Are Tesla Model 3s Expensive to Insure? [Comprehensive Guide]

Average auto insurance rates for a Tesla Model 3 cost $1,802 a year, or around $150 a month. On average, Tesla Model 3 comprehensive insurance coverage costs $439, collision coverage costs $641, and liability coverage costs $508.

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Sara Routhier, Managing Editor of Features and Outreach, has professional experience as an educator, SEO specialist, and content marketer. She has over five years of experience in the insurance industry. As a researcher, data nerd, writer, and editor she strives to curate educational, enlightening articles that provide you with the must-know facts and best-kept secrets within the overwhelming worl...

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Cynthia Lanctot is an insurance professional with ten years of industry experience. Cynthia is licensed in several states, and holds an associate in claims law, as well as a bachelor’s degree in English. Cynthia’s experience includes the New England and Northeast states. She currently works as a liability claims professional and an occasional online contributor.

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Reviewed by Cynthia Lanctot
Licensed Agent

UPDATED: Oct 27, 2020

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Key takeaways:

  • Full coverage costs around $1,802 a year or $150 each month
  • A liability-only policy costs around $722 a year or $60 each month
  • Highest rates are for teenage drivers at around $6,586 a year or $549 each month
  • Good drivers can save as much as $743 a year by earning policy discounts
  • Tesla Model 3 insurance costs around $283 more per year than the average vehicle

Tesla Model 3 insurance rates can be expensive if drivers don’t take advantage of savings. Tesla Model 3 insurance costs around $283 more per year than the average vehicle. Our guide dissects insurance rates for the Tesla Model 3 and offers saving advice, so read on.

You can start comparing quotes for Tesla Model 3 car insurance rates from some of the best car insurance companies by using our free online tool now.

Tesla Model 3 Insurance Cost

The average Tesla Model 3 auto insurance costs are $1,802 a year or $150 a month.

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Are Tesla Model 3s Expensive to Insure?

The chart below details how Tesla Model 3 insurance rates compare to other electric luxury sedans like the Tesla Model S.

Vehicle Comprehensive Collision Liability Total
Tesla Model 3 $444 $906 $316 $1,802
Tesla Model S $582 $1186 $316 $2,220
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However, there are a few things you can do to find the cheapest Tesla insurance rates online.

What Impacts the Cost of Tesla Model 3 Insurance?

The Tesla Model 3 trim and model you choose can impact the total price you will pay for Tesla Model 3 insurance coverage.

Age of the Vehicle

The average Tesla Model 3 car insurance rates are higher for newer models. For example, car insurance for a 2020 Tesla Model 3 costs $1,802, while a 2018 Tesla Model 3 insurance costs are $1,744, a difference of $58.

Model Year Comprehensive Collision Liability Total
2020 Tesla Model 3 $444 $906 $316 $1,802
2019 Tesla Model 3 $424 $870 $332 $1,762
2018 Tesla Model 3 $406 $864 $338 $1,744
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Driver Age

The driver age can have a significant effect on the cost of Tesla Model 3 car insurance. For example, a 20-year-old driver could pay around $184 more each month for their Tesla Model 3 car insurance than a 30-year-old driver.

Driver Location

Where you live can have a large impact on Tesla Model 3 insurance rates. For example, drivers in Houston may pay $1,328 a year more than drivers in Columbus.

Your Driving Record

Your driving record can have an impact on the cost of Tesla Model 3 car insurance. Teens and drivers in their 20’s see the highest jump in their Tesla Model 3 car insurance rates with violations on their driving record.

Tesla Model 3 Safety Ratings

The Tesla Model 3’s safety ratings will affect your Tesla Model 3 auto insurance rates. See the chart below:

Test Type Rating
Small overlap front: driver-side Good
Small overlap front: passenger-side Good
Moderate overlap front Good
Side Good
Roof strength Good
Head restraints and seats Good
Source: Insurance Institute for Highway Safety
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Tesla Model 3 Crash Test Ratings

Good Tesla Model 3 crash test ratings can lower your Tesla Model 3 auto insurance rates. See Tesla Model 3 crash test results below:

Vehicle Tested Overall Frontal Side Rollover
2020 Tesla Model 3 4 DR RWD 5 stars 5 stars 5 stars 5 stars
2020 Tesla Model 3 4 DR AWD 5 stars 5 stars 5 stars 5 stars
2019 Tesla Model 3 4 DR RWD 5 stars 5 stars 5 stars 5 stars
2019 Tesla Model 3 4 DR AWD 5 stars 5 stars 5 stars 5 stars
2018 Tesla Model 3 4 DR RWD 5 stars 5 stars 5 stars 5 stars
2018 Tesla Model 3 4 DR AWD N/R N/R 5 stars 5 stars
2017 Tesla Model 3 DR RWD N/R N/R N/R N/R
1-5 Star Rating Scale, N/R = No Rating | Source: National Highway Traffic Safety Administration
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Tesla Model 3 Safety Features

The Tesla Model 3 safety features play a vital role in keeping passengers safe in crashes, but they can also help lower your Tesla Model 3 auto insurance rates. The Tesla Model 3’s safety features include:

  • Driver Air Bag
  • Passenger Air Bag
  • Front Head Air Bag
  • Rear Head Air Bag
  • Front Side Air Bag
  • 4-Wheel ABS
  • 4-Wheel Disc Brakes
  • Brake Assist
  • Electronic Stability Control
  • Daytime Running Lights
  • Child Safety Locks
  • Traction Control
  • Blind Spot Monitor
  • Auto-Leveling Headlights
  • Lane Departure Warning
  • Lane Keeping Assist
  • Cross-Traffic Alert

Tesla Model 3 Finance and Insurance Cost

If you are financing a Tesla Model 3, most lenders will require your carry higher Tesla Model 3 coverage options including comprehensive coverage, so be sure to shop around and compare Tesla Model 3 auto insurance quotes from the best auto insurance companies using our FREE tool below.

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Ways to Save on Tesla Model 3 Insurance

If you want to reduce the cost of your Tesla Model 3 insurance rates, follow these tips below:

  • Choose a Tesla Model 3 with Cheaper Repair Costs
  • Understand the Different Types of Auto Insurance for Your Tesla Model 3
  • Bundle Your Tesla Model 3 Auto Insurance with Home Insurance
  • Tell Your Insurer About Different Drivers or Uses for Your Tesla Model 3
  • Choose Automatic Payments or EFT for Your Tesla Model 3 Insurance Policy

Top Tesla Model 3 Insurance Companies

Several top car insurance companies offer competitive rates for the Tesla Model 3 rates based on factors like discounts for safety features. Take a look at this list of top car insurance companies that are popular with Tesla Model 3 drivers organized by market share.

Rank Company Volume Market Share
1 State Farm $65,615,190 9.3%
2 GEICO $46,106,971 6.6%
3 Progressive $39,222,879 5.6%
4 Liberty Mutual $35,600,051 5.1%
5 Allstate $35,025,903 5.0%
6 Travelers $28,016,966 4.0%
7 USAA $23,483,080 3.3%
8 Chubb $23,388,385 3.3%
9 Farmers $20,643,559 2.9%
10 Nationwide $18,442,145 2.6%
Source: Insurance Information Institute
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Compare Free Tesla Model 3 Insurance Quotes Online

You can start comparing quotes for Tesla Model 3 car insurance rates from some of the best car insurance companies by using our free online tool now.

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