Cheapest Tesla Model S Insurance: Top 5 Companies by Price (2026)

USAA, Nationwide and American Family offer the cheapest Tesla Model S insurance, with annual full coverage premiums starting at $2,390.

Find out if you're overpaying for Tesla coverage below.

Written by Mark Fitzpatrick

Updated: May 11, 2026

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Key Takeaways

USAA offers the cheapest Tesla Model S insurance at $447 per year for minimum coverage and $2,390 annually for full coverage.

Nationwide ranks as the cheapest non-military option for full coverage at $3,028 per year, followed by American Family at $3,060 and Auto-Owners at $3,116.

Full coverage rates for the 2024 Tesla Model S average $4,350 across all national providers we analyzed, the highest of any Tesla model in our dataset. Its luxury vehicle pricing and high parts costs push premiums above other trims.

Cheapest Tesla Model S Insurance Companies

USAA, Nationwide, American Family, Auto-Owners and National General offer the cheapest Tesla Model S insurance among national providers, based on our analysis of rates across all 50 states for a 40-year-old driver with a clean record.

USAA ranks first with an average full coverage premium of $2,390 per year, 45% below the Model S full coverage average of $4,350. USAA coverage is limited to military members, veterans and their families. For those who don't qualify, Nationwide follows at $3,028 per year and American Family at $3,060.

Top 5 Cheapest Tesla Model S Insurance Companies

This table ranks the five cheapest Tesla Model S insurers by average full coverage premium. Minimum coverage rates reflect each state's legal liability requirements.

Rank	Provider	Min Coverage Avg Annual Premium	Full Coverage Avg Annual Premium
1	USAA	$447	$2,390
2	Nationwide	$891	$3,028
3	American Family	$1,076	$3,060
4	Auto-Owners	$638	$3,116
5	National General	$633	$3,243

Top Tesla Model S Insurance Company Highlights

The five cheapest Tesla Model S insurers each serve different driver profiles. USAA offers the lowest full coverage rate at $2,390 per year but is limited to military members, veterans and their families. Nationwide and American Family are the top options for most drivers, at $3,028 and $3,060 per year. Auto-Owners and National General are the best fits for drivers focused on minimum coverage costs.

Cheapest for Military Members

USAA

USAA offers the cheapest Tesla Model S insurance at $447 per year for minimum coverage and $2,390 for full coverage. Its full coverage rate is $638 below the next-cheapest provider and 45% below the Model S national average of $4,350. USAA covers Tesla vehicles through standard auto policies without Model S-specific programs. Eligibility is restricted to current and former military service members, their spouses and their children.

Cheapest for Most Tesla Owners

Nationwide

Nationwide ranks as the cheapest widely available insurer for the Tesla Model S, at $891 for minimum coverage and $3,028 for full coverage, 30% below the national average for this model. The insurer operates in 47 states and offers a SmartRide usage-based program that can reduce premiums by up to 40% for low-mileage or safe drivers.

American Family Insurance

American Family charges $1,076 per year for minimum coverage and $3,060 for full coverage on the Tesla Model S, ranking third overall and 30% below the national average. The insurer writes policies in 19 states and offers a KnowYourDrive usage-based discount program. Drivers in its service area who qualify for KnowYourDrive can reduce that $3,060 rate further based on actual driving behavior.

Auto-Owners

Auto-Owners averages $638 per year for minimum coverage and $3,116 for full coverage on the Tesla Model S, ranking fourth for full coverage and second for minimum coverage among non-USAA providers. The insurer operates through independent agents in 26 states, making it unavailable in roughly half the country. Drivers in its service area who carry only minimum coverage pay less than any non-USAA option except Nationwide.

National General

National General rounds out the top five at $633 a year for minimum coverage and $3,243 for full coverage. As part of the Allstate group, National General writes policies in all 50 states, making it the most broadly accessible option in the top five. Its minimum coverage rate of $633 is the lowest among non-USAA insurers in the top five, which benefits Model S owners in high-cost states who want to minimize liability coverage expenses.

Cheapest Tesla Model S Insurance by Model Year

MoneyGeek's analysis covers the 2024 Tesla Model S, as this generation replaced prior long-range configurations. Full coverage rates for the 2024 Model S average $4,350 across all providers. The all-aluminum body and large battery pack make the Model S one of the costlier Teslas to insure, sitting above the Model 3 and Model Y in average full coverage premiums.

Cheapest 2024 Tesla Model S Insurance

USAA offers the cheapest 2024 Tesla Model S insurance at $447 per year for minimum coverage and $2,390 for full coverage. National General and Auto-Owners follow USAA for minimum coverage, while Nationwide, American Family and Auto-Owners rank second through fourth for full coverage. The 2024 Model S commands a premium relative to the Model Y and Model 3 due to its higher MSRP and more expensive aluminum body components.

Rank	Cheapest for Min Coverage	Avg Annual Premium	Cheapest for Full Coverage	Avg Annual Premium
1	USAA	$447	USAA	$2,390
2	National General	$633	Nationwide	$3,028
3	Auto-Owners	$638	American Family	$3,060
4	GEICO	$655	Auto-Owners	$3,116
5	Travelers	$685	National General	$3,243

Why Tesla Model S Insurance Is More Expensive

Tesla Model S insurance costs more than coverage for an average sedan because of its luxury pricing, all-aluminum construction and expensive powertrain components. The Model S body requires certified technicians and fabrication equipment that most standard shops don't have, so structural repairs route exclusively to Tesla-approved centers with higher labor rates and longer turnaround times.

The battery pack alone costs $15,000 to $25,000 to replace, the largest single repair exposure insurers account for when pricing full coverage. The Model S also carries a high MSRP that keeps replacement cost elevated for years, pushing full coverage premiums above those for mass-market EVs.

Driver-assistance sensor calibration after body repairs adds several hundred dollars to most collision claims.

How to Lower Your Tesla Model S Insurance Costs

The Model S full coverage average of $4,350 means every percentage saved translates to a larger dollar reduction than on lower-priced vehicles. A 20% discount saves $870 on a Model S versus roughly $300 on a typical sedan. Shopping multiple insurers, raising your deductible and stacking available discounts produce the biggest reductions on a Model S premium.

Compare Quotes From at Least Three Insurers

The gap between the cheapest and most expensive Model S insurer in MoneyGeek's analysis is $4,103 per year, with USAA at $2,390 and Farmers at $6,493. Even excluding USAA, the spread among widely available insurers exceeds $2,000 annually. Request quotes from Nationwide, American Family, Auto-Owners and National General at minimum, and review the cheapest car insurance companies for a broader comparison.

Raise Your Deductible

Raise your collision and comprehensive deductible from $500 to $1,000 to cut full coverage premiums by 15% to 25%, or $653 to $1,088 per year on a $4,350 full coverage average. Model S repair costs regularly exceed $1,000, so keep that amount in reserve before adjusting your deductible.

Ask About Tesla-Specific and Standard Discounts

Tesla Model S owners qualify for anti-theft discounts of 5% to 25% because the vehicle includes GPS tracking and over-the-air security updates as built-in features. Multi-policy bundling saves 10% to 25%. Usage-based programs like Nationwide's SmartRide or American Family's KnowYourDrive can reduce premiums by up to 40% for drivers with low annual mileage or clean driving records.

Frequently Asked Questions About Tesla Model S Insurance

How much does Tesla Model S insurance cost?

Tesla Model S insurance costs approximately $730 per year for minimum coverage and $4,350 for full coverage on average across national providers, based on MoneyGeek's analysis. Rates range from $2,390 at USAA to $6,493 at Farmers for full coverage. Actual premiums depend on location, driving record, credit history and selected coverage levels.

Which company has the cheapest Tesla Model S insurance?

USAA offers the cheapest Tesla Model S insurance at $447 per year for minimum coverage and $2,390 for full coverage. Nationwide ranks second at $3,028 for full coverage, followed by American Family at $3,060. Drivers without USAA eligibility will find the lowest widely available rate at Nationwide.

Is the Tesla Model S the most expensive Tesla to insure?

The Tesla Model S ranks among the most expensive Tesla models to insure, with full coverage averaging $4,350 per year. The Model Y averages $3,243 and the Model 3 averages $2,952, based on MoneyGeek's analysis. The higher MSRP, aluminum body construction and larger battery pack push Model S premiums above other Tesla models.

Does Tesla Insurance offer competitive Model S rates?

Tesla Insurance prices Model S coverage using real-time driving data rather than traditional rating factors, which can produce lower premiums for drivers with a high Safety Score. Hard braking, sharp turns and unsafe following distances all pull the score down and push premiums up. Availability is limited to select states, including Arizona, California, Colorado, Illinois, Ohio, Oregon, Tennessee, Texas and Virginia. Drivers outside those states will need to rely on national insurers for coverage.

What discounts can Model S owners use to reduce insurance costs?

Model S owners can reduce insurance costs through anti-theft discounts of 5% to 25% enabled by the vehicle's standard GPS tracking, multi-policy bundling discounts of 10% to 25%, and usage-based programs that reward low-mileage or safe-driving behavior. Nationwide's SmartRide and American Family's KnowYourDrive both offer up to 40% savings for qualifying drivers.

What coverage does a Tesla Model S need?

A Tesla Model S requires at least the liability coverage mandated by your state, plus comprehensive and collision coverage if the vehicle is financed or leased. Most lenders require full coverage with a deductible of $1,000 or lower. Model S owners who own the vehicle outright can drop collision and comprehensive, but doing so exposes them to repair costs that can exceed $20,000 for damage involving the battery pack or aluminum structural components.

MoneyGeek analyzed 2024 Tesla Model S insurance rates from 16 national providers across all 50 states and Washington, D.C. Quotes are based on a 40-year-old driver with a clean driving record and good credit. Minimum coverage rates meet each state's legal liability requirements. Full coverage rates use 100/300/100 liability limits with comprehensive and collision at a $1,000 deductible. Provider averages are the mean annual premium across all available ZIP codes in MoneyGeek's rate dataset. Rankings are ordered by average full coverage premium because full coverage is the most common purchase among Tesla Model S owners.

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About Mark Fitzpatrick

Mark Fitzpatrick, a Licensed Property and Casualty (P&C) Insurance Producer in Connecticut, is MoneyGeek's resident insurance expert. He has spent nearly a decade analyzing the market, first at LendingTree and now at MoneyGeek, where he has produced original research on hundreds of carriers and millions of rates across auto, home, renters, health and life insurance.

He writes about economics and insurance on MoneyGeek so people can make coverage decisions with confidence. His insurance insights have been featured in The Washington Post, The New York Times and NPR, among other media outlets.

Like all MoneyGeek analysts, he draws on independent cost and consumer experience data, and no insurance company partnership influences his recommendations.

Fitzpatrick earned his degrees from Johns Hopkins University (M.A. Economics and International Relations) and Boston College (B.A.). He began his career in financial risk management at State Street. He's also a five-time Jeopardy champion!

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