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Compare the Cost of Tesla Model 3 Insurance by Model Year and Company


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Updated: Oct 26, 2023
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Tesla Model 3 insurance rates will vary depending on the driver's age. Average annual costs for full coverage on a 2017 model are $8,704 for a 16-year-old but only $1,894 for a 40-year-old. The yearly price for a 2022 model is $9,582 for a 16-year-old and $2,086 for a 40-year-old.

MoneyGeek compared the best Tesla Model 3 insurance companies based on their total scores in affordability, customer service and claims fulfillment.

We also included detailed pricing information for some of the Tesla Model’s unique variants, including Tesla Model X, Tesla Model Y and Tesla Model S.

MoneyGeek Logo IconCar Insurance CostsTesla Model 3
2023

Table of Contents

Average Cost and Cheapest Companies for Insuring a Tesla Model 3

Insuring a Tesla Model 3 costs $2,117 a year on average, though this can vary by insurer. State Farm offers the most affordable average rates at $1,381 per year for a full coverage policy, while Farmers has the most expensive at $2,565.

The cheapest minimum coverage policy for a Tesla Model 3 is from State Farm and costs an average of $464 per year, while the most expensive is from Progressive, which charges $751 annually. To get the most affordable car insurance for your Tesla Model 3, shop around and get several quotes.

Company
Average Annual Premium

State Farm

$464

Allstate

$562

GEICO

$570

Travelers

$584

Nationwide

$655

Farmers

$739

Progressive

$751

State Farm

$1,228

State Farm

$1,381

Travelers

$1,443

Nationwide

$1,589

Travelers

$1,667

Allstate

$1,674

GEICO

$1,823

GEICO

$2,219

Progressive

$2,399

Nationwide

$2,443

Allstate

$2,553

Farmers

$2,565

Farmers

$2,765

Progressive

$3,433

State Farm

$3,574

Travelers

$4,523

Nationwide

$5,471

GEICO

$6,970

Allstate

$7,798

Farmers

$8,433

Progressive

$11,850

Is a Tesla Model 3 Expensive to Insure?

Insurance companies calculate rates for different car models based on several factors, including repair costs, theft rates and horsepower. Because of the higher cost of repairs, electric cars cost more to insure than conventional vehicles. This extra expense makes insuring a Tesla Model 3 more expensive than other car models.

Best Companies for Insuring a Tesla Model 3

Choosing the least expensive Tesla Model 3 insurance policy doesn't necessarily mean choosing the best option. When comparing auto insurance companies, looking into how they handle customer service and claims is essential. With these factors in mind, the best auto insurance providers for the Tesla Model 3 are as follows:

  • State Farm: MoneyGeek score 90 out of 100 ($1,381 per year)
  • Travelers: MoneyGeek score 88 out of 100 ($1,667 per year)

State Farm is the most affordable option compared to other major insurance providers. The company also scores highly for its exceptional customer service.

MoneyGeek Top Pick: State Farm

State Farm

pros

Offers the most affordable policy for your Tesla Model 3

Excellent customer service rating

cons

Poor claims management rating

Doesn’t offer Deductible Modification or New Car Replacement

COMPANY HIGHLIGHTS

If you're shopping for Tesla Model 3 car insurance, we recommend State Farm above all other companies. The company’s rates are unbeatable, and it provides excellent customer service. Although it doesn’t offer many unique coverage options, most drivers can still benefit from its valuable add-ons.

If your vehicle breaks down or you get locked out, Roadside Assistance will pay for up to an hour of repairs or locksmith assistance. A tow truck will help you get off the road or tow you to the nearest service station.

If you are involved in an accident while operating a rental vehicle, Rental Car and Travel Reimbursement insurance will cover the costs of damages up to the policy's limits. All travel costs, including airfare, accommodations and meals, are reimbursable up to the $500 deductible.

Read MoneyGeek's State Farm Auto Insurance Review

MoneyGeek Runner-Up: Travelers

Travelers

pros

Affordable coverage premiums for your Tesla Model 3

Excellent customer service rating

Offers Gap Insurance and Accident Forgiveness

cons

Below-average claims handling

No Deductible Modification coverage

COMPANY HIGHLIGHTS

We chose Travelers as the second-best option for insuring your Tesla Model 3 because of its affordability, coverage options and excellent customer service. Policyholders can benefit significantly from this blend of service options. The company also offers a variety of relatively uncommon coverages to consider for protecting your Tesla Model 3.

Gap Insurance protects you from financial loss if a wreck totals your financed or leased vehicle by covering the difference between the car's actual cash value and the remaining loan or lease balance. Accident Forgiveness will prevent a premium increase that would otherwise result from a single at-fault accident within a set period of safe driving.

Roadside Assistance is another service Travelers provides to help you get back on the road after an unexpected breakdown caused by issues like a dead car battery or a flat tire.

Read MoneyGeek's Travelers Auto Insurance Review

Cost of Insuring a Tesla Model 3 by Model Year

The insured vehicle's model year may impact its average auto insurance premium. A 2022 Tesla Model 3 costs an average of $2,086 per year to insure, while a 2017 model only costs $1,894. Due to the higher maintenance cost and the steady decline in value with age, insurance for a brand-new model is typically more costly.

Model Year
Average Annual Premium

2022

$604

2022

$2,086

2021

$599

2021

$2,102

2020

$614

2020

$2,137

2019

$613

2019

$1,928

2018

$606

2018

$2,003

2017

$621

2017

$1,894

The average price of car insurance may vary depending on factors such as the vehicle’s model year and the chosen insurance company. State Farm offers the most affordable full coverage policies for the Tesla Model 3, with rates ranging from an average of $1,233 for the 2017 model year to $1,451 for the 2022 model.

Cost of Insuring a Tesla Model 3 for 16- to 25-Year-Olds

Insuring a Tesla Model 3 with full coverage costs an average of $9,276 per year for a 16-year-old driver but only $2,025 for a 40-year-old. Car insurance for teenagers is far more expensive than rates for drivers in their 30s and 40s. Insurance premiums for teen drivers dramatically decline as they get older before reaching a plateau in their early 20s.

Driver Age
Average Annual Premium

16

$2,921

16

$9,276

17

$7,575

17

$2,374

18

$6,710

18

$2,072

19

$1,424

19

$4,645

20

$1,277

20

$4,230

21

$3,282

21

$962

22

$886

22

$3,037

23

$2,821

23

$818

24

$2,681

24

$773

25

$2,407

25

$700

Adding a teenage driver to a family plan usually costs much less than having them acquire their own policy. State Farm's average annual premium for a full coverage policy on a 2017 Tesla Model 3 with a 16-year-old driver is $3,990, while Progressive charges up to $13,090 for the same plan. These costs are wildly expensive compared to those paid by policyholders in their 40s for equivalent coverage. Teens should join their families' insurance plans and look for the most affordable teen auto insurance options with their parents.

Company
Average Annual Premium

State Farm

$545

State Farm

$598

Allstate

$605

Travelers

$647

State Farm

$653

GEICO

$656

Allstate

$661

GEICO

$693

Allstate

$695

Travelers

$695

GEICO

$728

State Farm

$731

Allstate

$739

Travelers

$743

Nationwide

$785

Allstate

$791

Travelers

$792

State Farm

$795

GEICO

$805

Progressive

$835

Farmers

$855

Travelers

$856

GEICO

$864

Nationwide

$874

State Farm

$920

Nationwide

$938

Farmers

$954

Progressive

$971

Farmers

$979

Allstate

$981

Travelers

$1,016

Farmers

$1,026

Nationwide

$1,033

State Farm

$1,034

Progressive

$1,065

Farmers

$1,118

Allstate

$1,128

Nationwide

$1,139

Travelers

$1,150

GEICO

$1,153

Progressive

$1,204

State Farm

$1,226

GEICO

$1,293

Progressive

$1,325

State Farm

$1,380

Travelers

$1,463

State Farm

$1,569

Nationwide

$1,621

Farmers

$1,622

Allstate

$1,672

Progressive

$1,675

Farmers

$1,733

State Farm

$1,764

Travelers

$1,782

GEICO

$1,798

Nationwide

$1,865

Nationwide

$1,882

Progressive

$1,904

State Farm

$1,971

Travelers

$2,019

State Farm

$2,117

Allstate

$2,127

Nationwide

$2,137

GEICO

$2,170

Travelers

$2,245

Nationwide

$2,272

State Farm

$2,328

Travelers

$2,368

Travelers

$2,400

Nationwide

$2,432

Nationwide

$2,457

State Farm

$2,525

Travelers

$2,560

Nationwide

$2,596

Allstate

$2,639

Nationwide

$2,649

GEICO

$2,670

Farmers

$2,680

Travelers

$2,768

Allstate

$2,797

GEICO

$2,802

Nationwide

$2,846

GEICO

$2,860

Farmers

$2,862

State Farm

$2,886

GEICO

$3,026

Allstate

$3,176

Progressive

$3,191

Farmers

$3,195

State Farm

$3,215

Allstate

$3,343

Travelers

$3,360

GEICO

$3,404

Progressive

$3,415

Farmers

$3,533

Farmers

$3,594

Allstate

$3,610

Progressive

$3,688

GEICO

$3,693

Farmers

$3,717

Nationwide

$3,740

Travelers

$3,755

State Farm

$3,759

Farmers

$3,881

Allstate

$3,921

Farmers

$3,935

Progressive

$4,022

Progressive

$4,077

Progressive

$4,188

State Farm

$4,191

Nationwide

$4,273

Progressive

$4,494

GEICO

$4,684

State Farm

$4,719

Travelers

$4,733

Allstate

$4,839

Progressive

$5,047

GEICO

$5,232

Allstate

$5,316

Farmers

$5,354

Nationwide

$5,478

Travelers

$5,628

Farmers

$5,659

Nationwide

$5,934

Progressive

$6,411

Nationwide

$6,500

GEICO

$6,987

Progressive

$7,115

Travelers

$7,293

Allstate

$7,399

GEICO

$8,350

Allstate

$8,646

Farmers

$8,847

Farmers

$9,389

Allstate

$10,314

GEICO

$10,693

Progressive

$12,910

Farmers

$12,933

Progressive

$14,814

Progressive

$15,280

How Does Location Affect the Cost of Tesla Model 3 Insurance?

Your location may significantly impact your auto insurance premiums more than any other factor combined. If you're from Idaho, you’ll likely get auto insurance for much less than someone in Florida, the most expensive state to buy car insurance. If you own a Tesla Model 3 and want cheaper auto insurance rates, you should get several quotes from the most affordable companies in your area.

State
Cheapest Company
Annual Premium
Monthly Premium

Alabama

Cincinnati Insurance

$201

$17

Alabama

Nationwide

$709

$59

Alaska

State Farm

$699

$58

Alaska

State Farm

$322

$27

Arizona

Root Insurance Company

$682

$57

Arizona

Mercury

$305

$25

Arkansas

State Farm

$232

$19

Arkansas

State Farm

$629

$52

California

AAA California

$1,001

$83

California

GEICO

$419

$35

Colorado

American National P&C

$216

$18

Colorado

American National P&C

$541

$45

Connecticut

GEICO

$319

$27

Connecticut

GEICO

$693

$58

Delaware

State Farm

$881

$73

Delaware

Travelers

$464

$39

District of Columbia

GEICO

$662

$55

District of Columbia

GEICO

$372

$31

District of Columbia

Chubb

$372

$31

Florida

State Farm

$1,058

$88

Florida

GEICO

$485

$40

Georgia

Country Financial

$665

$55

Georgia

Auto-Owners Insurance Co

$311

$26

Hawaii

GEICO

$565

$47

Hawaii

GEICO

$217

$18

Idaho

American National P&C

$299

$25

Idaho

American National P&C

$127

$11

Illinois

Country Financial

$663

$55

Illinois

Mercury

$226

$19

Indiana

American Family

$555

$46

Indiana

Auto-Owners Insurance Co

$228

$19

Iowa

State Farm

$144

$12

Iowa

State Farm

$509

$42

Kansas

Nationwide

$670

$56

Kansas

Nationwide

$221

$18

Kentucky

Nationwide

$790

$66

Kentucky

Cincinnati Insurance

$257

$21

Louisiana

Louisiana Farm Bureau

$484

$40

Louisiana

Louisiana Farm Bureau

$1,048

$87

Maine

Concord Group

$521

$43

Maine

Countryway Insurance

$221

$18

Maryland

Kemper

$538

$45

Maryland

Progressive

$938

$78

Massachusetts

State Farm

$483

$40

Massachusetts

State Farm

$221

$18

Michigan

Travelers

$101

$8

Michigan

GEICO

$898

$75

Minnesota

State Farm

$797

$66

Minnesota

Westfield

$317

$26

Mississippi

Direct General Insurance

$275

$23

Mississippi

Direct General Insurance

$723

$60

Missouri

Nationwide

$909

$76

Missouri

State Farm

$388

$32

Montana

State Farm

$168

$14

Montana

Progressive

$437

$36

Nebraska

American National P&C

$405

$34

Nebraska

American National P&C

$138

$12

Nevada

CSAA

$444

$37

Nevada

CSAA

$940

$78

New Hampshire

State Farm

$540

$45

New Hampshire

State Farm

$247

$21

New Jersey

Plymouth Rock Assurance

$895

$75

New Jersey

GEICO

$428

$36

New Mexico

State Farm

$254

$21

New Mexico

State Farm

$644

$54

New York

Kemper

$781

$65

New York

Kemper

$464

$39

North Carolina

Erie

$630

$52

North Carolina

Nationwide

$242

$20

North Dakota

American Family

$616

$51

North Dakota

Nodak Mutual

$190

$16

Ohio

Nationwide

$485

$40

Ohio

Erie

$176

$15

Oklahoma

State Farm

$662

$55

Oklahoma

State Farm

$215

$18

Oregon

State Farm

$706

$59

Oregon

State Farm

$381

$32

Pennsylvania

Nationwide

$580

$48

Pennsylvania

Erie

$238

$20

Rhode Island

State Farm

$344

$29

Rhode Island

State Farm

$700

$58

South Carolina

American National P&C

$251

$21

South Carolina

American National P&C

$463

$39

South Dakota

Allstate

$746

$62

South Dakota

Farmers Mutual of Nebraska

$207

$17

Tennessee

Auto-Owners Insurance Co

$207

$17

Tennessee

State Farm

$579

$48

Texas

State Farm

$321

$27

Texas

State Farm

$699

$58

Utah

Farmers Union Insurance

$388

$32

Utah

Nationwide

$725

$60

Vermont

State Farm

$198

$17

Vermont

State Farm

$493

$41

Virginia

American Family

$243

$20

Virginia

American Family

$601

$50

Washington

PEMCO

$262

$22

Washington

PEMCO

$534

$44

West Virginia

Erie

$303

$25

West Virginia

Erie

$784

$65

Wisconsin

Erie

$230

$19

Wisconsin

GEICO

$556

$46

Wyoming

GEICO

$176

$15

Wyoming

State Farm

$745

$62

Frequently Asked Questions About Tesla Model 3 Insurance

When shopping for Tesla Model 3 insurance, most customers are concerned about cost and value. We've included some of the most often-asked questions and our answers to assist you in making a more informed choice.

About Mark Fitzpatrick


Mark Fitzpatrick headshot

Mark Fitzpatrick is a senior content director at MoneyGeek with over five years of experience analyzing the insurance market, conducting original research and creating content that can be personalized for every buyer. He has been quoted on insurance topics in several publications, including CNBC, NBC News and Mashable.

Mark earned a master’s degree in Economics and International Relations from Johns Hopkins University and a bachelor’s degree from Boston College. He is passionate about using his economics and insurance knowledge to bring transparency around financial topics and help others feel confident in their money moves.