We pulled car insurance quotes from top insurance companies across the US to find that the average monthly cost to insure a Tesla Model Y is $264.27 — or $3,171.24 a year. However, some other Tesla models may cost less to insure than others depending on which safety features your vehicle has and which insurer you choose. And your actual costs will depend on your driving history, age, ZIP and other specific factors.
Model Year
Progressive
Geico
State Farm
Farmers
Average
2021 Tesla Model Y
323.45
$224.78
$248.42
$260.42
$264.27
How we got these rates
Our rates are based on a single 30-year-old driver with a clean driving history living in California. California is one of seven states that doesn’t use gender to determine car insurance costs. We chose full coverage car insurance with liability limits that exceed the California state minimum requirements, which include:
Expect a standard premium to match this Tesla’s standard theft rate, coverage and insurer choices. Factors that play into this premium:
Body type. The Model Y is a compact SUV, which contributes to this car type’s safety and low insurance rates. It fits up to seven passengers with its optional third-row seating, giving it versatility for families that other Teslas lack.
Mileage. This fully electric vehicle boasts a range of approximately 330 miles, depending on the trim you choose. You won’t pay usual gas prices, but you’ll pay between $10 to $13 each time you use a Tesla supercharger, unless you charge at home.
Theft rates. Teslas aren’t known for their theft appeal, which is positive news for your expected premium.
Maintenance. This make shows its worth in miniscule maintenance, and few owners report problems with their cherished electric cars.
Coverage. This no-fuss SUV might need only the typical coverage you’d get for a new car, like collision, comprehensive or gap coverage. Despite the low MSRP for a Tesla, you still may want a luxury policy with agreed value protection, especially if you opt for the bells and whistles.
Insurer options. You may have fewer luxury insurance choices, but companies like Chubb or Hagerty could offer the coverage you need. Also, consider up-and-coming electric car insurers like Tesla itself or Electric Auto.
Warranty. This luxury model comes with a standard four-year, 50,000-mile warranty. However, Tesla hasn’t specified the battery warranty for the Model Y yet, though the long-range Model 3 goes up to eight years, 120,000 miles.
Does the Tesla Model Y qualify for discounts?
This big-name electric delivers on savings for safety. Features that might qualify for discounts:
Antitheft
Airbags
Antilock brakes
Driver assistance
Electric vehicle discounts
Why is insurance so expensive for the Model Y?
The main factors for this model’s above-average premium include:
Luxury status. The Model Y is a luxury car, and that means you may need broad luxury coverage to match.
Electric car parts. Electrics come with high-tech features, batteries and car parts that stray from the norm, leading to more expensive repairs.
High ticket price. Because insurers have more value to cover, you’ll have more premium to pay.
How reliable is the Tesla Model Y?
Since the Model Y doesn’t have safety and reliability ratings yet, expect a similar safety profile to other Tesla models:
Safety. Teslas in general are safe cars. For example, the Model 3 was an IIHS Top Safety Pick for 2019, ranking high in all safety categories except for its acceptable child seat latch system.
Reliability. This new sedan doesn’t have reliability ratings yet either. However, owners report high satisfaction with Consumer Reports, albeit with issues to the Model 3’s door locks and windows, and some concern over battery life for the electric chargers.
Recalls. In November 2021, Tesla has recalled almost 3,000 Model Y and Model 3 vehicles over concerns around faulty front suspension bolts that can lead to steering instability and the possibility of crashing. The recall affects models built between 2020 and 2021.
About this car
The Model Y is Tesla’s compact luxury SUV that comes available in three trim levels — the Long Range, the Performance and the Standard range starting at $39,990, $56,990 and $61,990 respectively. The Long Range model is equipped with a 480-horsepower delivered from a dual-motor drivetrain that can reach a top speed of almost 135 mph. Its 0-60 speed clocks in at 4.8 seconds and it can travel up an estimated 326 miles.
The electric SUV is small but roomy, offering enough space for seven in a third-row seating option. Take just about anything with you in the ample cargo space, with storage in the back made larger by folding down the rear seats, an added storage “tub” under the main rear cargo area plus a front trunk. It also offers a Class II hitch with a 3,500-lb towing capacity — so this model is super family-friendly for those who want to take the kids, the dog and the boat to the cottage for the weekend.
Bottom line
The Model Y is expected to have a low theft rate and high safety ratings based on previous models. That portfolio means you can expect an average premium for a luxury vehicle, although comparing insurers could bring that premium even lower.
Sarah George is a personal finance writer at Finder who’s spent the last four years wielding her digital pen on all things banking and insurance. Her know-how has been featured in such publications as CBS, CNET and Reviews.com, and she was a panelist in Finder’s 2020 money-saving webinar. Sarah earned an English education degree and is a Certified Educator in Personal Finance.
How likely would you be to recommend finder to a friend or colleague?
0
1
2
3
4
5
6
7
8
9
10
Very UnlikelyExtremely Likely
Required
Thank you for your feedback.
Our goal is to create the best possible product, and your thoughts, ideas and suggestions play a major role in helping us identify opportunities to improve.
Advertiser Disclosure
finder.com is an independent comparison platform and information service that aims to provide you with the tools you need to make better decisions. While we are independent, the offers that appear on this site are from companies from which finder.com receives compensation. We may receive compensation from our partners for placement of their products or services. We may also receive compensation if you click on certain links posted on our site. While compensation arrangements may affect the order, position or placement of product information, it doesn't influence our assessment of those products. Please don't interpret the order in which products appear on our Site as any endorsement or recommendation from us. finder.com compares a wide range of products, providers and services but we don't provide information on all available products, providers or services. Please appreciate that there may be other options available to you than the products, providers or services covered by our service.
We update our data regularly, but information can change between updates. Confirm details with the provider you're interested in before making a decision.
