---|
| Alaska | $3,384 | $282 |
| Alabama | $3,406 | $284 |
| Arkansas | $4,174 | $348 |
| Arizona | $3,241 | $270 |
| California | $4,241 | $353 |
| Colorado | $4,206 | $351 |
| Connecticut | $3,803 | $317 |
| Washington, D.C. | $3,913 | $326 |
| Delaware | $3,355 | $280 |
| Florida | $3,394 | $283 |
| Georgia | $4,087 | $341 |
| Hawaii | $2,059 | $172 |
| Iowa | $3,124 | $260 |
| Idaho | $2,187 | $182 |
| Illinois | $3,338 | $278 |
| Indiana | $3,125 | $260 |
| Kansas | $3,470 | $289 |
| Kentucky | $4,065 | $339 |
| Louisiana | $5,718 | $477 |
| Massachusetts | $3,567 | $297 |
| Maryland | $3,547 | $296 |
| Maine | $2,641 | $220 |
| Michigan | $4,790 | $399 |
| Minnesota | $3,773 | $314 |
| Missouri | $4,056 | $338 |
| Mississippi | $4,011 | $334 |
| Montana | $3,858 | $322 |
| North Carolina | $2,526 | $211 |
| North Dakota | $2,898 | $242 |
| Nebraska | $3,684 | $307 |
| New Hampshire | $2,701 | $225 |
| New Jersey | $3,674 | $306 |
| New Mexico | $3,418 | $285 |
| Nevada | $3,243 | $270 |
| New York | $2,324 | $194 |
| Ohio | $2,447 | $204 |
| Oklahoma | $3,760 | $313 |
| Oregon | $3,022 | $252 |
| Pennsylvania | $3,592 | $299 |
| Rhode Island | $4,336 | $361 |
| South Carolina | $3,065 | $255 |
| South Dakota | $4,204 | $350 |
| Tennessee | $3,882 | $324 |
| Texas | $4,705 | $392 |
| Utah | $2,753 | $229 |
| Virginia | $2,423 | $202 |
| Vermont | $2,888 | $241 |
| Washington | $3,152 | $263 |
| Wisconsin | $2,781 | $232 |
| West Virginia | $3,069 | $256 |
| Wyoming | $3,541 | $295 |
Tesla Model 3 insurance cost by driver age
Rates for a teen driver on a Model 3 range from $8,793 a year with Allstate and up to a whopping $24,192 with Farmers. Teens are the most expensive age group to insure for any vehicle, due to their risky driving behaviors like distracted driving and speeding.
Rates for an adult driver range from $2,505 with Nationwide and on the high side at $4,723 with Farmers.
Compare rates for a Model 3 by company and age group below.
| Model | Age bracket | Insurance company | Average monthly premium | Average annual premium |
|---|---|---|---|---|
| Model 3 | Teen | Nationwide | $733 | $8,793 |
| Model 3 | Teen | State Farm | $806 | $9,670 |
| Model 3 | Teen | GEICO | $928 | $11,142 |
| Model 3 | Teen | Allstate | $1,134 | $13,612 |
| Model 3 | Teen | Progressive | $1,348 | $16,172 |
| Model 3 | Teen | Farmers | $2,016 | $24,192 |
| Model 3 | Adult | Nationwide | $209 | $2,505 |
| Model 3 | Adult | State Farm | $223 | $2,675 |
| Model 3 | Adult | GEICO | $280 | $3,359 |
| Model 3 | Adult | Progressive | $307 | $3,683 |
| Model 3 | Adult | Allstate | $336 | $4,029 |
| Model 3 | Adult | Farmers | $394 | $4,723 |
Tesla Model 3 insurance coverage options
Your Tesla Model 3 requires the same coverage as any other car. That includes:
- Liability. Covers injuries to other people and damage to their property; your state will determine the minimum amount you can carry
- Collision. Covers damage to your own vehicle caused by an accident on the road with another vehicle or object; required if you have a loan or lease
- Comprehensive. Covers damage to your vehicle caused by non-accident-related things like storms, vandalism and theft; required if you have a loan or lease
- Uninsured/underinsured motorist. Covers injuries and damage if you’re in an accident with someone who doesn’t have insurance; required by law in some states
- Personal injury protection. PIP covers your injuries regardless of who is at fault; required by law in some states
- Rental reimbursement. Covers the cost of a rental car while your Tesla is being repaired after a covered loss
- Roadside assistance. Covers towing and other roadside assistance needs, like jumping a dead battery
You may also want to consider gap insurance if you haven’t put down a large down payment on your car.
Tesla offers its own insurance program that provides all of the traditional coverages; it’s currently only available in 12 states: Arizona, California, Colorado, Illinois, Maryland, Minnesota, Nevada, Ohio, Oregon, Texas, Utah and Virginia.
Factors that affect Tesla Model 3 insurance costs
Tesla insurance is impacted by the higher value of the vehicles and the high cost of parts and repairs.
“Tesla Insurance generally runs higher for insurance than other vehicles due to a variety of factors,” says Lauren McKenzie of A Plus Insurance in Liberty, South Carolina. “One being the value of the vehicle and cost [of] parts for Teslas is relatively expensive, making the cost of insurance more.”
Like most modern cars, Teslas are equipped with new technology, which is expensive to repair, and have even more advanced features that add to the cost.
“Tesla's advanced driver assistant features, such as autopilot, sensors and cameras, likely need calibration, repair or replacement after an accident, which adds to the cost,” McKenzie says.
It’s also affected by all of the standard factors, like:
- Location
- Driving record
- Age and gender
- Credit history
- Safety features and theft risk
“Lastly, some Tesla models show high theft rates and vandalism, which insurers also take into account when determining the premiumThe payment required for an insurance policy to remain in force. Auto insurance premiums are quoted for either 6-month or annual policy periods.,” McKenzie says.
Tesla Model 3 vs. other Tesla models
The Model 3 costs an average of $3,466 a year to insure, which is $1,608 less per year than the Model S, the most expensive model.
Take a look at the table below to see how the Model 3 compares to other Tesla models.
| Model | 2020 | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|---|
| Model 3 | $2,290 | $2,250 | $2,454 | $3,397 | $3,466 |
| Model S | $3,584 | $3,929 | $3,809 | $4,284 | $5,074 |
| Model X | $3,586 | $3,637 | $3,335 | $4,025 | $4,805 |
| Model Y | $2,710 | $2,210 | $2,377 | $3,115 | $3,529 |
How to lower Tesla Model 3 Insurance cost
To lower the cost of your Tesla Model Y insurance, try these tactics:
- Shop around. Comparing rates from multiple companies is the best way to save on car insurance for any vehicle. “For Tesla owners, I would recommend getting quotes with at least 5, because it is harder to find affordable insurance than for a standard vehicle,” McKenzie says.
- Ask about all available discounts. This includes asking about green vehicle discounts and considering a usage-based program that rewards you for safe driving. Tesla’s insurance program is usage-based, and there is also a discount based on the use of self-driving features. “Look into all additional discounts the insurance provider offers, such as bundling, paying the premium in full, shopping early (advanced quote discount), or completing any safety driving courses,” McKenzie says.
- Increase your deductible. The higher your deductible, the cheaper your car insurance will be. Choose the highest deductible you can afford.
- Bundle your coverage. When you buy home and auto insurance together, you’ll get a discount on both. The Tesla Insurance program doesn’t offer bundling, unfortunately.
Methodology
We partnered with Quadrant Information Services to field average car insurance rates for all Tesla models in 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
Learn more about our data and methodology.
FAQ: Tesla Model 3 insurance
Is Tesla Model 3 insurance cheaper than other Teslas?
Yes, the Model 3 is the least expensive to insure of all the Tesla models. It’s $1,608 cheaper than the Model S, which is the most expensive.
How much is Tesla Model 3 insurance a month?
Tesla Model 3 insurance costs, on average, between $192 and $431 per month, depending on your location, the company you choose, and the exact model you have.
Is Tesla’s in-house insurance worth it for Model 3 owners?
It can be. Be sure to shop around with multiple carriers because it will depend greatly on your personal driving record, ZIP code and even credit score. You may be able to get a better deal directly through Tesla, or you may find a better deal through a national carrierAn insurance carrier is the company that provides your car insurance policy and pays claims. like Allstate or State Farm.
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