Ashlyn Brooks is a finance writer with more than half a decade of experience, known for her knowledge in areas such as taxes, insurance, investing, retirement, finance news, and banking products.
Jessa Claeys is an insurance editor for Bankrate with over a decade of experience writing, editing and leading teams of content creators. She is a licensed personal lines insurance producer in Colorado. Jessa currently covers auto, home and life insurance with the goal of helping others secure a healthy financial future. Her work has been published by several insurance, personal finance and investment-focused publications, including BiggerPockets, 401(k) Specialist, BP Wealth and more.
Jessa Claeys is an insurance editor for Bankrate with over a decade of experience writing, editing and leading teams of content creators. She is a licensed personal lines insurance producer in Colorado. Jessa currently covers auto, home and life insurance with the goal of helping others secure a healthy financial future. Her work has been published by several insurance, personal finance and investment-focused publications, including BiggerPockets, 401(k) Specialist, BP Wealth and more.
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At a glance
Bankrate's take
Drivers who want nontraditional car insurance with coverage options tailored to the needs of an electric car owner may want to consider Tesla Insurance.
Tesla’s real-time insurance model could provide cheap coverage for safe drivers
Tesla Insurance allows for straightforward policy management directly through the Tesla app
In California, Safety Score is only used for educational purposes for drivers and does not impact your premiums
Tesla Insurance is yet to be rated by J.D. Power and AM Best
New
What’s new with Tesla?
As of 2024, Tesla offers car insurance in 12 states, with plans to expand into more of the U.S. in the future. Current availability includes Arizona, California, Colorado, Illinois, Maryland, Minnesota, Nevada, Ohio, Oregon, Texas, Utah and Virginia. In August 2024, the company released new details about state-specific discounts like multi-car and good driver discounts.
Tesla car insurance review
Tesla Insurance is known for its telematics-based car insurance, meaning that real-time driving behavior plays an integral role in calculating car insurance rates. For this reason, Tesla Insurance may be a natural fit for drivers who want to have a direct influence on their car insurance cost, as the carrier does not use traditional car insurance rating factors like age, gender, claim history and driving record when calculating premiums.
Instead, Tesla Insurance calculates a monthly Safety Score that grades five factors when you drive: hard braking, aggressive turning, following distance, forced autopilot disengagement and forward collision warnings. A higher Safety Score results in lower premiums, while a lower Safety Score could result in more expensive premiums. Other factors that go into Tesla Insurance premiums include which car you drive, where you live, how much you drive and which coverage you select. Tesla doesn’t use the Safety Score to calculate rates in California due to state-imposed insurance laws. If you receive Safety Score data, it will be for educational and informational purposes only.
While Tesla Insurance offers standard coverage like bodily injury and property damage liability, as well as comprehensive and collision coverage, optional coverage will vary by state. Additionally, depending on state availability, Tesla Insurance may also offer an Autonomous Vehicle Protection Package that could cover expenses like electronic key replacement, loss or damage to the wall charger and incidents when the vehicle is being driven by autopilot.
Pros and cons of Tesla car insurance
Tesla's unique car insurance has many benefits, but it's not without its shortcomings. Below is a summary of Tesla car insurance's pros and cons as identified by our insurance editorial team.
Pros
Several optional coverage types available, depending on the state
Tesla owners can also insure non-Tesla vehicles in California
Most states allow for real-time driving behavior rating, which allows drivers to have some control over their premium
Safer drivers could get lower insurance rates
Roadside assistance is available
Cons
Only available in 12 states
Only sells car insurance, so bundling is not available
Coverage is limited to Tesla owners in all states except California
Most contact with Tesla is done through the app, so it may be difficult to reach a live agent
Lack of third-party scores for customer or claims satisfaction
Tesla car insurance cost
Average rates for Tesla car insurance are not available. Your individual rate will vary depending on several factors, including how safely you drive, and could fluctuate over time. For reference, the national average cost of car insurance is $2,388 per year for full coverage and $664 per year for minimum coverage. To understand what your Tesla Insurance rate might be, it’s advisable to obtain a personalized quote directly from Tesla, as this will provide the most accurate reflection of the cost based on your unique driving profile and vehicle specifics.
Tesla Insurance customer satisfaction
While Tesla car insurance is currently not rated by third-party agencies like J.D. Power for customer or claims satisfaction or financial strength assessors like AM Best, these evaluations can be instrumental in gauging an insurer's reliability and service quality. Third-party ratings offer an external perspective on an insurer's performance in key areas, including customer service, claims handling and financial stability. For Tesla Insurance, the absence of these ratings means that potential customers might look toward user reviews, Tesla community forums and direct customer testimonials to understand the satisfaction levels and experiences of existing policyholders.
Tesla car insurance customer complaints
The National Association of Insurance Commissioners (NAIC) Complaint Index offers insight into customer satisfaction and the frequency of complaints relative to the size of the insurer. A baseline score of 1.00 represents the industry average, with scores above indicating more complaints than average and scores below suggesting fewer. The NAIC also tailors these indexes to specific product types, allowing for more in-depth comparisons.
In 2023, Tesla car insurance had a complaint index of 2.78, which is more than double the industry average. This figure suggests a higher volume of complaints compared to other insurers of its size.
Tesla car insurance discounts
The discount opportunities available to Tesla policyholders depend on where you live. Details by state are available on Tesla’s website. Common savings opportunities include:
Airbag discount: Drivers who have a car equipped with an airbag that meets federal crash requirements could get this discount.
Defensive driver discount: Drivers over the age of 55 who complete a safety course as approved by their state’s DMV may qualify for this discount.
Good or elite driver discount: Drivers with no major violations and no more than one minor incident in the past three years could land a good driver discount, while those with no violations or at-fault accidents in five years might be eligible to get an elite driver discount.
Good student discount: Full-time undergraduate or graduate students in good academic standing can qualify for this discount.
Multi-car discount: If more than one vehicle is insured with Tesla Insurance, this discount is added automatically.
Group discount: Current Tesla employees can receive this discount.
Anti-theft device discount: If your car has an alarm or active disabling devices, this discount could be added to your policy.
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Answering a few quick questions to check your availability with Tesla
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Compare Tesla Insurance with other insurers
Bankrate’s Tesla Insurance review provides a comprehensive look at this carrier, but if you’re looking for the best car insurance for your Tesla, it can help to compare other options. Here are some of the best car insurance competitors to think about when shopping for car insurance quotes:
Tesla Insurance vs. Lemonade
Tesla drivers who like Tesla’s digital-first platform and specialized EV car insurance may want to check out Lemonade. The carrier provides coverage and discounts specific to EVs and hybrids, offers emergency charging if your battery drains while on the road and provides coverage for your wall or portable charger. Currently, Lemonade car insurance is only available in Arizona, Illinois, Ohio, Oregon, Texas, Tennessee and Washington.
Drivers who want features like Tesla’s telematics-based car insurance could consider Root car insurance. The carrier has a strict sign-up process — interested drivers must first pass a test drive before receiving a coverage offer and quote. Similar to Tesla, Root is not available in every state.
Travelers offers a specific discount for those who own or lease an electric vehicle. Additionally, the carrier’s IntelliDrive program tracks real-time driving behavior, with potential savings opportunities of between 22 and 40 percent for safe driving. While Travelers car insurance isn’t entirely based on the telematic IntelliDrive program, it is a nationally available insurance carrier.
Our insurance editorial team includes licensed agents with decades of combined experience, and we used our intimate knowledge of the industry to conduct this in-depth Tesla insurance review.
46
years of industry expertise
122
carriers reviewed
20.7K
ZIP codes examined
1.2M
quotes analyzed
Is Tesla Insurance a good insurance company?
Tesla Insurance is a relatively new car insurance company but could fill a need for Tesla drivers who want a different option for car insurance. Tesla drivers may already be using the Tesla app to manage their vehicles and submit service requests, so being able to manage their car insurance through the app as well could be another convenience.
Tesla Insurance also doesn’t factor in usual car insurance rating factors like driving history and credit history, instead giving drivers a chance to be rated based on their real-time driving performance (in most states). That can be a pro or con depending on your situation. Older drivers with a good record might not see much benefit, but younger drivers who are typically seen as riskier to insure might be able to get Tesla coverage for cheaper than other policies if they drive safely.
Another thing to keep in mind is that, because Tesla Insurance tracks real-time driving behavior, it is also possible for premiums to increase just as much as they could decrease. Additionally, Tesla Insurance may be a better fit for those who are well-versed in car insurance, as the carrier has limited live agent support and no physical locations.
Lastly, compared to national car insurance carriers, Tesla is not rated by third-party agencies for either financial strength or customer satisfaction.
What are real-life customers saying about Tesla Insurance?
To look deeper into the Tesla Insurance experience, we've turned to real-life accounts from customers sharing their insights on Reddit. Although Reddit is primarily a community discussion platform rather than a dedicated review site, it offers a rich tapestry of user experiences, making it a valuable resource for prospective Tesla Insurance policyholders. Through these discussions, individuals candidly share their personal experiences, from customer service interactions to the claims process, providing a nuanced view of what new customers might expect when choosing Tesla for their car insurance needs.
Reddit
Reddit users offer varied experiences with Tesla Insurance, highlighting the impact of the driving score on premiums and the concerns about how certain driving scenarios, like narrow streets or bends, might affect it. Some shared positive claim experiences, noting efficient handling and coordination with Tesla Collision Centers, despite occasional communication hiccups. Others expressed frustration over constant worry about maintaining a high safety score, leading them to switch back to traditional insurers despite the potential savings with Tesla.
Reddit user 1*
Apr 12, 2023
Narrow streets ding me
If you live in a city I would not recommend it. I tested it out for a month and my premium went from like $80/month to $120/month. If I drove on narrow streets, it would ding me for being too close to other cars. If I was driving near a street that has a curve/bend and there’s an oncoming car on a different lane…it’ll think I’m going to crash into it, it’ll start the collision warning and ding me again for it. My gym has a bend to get into it so this would happen fairly often.
Got rear-ended recently in my Model Y two weeks after delivery. Filed a claim the same day(Saturday) with both my insurance (Tesla Insurance) and person at faults insurance (USAA). Got an email Sunday from Tesla to submit additional info. Tesla Insurance reached out to me the following Monday to discuss everything and said they would do the subrogation thing. I already had body shopped picked out (Tesla Collision) and gave her the info right then. She set me up a rental through Enterprise for when I would drop off my car. 4 weeks waiting for an appointment, 3 weeks for the repair. Also didn’t want an Enterprise rental and wanted a Model 3 from Hertz, reimbursement check for that rental was received about a week after the rental was returned.
Other than my claims advisor not picking up my calls a few times, I would say it was definitely not as bad as people say and definitely worth the savings for me. I am definitely considering switching though as not to worry about the driving score but not anytime soon I think.
I had Tesla insurance for about three months, then went back to my previous insurer. Yes, Tesla insurance can be cheap. However, it involves you stressing about your Safety Score all the time, and with false forward collision avoidance warnings (for me specifically) that could not be corrected, I decided that it wasn't worth having. Having to drive with always worried about being too close to the car in front of you, or taking a turn too fast, or braking too hard, was just not worth it.
Had it a few months. Someone hit my parked Model 3 in a lot and fled a week after I got it. So far Tesla Insurance (while slow to respond) has helped with every question I've had and worked with the Tesla Collision Center near me to handle all the repairs. I have a lot of fun driving, especially in the mountains, and my score is still 99. Have fun and then balance it out with safe careful driving to keep your score up is what I've found. Price is $65 a month for $500 deductibles and 100k/300k coverage (plus $45/day rental, roadside plus, and PIP). Same insurance with Geico (who I had been a safe driver with for over 10 years) and State Farm were both quoting me well over $200 a month.
*The quotes and citations included on this page have been verified by our editorial team and are accurate as of the posting date. Outlinked content may contain views and opinions that do not reflect the views and opinions of Bankrate.
Tesla Insurance company details
Customer service: 1-844-34-TESLA (1-844-348-3752)
Claims: Claims are filed through Tesla’s mobile app. Questions about a claim can be directed to the claims adjuster assigned to that claim.
State availability
Tesla only writes car insurance for Tesla drivers in 12 states: AZ, CA, CO, IL, MD, MN, NV, OH, OR, TX, UT and VA. Tesla does not offer real-time driving behavior insurance rating in California at this time.
Tesla Insurance tools and benefits
Tesla's foray into insurance is focused solely on auto insurance. However, it does have additional products and features that may be particularly useful to the owners of electric vehicles.
Supercharger voting: Finding a location to charge your vehicle can be a challenge. However, every three months, Tesla has a voting cycle where Tesla owners can vote on where the next supercharger location should be. Owners can also suggest new sites and potentially host a supercharging station at their property.
Charging station options: Tesla offers many charging solutions, from installing residential charging stations to mobile connectors and adaptors. The company can even help you find a Tesla-certified installer for wall connectors or solar roof panels.
Frequently asked questions about Tesla insurance
Filing a claim with Tesla Insurance is all done through its dedicated mobile app. After opening the app, navigate to your profile icon in the top right-hand corner, then tap "Account," "Insurance," and "Claims," in that order. From there, you’ll be able to submit necessary information like contact details and accident photos.
Unfortunately, the average Tesla car insurance rates are not publicly available. Since Tesla uses real-time driving habits to rate insurance policies in most states, Tesla policyholders may have more control over their insurance premiums than others do, which could be very good news for careful drivers. When shopping for car insurance online, getting quotes from Tesla, along with a few other insurance companies, may help you find the most affordable option.
On March 1, 2023, Tesla released its Master Plan Part 3 - Sustainable Energy for All of Earth, focusing on the possibility of a sustainable global energy economy. Tesla’s 2023 Impact Report gave an overview of its environmental, social and governance (ESG) efforts made internally over the past year. The report highlights the sustainability of Tesla vehicles, such as claiming that every Tesla avoids about 51 tons of CO2 emissions. However, the report doesn’t mention that Tesla drivers have more accidents per 1,000 drivers than any other auto brand.
Tesla lets customers pay their auto insurance bill on a monthly basis. You can make adjustments to your coverage or cancel your policy at any time by contacting the insurer. Tesla makes clear the steps for actions like adding and removing drivers, changing your policy coverage or changing your lienholder through the app. However, there is not a transparent process for canceling coverage in the app. You may need to call 1-844-34-TESLA to speak to someone in order to cancel.
California drivers can purchase Tesla car insurance even if they do not own a Tesla. Drivers in other states where Tesla car insurance is an option can add non-Tesla vehicles to their policies as long as they also insure a Tesla. Since other cars are not set up with the same type of telematics technology that a Tesla vehicle is, the rating and coverage options may be different.
While we strive to review and rate a wide array of insurance companies, Tesla Insurance has not been assigned a Bankrate Score. This is due to various factors, including the unique nature of Tesla's insurance offerings, which are specifically tailored to their vehicles and incorporate telematics-based pricing. Additionally, the relatively new and innovative model of Tesla's insurance, focusing on technology and safety scores, presents a different set of criteria that may not align with traditional rating systems. As such, for a comprehensive understanding of Tesla Insurance, we recommend reaching out directly to the company and considering a broad range of information sources.
What policyholders are saying about Tesla
Tesla has 25 reviews
Dive into community reviews below and see what others think about Tesla.
4.1
25
ratings
Star ranking and total number reflects the lifetime customer reviews received while this lender has been an advertiser on Bankrate.
To help serve you with relevant information, the customer reviews shown are limited to only those that this advertiser has received during the past 12 months.
68% of consumers recommend this insurer
Score breakdown
5 stars
52%
4 stars
16%
3 stars
24%
2 stars
4%
1 star
4%
Score by category
Overall rating4.1 / 5
Original cost3.6 / 5
Coverage4.0 / 5
Customer Support4.3 / 5
How we got these ratings
In May 2024, Bankrate collaborated with market research firm SliceMR to survey over 1,500 insurance customers nationwide, asking policyholders to rate their insurer’s cost, coverage, customer support and overall experience on a five-point scale. Bankrate and SliceMR collected and analyzed these customer ratings, along with website analytics and responses to three open-ended questions regarding customer experience. Responses are based on individual policyholders’ policy details and personal experience, and therefore cannot be verified for accuracy. Users received an incentive for their feedback. All ratings are unedited and have not been reviewed or approved by insurance carriers. User-generated ratings are separate from carrier Bankrate Scores — which are calculated based on our proprietary methodology — and may not match.
Community Reviews
See what users like you are saying about Tesla.
Anonymous Policyholder
August 20, 2024
What made you choose this insurer over others for your auto and/or home insurance?
I for one own the car and considering the reckless driving these days it made sense for me to pick tesla insurance
How does this insurer compare to insurance companies you’ve had in the past?
In the past the rates of coverage compared to how much I paid were unfair
Insurance Type
Auto
Score by category
Original cost2/ 5
Customer Support4/ 5
Coverage3/ 5
Anonymous Policyholder
August 20, 2024
What made you choose this insurer over others for your auto and/or home insurance?
It's the best
Name the number one reason that you’d recommend staying with this insurer and the number one reason that you’d consider leaving for a different company.
Prices
Insurance Type
Auto
Score by category
Original cost5/ 5
Customer Support5/ 5
Coverage5/ 5
Anonymous Policyholder
August 20, 2024
Name the number one reason that you’d recommend staying with this insurer and the number one reason that you’d consider leaving for a different company.
Because I'm used to it also family uses it
Insurance Type
Auto
Score by category
Original cost1/ 5
Customer Support5/ 5
Coverage4/ 5
Anonymous Policyholder
August 20, 2024
How does this insurer compare to insurance companies you’ve had in the past?
Cheaper
Insurance Type
Auto
Score by category
Original cost5/ 5
Customer Support5/ 5
Coverage3/ 5
Anonymous Policyholder
August 20, 2024
Name the number one reason that you’d recommend staying with this insurer and the number one reason that you’d consider leaving for a different company.
Because of the benefits they were offering
Insurance Type
Auto
Score by category
Original cost4/ 5
Customer Support4/ 5
Coverage2/ 5
Anonymous Policyholder
August 20, 2024
What made you choose this insurer over others for your auto and/or home insurance?
It’s good but not great it’s expensive
How does this insurer compare to insurance companies you’ve had in the past?
Offers more benefits
Insurance Type
Auto
Score by category
Original cost2/ 5
Customer Support4/ 5
Coverage3/ 5
Anonymous Policyholder
August 20, 2024
Name the number one reason that you’d recommend staying with this insurer and the number one reason that you’d consider leaving for a different company.
If their prices dropped and if the prices raised
Insurance Type
Auto
Score by category
Original cost4/ 5
Customer Support4/ 5
Coverage4/ 5
Anonymous Policyholder
August 20, 2024
How does this insurer compare to insurance companies you’ve had in the past?
They actually help with money.
Name the number one reason that you’d recommend staying with this insurer and the number one reason that you’d consider leaving for a different company.
Don’t want to find another one.
Insurance Type
Auto
Score by category
Original cost2/ 5
Customer Support3/ 5
Coverage3/ 5
Anonymous Policyholder
August 20, 2024
What made you choose this insurer over others for your auto and/or home insurance?
They’re very on point with their service
Name the number one reason that you’d recommend staying with this insurer and the number one reason that you’d consider leaving for a different company.
I would recommend it because they’re customer service is always helpful and on point
Insurance Type
Auto
Score by category
Original cost5/ 5
Customer Support5/ 5
Coverage5/ 5
Anonymous Policyholder
August 20, 2024
What made you choose this insurer over others for your auto and/or home insurance?
Best price for Tesla
Name the number one reason that you’d recommend staying with this insurer and the number one reason that you’d consider leaving for a different company.
Ashlyn Brooks is a finance writer with more than half a decade of experience, known for her knowledge in areas such as taxes, insurance, investing, retirement, finance news, and banking products.
Jessa Claeys is an insurance editor for Bankrate with over a decade of experience writing, editing and leading teams of content creators. She is a licensed personal lines insurance producer in Colorado. Jessa currently covers auto, home and life insurance with the goal of helping others secure a healthy financial future. Her work has been published by several insurance, personal finance and investment-focused publications, including BiggerPockets, 401(k) Specialist, BP Wealth and more.
