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Tesla Model Y car insurance at a glance:
- Average auto insurance premium for a 30-year-old driver: $2,648
- Most affordable insurance companies for Tesla Model Y insurance: Nationwide, USAA and Erie
- Cheapest state for Model Y insurance: Vermont
- Most expensive state for Model Y insurance: California
The Forbes Wheels team says the Tesla Model Y is an all-electric compact crossover with a robust suite of advanced driver tech and entertainment. Unfortunately, the Model Y doesn’t qualify for federal tax credits. But you may be able to find savings when you buy a car insurance policy. Here we look at average insurance costs for a Tesla Model Y.
Tesla Model Y Insurance Costs by Company
Tesla Model Y owners can potentially save hundreds of dollars per year by comparing car insurance quotes among multiple insurers. Among the large insurance companies we analyzed, Nationwide offers the cheapest car insurance for a Tesla Model Y. The next cheapest in our analysis was USAA. If you don’t qualify for USAA car insurance as a military veteran, member or family member, try quotes from Erie and State Farm.
In addition, Tesla Insurance is available directly from Tesla.
| Company | Average Tesla Model Y insurance cost per year |
|---|---|
Nationwide | $1,602 |
USAA* | $1,787 |
Erie | $2,035 |
State Farm | $2,077 |
Auto-Owners | $2,220 |
Geico | $2,249 |
American Family | $2,596 |
State Auto | $2,745 |
Travelers | $2,921 |
Progressive | $3,100 |
Farmers | $3,663 |
Shelter | $3,765 |
Allstate | $3,900 |
*USAA is available only to military members, veterans and their families
Related: The best car insurance companies
Tesla Model Y Insurance Costs by State
State variations in Tesla Model Y insurance costs are typically driven by past claims, medical costs, repair costs, state regulations and more. California is the most expensive state for Tesla Model Y auto insurance ($4,244 a year). Vermont is the cheapest ($1,616 a year).
| State | Average Tesla Model Y insurance cost | % difference from average |
|---|---|---|
Alaska | $2,375 | -10% |
Alabama | $2,532 | -4% |
Arkansas | $3,072 | 16% |
Arizona | $2,482 | -6% |
California | $4,244 | 60% |
Colorado | $3,238 | 22% |
Connecticut | $2,755 | 4% |
Delaware | $2,958 | 12% |
Florida | $3,927 | 48% |
Georgia | $2,390 | -10% |
Hawaii | $1,678 | -37% |
Iowa | $2,402 | -9% |
Idaho | $1,759 | -34% |
Illinois | $2,581 | -3% |
Indiana | $2,200 | -17% |
Kansas | $2,875 | 9% |
Kentucky | $3,501 | 32% |
Louisiana | $4,055 | 53% |
Massachusetts | $2,926 | 11% |
Maryland | $2,938 | 11% |
Maine | $1,659 | -37% |
Michigan | $3,777 | 43% |
Minnesota | $2,256 | -15% |
Missouri | $3,007 | 14% |
Mississippi | $3,148 | 19% |
Montana | $3,054 | 15% |
North Carolina | $2,116 | -20% |
North Dakota | $2,242 | -15% |
Nebraska | $3,159 | 19% |
New Hampshire | $1,958 | -26% |
New Jersey | $2,847 | 8% |
New Mexico | $2,353 | -11% |
Nevada | $2,839 | 7% |
New York | $2,503 | -5% |
Ohio | $1,817 | -31% |
Oklahoma | $2,656 | 0% |
Oregon | $2,267 | -14% |
Pennsylvania | $2,880 | 9% |
Rhode Island | $3,028 | 14% |
South Carolina | $2,325 | -12% |
South Dakota | $2,677 | 1% |
Tennessee | $2,349 | -11% |
Texas | $2,932 | 11% |
Utah | $2,201 | -17% |
Virginia | $2,276 | -14% |
Vermont | $1,616 | -39% |
Washington | $2,052 | -22% |
Wisconsin | $2,250 | -15% |
West Virginia | $2,391 | -10% |
Wyoming | $2,882 | 9% |
Average for all states | $2,648 |
Cost of Insurance for a Tesla Model Y Based on Driver Age
The cheapest age for insuring a Tesla Model Y is 60, according to a Forbes Advisor analysis of rates.
Women and men age 30 to 70 pay about the same amount to insure a Tesla Model Y. For example, 40-year-old women pay only $12 less per year than 40-year-old men.
The most expensive age to insure a Tesla Model Y is age 20 and under. Gender is also cost factor for young drivers. A 20-year-old female driver may pay nearly $800 less per year to insure a Model Y compared to a 20-year-old male.
| Driver age | Average cost of Tesla Model Y insurance per year |
|---|---|
Age 20 | $5,269 |
Age 30 | $2,648 |
Age 40 | $2,483 |
Age 50 | $2,324 |
Age 60 | $2,223 |
Age 70 | $2,421 |
Age 80 | $3,000 |
There are several factors that go into determining your car insurance rate. These include your driving record, your garaging address (where you keep the car), annual mileage, a credit-based insurance score (poor credit risks pay more), your past claims, the type of car, any recent lapse in car insurance coverage and the type and amount of insurance coverage chosen.
Related: 9 Factors That Affect Your Car Insurance Rates
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Tesla Model Y Insurance vs. Similar Cars
If you’re thinking of buying a Tesla Model Y, you might also be considering an Audi e-tron, Ford Mustang Mach-E or Volvo XC40 Recharge. Among these models, the Tesla Model Y is the most expensive to insure, on average.
| 2022 model | Average insurance cost per year | Cost difference compared to a Model Y |
|---|---|---|
Tesla Model Y | $2,648 | |
Audi e-tron | $2,388 | -10% |
Ford Mustang Mach-E | $1,954 | -26% |
Volvo XC40 Recharge | $2,612 | -1% |
Based on a 30-year-old driver with a good driving record.
Related: Most and least expensive green cars to insure
How to Save Money on Tesla Model Y Car Insurance
There are several ways you can lower car insurance costs, such as:
- Compare quotes. Not every insurer prices a policy for a Model Y the same. The best way to find a good price is to compare car insurance quotes from several different companies.
- Buy the right amount of car insurance. While you want to make sure you are adequately insured, you also don’t want to overpay for insurance you don’t need. Here’s a guide to determining how much car insurance you need.
- Get rewarded for safe driving. Most insurance companies have a usage-based insurance program, which tracks and scores your safe driving habits like phone use, speeding and harsh braking. If you prove you’re a safe driver, you can earn a discount.
- Maintain good credit. Insurers in 46 states can use your credit-based insurance score as a price factor. But not all insurers weigh this factor the same, which is why it’s crucial to compare quotes.
- Raise your deductible. Generally, the higher your car insurance deductible, the less you pay in premiums. Common deductible amounts range from $100 to $1,000 (and higher).
- Ask for discounts. You may be eligible for car insurance discounts such as safe driver discounts, good student discounts, multi-car and multi-policy discounts, and pay-in-full discounts.
Related: Tesla Model Y review
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Methodology
Rates are based on drivers with a clean record with $100,000 in bodily injury liability coverage per person, $300,000 per accident and $100,000 in property damage liability, uninsured motorist coverage and any other coverage required in a state. The rate also includes collision and comprehensive coverage with a $500 deductible. Rates are from Quadrant Information Services as of June 2022.
Car Insurance Quotes For Tesla Model Y
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