Tesla has been on a roll for years now. Its electric vehicles are gaining continued popularity among consumers. This is despite the relatively higher price tag, even on the entry-level models. Correspondingly, the more expensive price comes with a more expensive insurance fee. Yes, you read it correctly. Insuring a Tesla can be more costly than insuring a traditional car.
In this short but concise article, we will discuss the average insurance fee for every Tesla model and the factors contributing to the prices.
Tesla Insurance Cost by Model
According to Value Penguin, a brand-new Tesla’s insurance charge averages around $329 a month.
- Tesla Model Y: approximately $255 per month
- Tesla Model 3: approximately $282 per month
- Tesla Model X: approximately $356 per month
- Tesla Model S: approximately $413 per month
Moreover, an article from Bankrate indicates that the range of $3,528 to $5,523 is the average cost of full coverage insurance for Tesla cars.
- Tesla Model Y: approximately $3,803 per year
- Tesla Model 3: approximately $3,528 per year
- Tesla Model X: approximately $5,523 per year
- Tesla Model S: approximately $5,484 per year
In line with this, Bankrate presented the average cost of minimum coverage insurance for Tesla vehicles.
- Tesla Model Y: approximately $817 per year
- Tesla Model 3: approximately $788 per year
- Tesla Model X: approximately $827 per year
- Tesla Model S: approximately $789 per year
Why is Tesla Insurance More Expensive?
Compared to conventional gas-powered cars, Tesla’s insurance fee is pricier mainly because of its advanced features. These advanced features result in high repair costs. Some of the features are smart systems, battery and more.
Furthermore, Bankrate states that your insurance cost will vary depending on your personal risk profile. As per Tesla, your insurance premium will adjust according to your coverage selection, garaging address, the amount you drive, and your monthly safety score. The monthly safety score contributes to your total insurance cost.
“As your Safety Score increases, your insurance premium decreases. The safer you drive, the less you pay,” Tesla Support says.
In connection with this, Value Penguin added that your insurance provider will also impact the overall fee.
How to Lower Tesla Insurance Premiums?
There are still a few ways to keep your Tesla insurance cost under control:
- Ask around: Comparing rates from various insurance providers can help you find the best deal for your Tesla car.
- Maintain good driving behavior and record: As mentioned, your clean driving history and safety score decrease your insurance cost.
- Use Tesla insurance: The company offers more competitive prices for good drivers. However, this is only available to 12 states.
Insurance Summary
Yes, the insurance costs of Tesla vehicles are indeed expensive. Additionally, the contributing factors include high repair cost, type of insurance provider, safety score, and car model. Nevertheless, it does not need to break the bank as long as you explore all factors to reduce expenses.
