Gianetta Palmer is a writer, copywriter, and essayist. Her work has appeared in EverydayHealth.com, Healthline, and The Dyrt Magazine. She is the author of Scrunchie-Fried and writes a lot about car insurance in her spare time.

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Joel Ohman is the CEO of a private equity-backed digital media company. He is a CERTIFIED FINANCIAL PLANNER™, author, angel investor, and serial entrepreneur who loves creating new things, whether books or businesses. He has also previously served as the founder and resident CFP® of a national insurance agency, Real Time Health Quotes. He also has an MBA from the University of South Florid...

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Reviewed by Joel Ohman
Founder, CFP®

UPDATED: Jun 17, 2021

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Looking for a new or used Tesla Model 3? And wondering how much it costs to insure by year? We researched average annual insurance costs for each model year and have compiled the results for you below.

Tesla Model 3 insurance facts

  • Average full coverage auto insurance premium: $182/month

  • Most affordable companies: Nationwide ($124/month) & Progressive ($132/month)

  • Model 3 car insurance cost vs. average rate: $216 more expensive than the average vehicle

Explore the pricing information below to find how much it will cost you to insure your Tesla Model 3 by model year and auto insurer.

Free Auto Insurance Comparison

Enter your ZIP code below to view companies that have cheap auto insurance rates.

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Below average Tesla Model 3 insurer costs by state:

Risk factors affecting Tesla Model 3 insurance rates

The make and model of your vehicle, along with the year of manufacture, are the three most important factors in determining your car’s value, which in turn is the main factor in determining your insurance premium. Your own personal driving history, age, marital status, credit scoretype of vehicle, coverage levels, and other personal factors are also important components of your rate.

How to save money on Tesla Model 3 insurance?

Many driver discounts are available to people through most major auto insurance companies, such as

  • Student discounts

  • Safe drivers

  • Senior discounts

With all Tesla models, you can get the following insurance discounts:

  • Passive restraint systems

  • Anti-lock brakes

  • Anti-theft devices

Tesla Automobile Brand

Tesla is the best-selling plug-in and electric car manufacturer with nearly 25% of the electric car market selling to a small higher income group of buyers in the United States with many customers in Arizona, California, Florida, NevadaOregon, and Texas. The target market of Tesla is higher income (above 100K+), but with the lower-priced Model 3, Tesla gains more customers with lower income (50 to 100K). All Tesla automobiles have five-star safety ratings, with the Model 3 consistently getting “Top Safety Pick” and 5-star safety and crash test ratings from the National Highway Traffic Safety Administration (NHTSA). Current Tesla models include the Model 3, S, X, and the Y.

Higher than average Model 3 repair costs equal higher insurance rates

Many consumers are attracted to Tesla automobiles for green technology, safety ratings, and driver-assist technologies, such as the autonomous system AutoPilot, their excellent all-wheel drive (AWD) system, plus the horsepower with the Model S going 0 to 60 in 1.99 seconds. Current automotive parts are sold directly from Tesla and are some of the most expensive repair parts and costs for vehicle owners. Repair parts for ToyotaHonda, and Subaru can be 120 to 284% less expensive. Repairing a Tesla is higher than average since repair parts are more costly and not as available as popular vehicles. For this reason, many Teslas are going to have higher than average insurance rates to similar cars in its class.

Average depreciation for Tesla Model 3 affecting auto policies

Tesla has an average depreciating value, according to CarandDriver.com, affecting auto insurance rates. As your vehicle’s value goes down each year, your auto policy could go down at each renewal. On the other hand, in an auto accident, you need repair parts that rarely go down in price for all Tesla models. This could put you in a difficult situation position since many car insurance companies will subtract depreciation from the amount paid for your insurance claim resulting in a situation where your claim payout doesn’t fully cover your repair cost.

High IIHS and NHTSA safety ratings lower coverage rates for drivers

Teslas are known for their excellent safety ratings, safety features, 5-star crash test ratings, AutoPilot driver-assist technologies, lowering car insurance rates for drivers with a good driving record, sometimes getting 20% driver discounts for passive restraints, and safety features in Tesla models. The Model 3 is Insurance Institute for Highway Safety (IIHS) “Top Safety Pick,” and the NHTSA consistently gives Tesla Model 3, S, X, and Y top safety ratings each year, lowering your car insurance costs.

AutoInsureSavings.org licensed insurance agents to recommend comprehensive and collision coverage, uninsured motorist coverage, and roadside assistance for new Tesla automobile owners when buying an insurance policy.

2021 Tesla Model 3

Cheapest Insurance CompaniesAverage Annual Cost
21st Century $3318
Allied$3468
Allstate$2715
American Family$2368
Amica$3547
Country Financial$3025
Erie$1835
GEICO$2035
Kentucky Farm Bureau$3165
Liberty Mutual$1894
Mercury$2590
Nationwide$1490
Progressive$1587
State Farm$1687
Tennessee Farmers$2476
Tesla$1369
Texas Farm Bureau$2158
The Hanover$3240
Travelers$2842

Compare all 2021 Tesla Model 3 rates

Average Cost to Insure Per Year

$2187

List Price

$37490

Trims Available

Standard - Standard Plus - Mid Range - Long Range - Performance - With Engine: All Wheel Drive (Dual Motor), Transmission: 1-spd auto with Driver Assist Technologies and Autonomous Driving - Traffic-Aware Cruise Control, Autosteer, Navigate on Autopilot, Auto Lane Change, Autopark, Smart Summon, Traffic and Stop Sign Control, with Safety Features - Forward Collision Warning, Automatic Emergency Braking, Lane Departure Avoidance, Blind Spot Collision Warning, Red Light Recognition, Front-impact airbags, Side impact airbags, Pretensioners

2020 Tesla Model 3

Cheapest Insurance CompaniesAverage Annual Cost
21st Century $3268
Allstate$2640
American Family$2246
Country Financial$2946
Erie$1790
GEICO$1964
Kentucky Farm Bureau$3045
Liberty Mutual$1835
Mercury$2489
Nationwide$1436
Progressive$1529
State Farm$1648
Tennessee Farmers$2398
Tesla$1345
Texas Farm Bureau$2037
The Hanover$3123
Travelers$2781

Compare all 2020 Tesla Model 3 rates

Average Cost to Insure Per Year

$2145

List Price

$35000

Trims Available

Standard - Standard Plus - Mid Range - Long Range - Performance - With Engine: All Wheel Drive (Dual Motor), Transmission: 1-spd auto with Driver Assist Technologies and Autonomous Driving - Traffic-Aware Cruise Control, Autosteer, Navigate on Autopilot, Auto Lane Change, Autopark, Smart Summon, Traffic and Stop Sign Control, with Safety Features - Forward Collision Warning, Automatic Emergency Braking, Lane Departure Avoidance, Blind Spot Collision Warning, Red Light Recognition, Front-impact airbags, Side impact airbags, Pretensioners

2019 Tesla Model 3

Cheapest Insurance CompaniesAverage Annual Cost
American Family$ 1462
American Family$ 1462
Country$ 1720
Country$ 1720
Erie$ 1398
Erie$ 1398
Farmers$ 2629
Farmers$ 2629
GEICO$ 3059
GEICO$ 3059
Liberty Mutual$ 2369
Liberty Mutual$ 2369
Nationwide$ 1276
Nationwide$ 1276
Plymouth Rock$ 2984
Plymouth Rock$ 2984
Progressive$ 1974
Progressive$ 1974
State Farm$ 1685
State Farm$ 1685
USAA$ 1494
USAA$ 1494
Vermont Mutual$ 1498
Vermont Mutual$ 1498

Compare all 2019 Tesla Model 3 rates

Average Cost to Insure Per Year

$ 2078

List Price

$ 35000

Trims Available

Standard - Standard Plus - Mid Range - Long Range - Performance

2018 Tesla Model 3

Cheapest Insurance CompaniesAverage Annual Cost
Allstate$ 2587
Allstate$ 2587
American Family$ 1148
American Family$ 1148
Country$ 1509
Country$ 1509
Erie$ 1174
Erie$ 1174
GEICO$ 1806
GEICO$ 1806
Nationwide$ 1282
Nationwide$ 1282
Plymouth Rock$ 2358
Plymouth Rock$ 2358
Progressive$ 1803
Progressive$ 1803
State Farm$ 1401
State Farm$ 1401
Tennessee Farmers$ 1938
Tennessee Farmers$ 1938
USAA$ 1337
USAA$ 1337
Vermont Mutual$ 1339
Vermont Mutual$ 1339

Compare all 2018 Tesla Model 3 rates

Average Cost to Insure Per Year

$ 1813

List Price

$ 46000

Trims Available

Standard Range - Mid Range - Long Range - Performance

2017 Tesla Model 3

Cheapest Insurance CompaniesAverage Annual Cost
Allstate$ 2659
Allstate$ 2659
American Family$ 1111
American Family$ 1111
Country$ 1486
Country$ 1486
Erie$ 1137
Erie$ 1137
GEICO$ 1776
GEICO$ 1776
Nationwide$ 1304
Nationwide$ 1304
Plymouth Rock$ 2278
Plymouth Rock$ 2278
Progressive$ 1772
Progressive$ 1772
State Farm$ 1369
State Farm$ 1369
Tennessee Farmers$ 1938
Tennessee Farmers$ 1938
USAA$ 1334
USAA$ 1334
Vermont Mutual$ 1291
Vermont Mutual$ 1291

Compare all 2017 Tesla Model 3 rates

Average Cost to Insure Per Year

$ 1621

List Price

$ 35000

Trims Available

Standard - Long Range