Get quotes before you order
Insurance is the ownership cost people most often forget to price. You can get real quotes using the model and trim before you have a VIN. Do it before you place the order, because the difference between the best and worst quote can be large enough to change your budget.
Why Teslas can cost more to insure
- Repair costs. Aluminum body panels, large castings, cameras, and sensors make collision repairs expensive.
- Repair network. Work generally goes through Tesla-approved body shops, and parts waits can extend rental car coverage.
- Performance. Even the mainstream trims are quick, which insurers price in.
Insurers weigh these factors very differently, which is why one company may quote a Model Y like any other crossover while another treats it as a luxury performance car.
Tesla Insurance
Tesla sells its own insurance in a limited number of US states. In most of them the premium is tied to a Safety Score based on your real driving behavior, including hard braking, following distance, and late-night driving. Careful drivers can do well with it. If the idea of your monthly premium moving with your driving data bothers you, it is not the product for you. Availability and rules vary by state, so check whether it is even offered where you live.
How to shop it
- Get at least four or five quotes, including one through an independent broker who can check carriers you would not find yourself.
- Compare identical coverage: the same liability limits, deductibles, and rental reimbursement.
- Ask about rental coverage limits specifically, because EV repairs can take longer.
- Ask whether the policy covers OEM parts and a Tesla-approved shop.
- Bundle with home or renters insurance if the combined price is actually lower, which it is not always.
- Re-shop at each renewal for the first couple of years. Rates on these cars move.
Coverage worth thinking about
If you are financing or leasing, gap coverage protects you if the car is totaled while you owe more than it is worth, which matters more on a vehicle whose new price has moved around as much as Tesla's has. If you install a Wall Connector, confirm your homeowners policy treats it like any other fixed electrical equipment.