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Study: Tesla Model Y Most Expensive Vehicle Model To Insure

A new study of insurance changes in 2021 points to the Tesla Model Y electric crossover vehicle as an outlier and the single most expensive model to insure.
Image courtesy of Tesla

If you own a Tesla Model Y and feel like your insurance is unusually high, you might be right. A new study published by MoneyGeek of changes to the auto insurance policy rates drives will pay in 2021 finds that for the most part premiums will decline. But not if you drive a Tesla Model Y. That model was found to have the highest insurance cost among all automobiles. Tesla's newest model has an average cost more than double the average for all vehicles.

Most of the differences in insurance policy premiums are not related to the specific car you drive. Your age, credit score, marital status, place of residence, driving record, and other factors can move the policy cost up or down much more than your choice of vehicle. Although one's personal situation accounts for significant changes to a policy premium, MoneyGeek found the overall average cost of insurance for the Tesla Model Y to be $2,878 per year (not every six months). If your demographics are favorable to insurance company risk factors you will pay less. If you are "twenty-nothing" with a DUI and two speeding tickets under your belt who is casual about bill paying and you live in a place where cars are often vandalized, crashed or stolen, be prepared to pay much more.

The Tesla Model Y costs more than twice as much to insure as a Ford F-150 or Toyota RAV4. The study found, "Certain car models can be extremely expensive to insure, but most car models will alter a driver’s rates by less than a few hundred dollars per year. For example, the top-selling sedan (Toyota Camry), truck (Ford F-150) and SUV (Toyota RAV4) models in the country all cost our sample driver an average of $1,181 to $1,276 to insure. On the other hand, sports cars and electric car models can be much more expensive to insure than the average car. MoneyGeek found that the most expensive car to insure is a Tesla Model Y. The cheapest car model to insure is a Jeep Patriot."

Here is a list of the Tesla Models' Average Insurance Costs Per Year According to MoneyGeek
Tesla Model Y: $2,878
Tesla Model S: $2,402
Tesla Model X: $2,368
Tesla Model 3: $1,712

Torque News has reached out to MoneyGeek's researchers for more data on why the Model Y is so expensive. Check back for more details soon. Here is the full study.

John Goreham is a long-time New England Motor Press Association member and recovering engineer. Following his engineering program, John also completed a marketing program at Northeastern University and worked with automotive component manufacturers. In addition to Torque News, John's work has appeared in print in dozens of American newspapers and he provides reviews to many vehicle shopping sites. You can follow John on Twitter, and view his credentials at Linkedin

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Comments

Michael Hutcheson (not verified)    March 4, 2021 - 9:41PM

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How much to insure a Model Y compared to a BMW X5? Any other type of comparison is baloney. Of course the X5 would still have inferior performance, higher lifetime costs, less safe, less cargo, lesser ADAS, no possible FSD, more pollution, no OTA.

John Goreham    March 5, 2021 - 8:01AM

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You make a great point, Michael. We have reached out to MoneyGeek and asked that they provide the two closest pricing examples of a vehicle similar to the Model Y. We will update the story if they follow up with example prices. Thank you for the idea.

Jack Laol (not verified)    March 5, 2021 - 9:00AM

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Did you consider applying a BS filter to this survey? You could have just asked a few friends what they pay. Surely they own one of these vehicles. Or actually waited to write this after you got a response to your questions. You just regurgitated it. That’s journalism?

DeanMcManis (not verified)    March 8, 2021 - 1:02PM

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Tesla does offer their own (less expensive) insurance as well in some states, with additional cost and coverage benefits for driving with Autopilot. It seems strange that the Model Y would cost that much more than the Model 3 to insure. I do also wonder how the Model Y's insurance would compare to the Audi E-Tron, Jaguar I-Pace, and Ford Mach-E. Being more apples-to-apples.

Michael (not verified)    March 21, 2021 - 9:49PM

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I was quoted $450 per MONTH (you read that right) on Friday, I'm in the middle of trying to buy a Model Y. They also said the system was down for maintenance until Monday, so I'm checking back tomorrow.

askmrlee (not verified)    March 24, 2021 - 1:10PM

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Moneygeek study probably used a high risk driver profile. I have a 2016 Lexus and that costs $7/ 6 months more than a 2020 Model Y with Connect by American Family (Costco). Total bill is $765/ 6 months for the two cars.

David radzieta (not verified)    September 28, 2021 - 7:26AM

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High insurance cost does seem to be a recurring complaint in Tesla forums. The Nissan Leaf used to one of the least expensive cars to insure. Last I checked it was about average.

That said EVs are not the best vehicles for long travels, but they cannot be beat for regional or city commuting. Only 1/3 the operating cost of a Prius and if you charge overnight at home like 95% of the EV owners you are mostly emission free. More power from renewables and nukes overnight and less coal. So if you are a multi car family try an EV for one of those vehicles. I can tell you a dozen reasons why but I'll stop at this.

50 years ago people made up dozens of excuses not to buy a new kitchen product. It will give you cancer, melt your brain, render your food poisonous, remove all your foods nutrition,etc etc. Excuse after excuse for not buying a microwave. Stop making excuses and dive in and buy a EV.