- Tesla Model Y car insurance costs an average of $1,970 per year, or about $164 per month, for a policy with full coverage.
- The Performance AWD model is slightly cheaper to insure than the Long Range AWD model.
- The Tesla Model Y is one of the more expensive midsize SUVs to insure, costing $246 more per year on average when compared to other midsize SUVs
How much does Tesla Model Y insurance cost?
Average car insurance rates for the Tesla Model Y cost $1,970 per year, or around $164 per month. When broken down by coverage type, liability/medical will cost around $524 a year, collision coverage will cost around $952, and the remaining comprehensive costs around $494.
The chart below displays average 2023 Tesla Model Y insurance cost using an assortment of different driver ages and risk profiles.
Some additional key data insights concerning the cost of car insurance for a Model Y include:
- Your occupation could save you money. The large majority of insurance companies offer policy discounts for having a job in professions like farmers, engineers, police officers and law enforcement, members of the military, nurses, high school and elementary teachers, and other occupations. Getting this discount could potentially save between $59 and $178 on your Tesla Model Y insurance premium, subject to policy limits.
- Increase deductibles to save money. Boosting your physical damage deductibles from $500 to $1,000 could save around $328 per year for a 40-year-old driver and $642 per year for a 20-year-old driver.
- Choosing a low deductible may not make good financial sense. Lowering the comprehensive and collision deductibles from $500 to $250 could cost an additional $344 per year for a 40-year-old driver and $678 per year for a 20-year-old driver.
- Younger drivers pay higher rates. The difference in insurance cost on a Model Y between a 40-year-old driver ($1,970 per year) and a 20-year-old driver ($3,930 per year) is $1,960, or a savings of 66.4%.
- Gender and age are two big factors. For a 2023 Tesla Model Y, a 20-year-old male will pay an average rate of $3,930 per year, while a 20-year-old female will get a rate of $2,904, a difference of $1,026 per year. Women get significantly cheaper rates. But by age 50, male driver rates are $1,796 and the cost for a female driver is $1,758, a difference of only $38.
- Better credit scores yield better car insurance rates. In states that have laws allowing a driver’s credit data to be used for policy pricing purposes, having a good credit rating over 800 could experience savings as high as $309 per year versus a rating of 670-739. Conversely, a subpar credit score could cost around $359 more per year.
- Bad drivers pay more. Having a few at-fault accidents can really raise rates, potentially up to $918 per year for a 30-year-old driver and as much as $594 per year for a 60-year-old driver.
- High-risk drivers pay extremely high rates. For a 40-year-old driver, having enough accidents and violations to require a high-risk insurance policy increases the cost by $2,364 or more per year.
Insurance rates vary slightly between models, and the table below shows the difference in car insurance cost between the Performance and Long Range Model Y trim levels for the 2023 model year.
| Tesla Model Y Trim Level | Annual Policy | Six-Month Policy | Per Month |
|---|---|---|---|
| Performance AWD | $1,964 | $982 | $164 |
| Long Range AWD | $1,980 | $990 | $165 |
How does Tesla Model Y car insurance cost compare?
When compared to other midsize SUVs, insurance for a Model Y costs $94 more per year than the Jeep Grand Cherokee, $208 more than the Toyota Highlander, $466 more than the Ford Explorer, and $56 more than the Jeep Cherokee.
The Model Y ranks 28th out of 31 total vehicles in the midsize SUV category. It costs an estimated $1,970 per year to insure a Model Y for full coverage, and the segment average cost is $1,724 annually, a difference of $246 per year.
The table below shows how average insurance cost for a Tesla Model Y compares to the entire 2023 midsize SUV segment.
| Rank | Make/Model | Insurance Cost | Difference |
|---|---|---|---|
| 1 | Honda Passport | $1,368 | -$602 |
| 2 | Subaru Ascent | $1,434 | -$536 |
| 3 | Ford Edge | $1,494 | -$476 |
| 4 | Ford Explorer | $1,504 | -$466 |
| 5 | Volkswagen Atlas | $1,506 | -$464 |
| 6 | Nissan Murano | $1,516 | -$454 |
| 7 | Subaru Outback | $1,518 | -$452 |
| 8 | Volkswagen Atlas Cross Sport | $1,576 | -$394 |
| 9 | Toyota Venza | $1,608 | -$362 |
| 10 | Kia Sorento | $1,618 | -$352 |
| 11 | Hyundai Palisade | $1,638 | -$332 |
| 12 | Toyota 4Runner | $1,654 | -$316 |
| 13 | GMC Acadia | $1,682 | -$288 |
| 14 | Chevrolet Traverse | $1,684 | -$286 |
| 15 | Honda Pilot | $1,696 | -$274 |
| 16 | Buick Enclave | $1,702 | -$268 |
| 17 | Nissan Pathfinder | $1,712 | -$258 |
| 18 | Mazda CX-9 | $1,720 | -$250 |
| 19 | Mitsubishi Outlander Sport | $1,744 | -$226 |
| 20 | Kia Telluride | $1,754 | -$216 |
| 21 | Toyota Highlander | $1,762 | -$208 |
| 22 | Chevrolet Blazer | $1,786 | -$184 |
| 23 | Hyundai Santa Fe | $1,810 | -$160 |
| 24 | Jeep Grand Cherokee | $1,876 | -$94 |
| 25 | Jeep Cherokee | $1,914 | -$56 |
| 26 | Jeep Wrangler | $1,952 | -$18 |
| 27 | Ford Bronco | $1,962 | -$8 |
| 28 | Tesla Model Y | $1,970 | -- |
| 29 | Mitsubishi Outlander PHEV | $2,018 | $48 |
| 30 | Dodge Durango | $2,102 | $132 |
| 31 | Rivian R1S | $2,160 | $190 |
Average Model Y insurance rates by location
Auto insurance rates on a Tesla Model Y span a wide range, from lower rates like $1,462 a year in Columbus, OH, or $1,320 in Virginia Beach, VA, to more expensive rates such as $2,840 in Miami, FL, and an eye-popping $4,596 a year in some areas in Detroit.
The insurance cost for a Model Y in some other cities include San Diego, CA, costing $2,122 per year, Minneapolis, MN, at an estimated $1,992, Milwaukee, WI, at $1,922, and Louisville, KY, averaging $2,946.
The bar chart below shows estimated Model Y car insurance rates in the highest populated cities in the U.S.
States like Ohio ($1,374), Virginia ($1,308), and Iowa ($1,316) tend to have cheaper Model Y insurance rates, while states like Michigan ($2,698) and Florida ($2,454) tend to be on the higher side.
The next table shows average rates in all fifty U.S. states for a 2023 Tesla Model Y.
| U.S. State | Annual Cost | Six-month Cost | Monthly Cost |
|---|---|---|---|
| Alabama | $1,776 | $888 | $148 |
| Alaska | $1,492 | $746 | $124 |
| Arizona | $1,808 | $904 | $151 |
| Arkansas | $2,064 | $1,032 | $172 |
| California | $2,386 | $1,193 | $199 |
| Colorado | $2,114 | $1,057 | $176 |
| Connecticut | $2,196 | $1,098 | $183 |
| Delaware | $2,242 | $1,121 | $187 |
| Florida | $2,454 | $1,227 | $205 |
| Georgia | $2,016 | $1,008 | $168 |
| Hawaii | $1,346 | $673 | $112 |
| Idaho | $1,404 | $702 | $117 |
| Illinois | $1,728 | $864 | $144 |
| Indiana | $1,470 | $735 | $123 |
| Iowa | $1,316 | $658 | $110 |
| Kansas | $1,942 | $971 | $162 |
| Kentucky | $2,112 | $1,056 | $176 |
| Louisiana | $2,348 | $1,174 | $196 |
| Maine | $1,188 | $594 | $99 |
| Maryland | $1,832 | $916 | $153 |
| Massachusetts | $2,148 | $1,074 | $179 |
| Michigan | $2,698 | $1,349 | $225 |
| Minnesota | $1,692 | $846 | $141 |
| Mississippi | $1,924 | $962 | $160 |
| Missouri | $2,226 | $1,113 | $186 |
| Montana | $1,810 | $905 | $151 |
| Nebraska | $1,648 | $824 | $137 |
| Nevada | $2,358 | $1,179 | $197 |
| New Hampshire | $1,320 | $660 | $110 |
| New Jersey | $2,390 | $1,195 | $199 |
| New Mexico | $1,618 | $809 | $135 |
| New York | $2,286 | $1,143 | $191 |
| North Carolina | $1,234 | $617 | $103 |
| North Dakota | $1,634 | $817 | $136 |
| Ohio | $1,374 | $687 | $115 |
| Oklahoma | $2,176 | $1,088 | $181 |
| Oregon | $1,842 | $921 | $154 |
| Pennsylvania | $1,896 | $948 | $158 |
| Rhode Island | $2,444 | $1,222 | $204 |
| South Carolina | $1,652 | $826 | $138 |
| South Dakota | $2,026 | $1,013 | $169 |
| Tennessee | $1,876 | $938 | $156 |
| Texas | $1,830 | $915 | $153 |
| Utah | $1,728 | $864 | $144 |
| Vermont | $1,434 | $717 | $120 |
| Virginia | $1,308 | $654 | $109 |
| Washington | $1,780 | $890 | $148 |
| West Virginia | $1,756 | $878 | $146 |
| Wisconsin | $1,410 | $705 | $118 |
| Wyoming | $1,754 | $877 | $146 |
Best insurance for a Tesla Model Y
Every Model Y owner wants the best car insurance, but the best insurance for your Model Y may not necessarily be the “best” for your neighbor, someone across town, or even in another state.
Everyone has different needs when it comes to car insurance. Some people just want the minimum amount of insurance to license their vehicle, while others want the best coverage available with high liability limits and excellent physical damage coverage.
Tesla does offer it’s own car insurance, but it’s only available in a select few states. So for most Model Y owners, traditional companies like State Farm, Progressive, GEICO, Allstate, Farmer’s Insurance, USAA, Nationwide, etc. are their best options.
Are you comfortable quoting and buying car insurance online? If so, most major companies can provide free Tesla Model Y insurance quotes without even having to leave your couch. And most offer the services of a local insurance agent as long as you live in an area that is serviced by an agent.
It’s important to note, however, that there are many smaller car insurance companies that do not have the visibility of the major brands. These regional carriers are often smaller mutual companies that mainly sell through independent agents, but often offer very favorable car insurance rates.
In the end, the most important aspect of finding the best Tesla Model Y insurance is being protected both for liability claims against you, and for comprehensive and collision claims, which pay to repair your Model Y.
If cost is your primary concern, then we recommend shopping around for the best rates. If you have homeowner’s insurance already, then your best bet may be bundling your auto insurance policy with your existing carrier.
If you are active or retired military, USAA often has very competitive car insurance rates.
If you want excellent online customer and policy service, then GEICO, State Farm, and Progressive are companies to check out.
