Progressive vs Tesla Insurance Car Insurance
Open-market mainstream against OEM-direct Tesla-only insurance. Progressive writes anyone's auto nationwide; Tesla Insurance writes only Teslas in approximately 13 states (AZ, CA, CO, IL, MD, MN, NV, OH, OR, TX, UT, VA, WA). The load-bearing fact a Tesla owner must understand: in NON-CALIFORNIA Tesla Insurance states, your monthly premium is recalculated each month from your Safety Score and CAN GO UP — this is NOT a discount-only program. In California, Prop 103 prohibits real-time telematics-based rating and Tesla uses conventional Prop-103 rating. For a Tesla owner, the decision is OEM-direct vehicle integration vs open-market coverage breadth plus Snapshot's transparent-two-way telematics.
Progressive reviewed 2026-09-28; Tesla Insurance reviewed 2026-10-02; this comparison reviewed 2026-10-02.
Why this comparison exists. A Tesla owner living in one of Tesla Insurance's ~13 states weighing the OEM-direct product with real-time Safety Score pricing (non-CA) against Progressive's open-market standard rating with optional Snapshot. The decision is only honestly answerable in this specific shopper scenario — a non-Tesla owner has no access to Tesla Insurance, and a Tesla owner outside the ~13 states has only Progressive on this list.
At a glance
| Dimension | Progressive | Tesla Insurance |
|---|---|---|
| Parent / entity | The Progressive Corporation (NYSE: PGR); publicly-traded. HQ Mayfield Village, Ohio. | Tesla, Inc. (NASDAQ: TSLA; OEM-direct insurance product). California carrier is wholly owned by Tesla. Non-California carrier is State National Insurance Company, a Markel Group (NYSE: MKL) subsidiary that fronts the Tesla Insurance book outside California. |
| Category | National mass-market | Specialty / direct |
| Distribution | Direct + independent agent | Direct-to-consumer |
| Footprint | National (all 50 states + DC) | Super-regional (13 states) |
| AM Best FSR | A+ (Superior); outlook StableTIER 1 | A (Excellent); outlook StableTIER 1 |
| AM Best affirmation | 2026-05-01 | 2025-11-21 |
| Market share (NAIC) | 18.6% (rank 2, 2024) | 0.05% (rank 60, 2024) |
| Telematics program | Snapshot — can raise rate | Tesla Safety Score — can raise rate |
Where these two actually differ
Open market vs Tesla-only in ~13 states
Progressive writes personal auto nationwide for any eligible driver. Tesla Insurance writes only Teslas (Model S, 3, X, Y, Cybertruck) in approximately 13 states: Arizona, California, Colorado, Illinois, Maryland, Minnesota, Nevada, Ohio, Oregon, Texas, Utah, Virginia, and Washington. Non-Tesla primary vehicles are not eligible for Tesla Insurance; non-Tesla vehicles may be permitted on the same policy for household members in some states. If you do not own a Tesla or you live outside those 13 states, Tesla Insurance is not an option and the comparison collapses to Progressive alone.
Snapshot-optional vs Safety-Score-mandatory (non-CA)
Progressive's Snapshot is OPTIONAL — your base quote is set the traditional way and Snapshot is an opt-in discount program with a published average $164 sign-up / $328 completion discount and disclosed ~2-in-10 surcharge probability. Tesla Insurance's Safety Score is MANDATORY in non-California states — your monthly premium is recalculated each month based on the prior month's Safety Score, and a lower score results in a HIGHER monthly premium than the baseline estimate shown at quote. The behaviors tracked are Forward Collision Warnings per 1,000 miles, Hard Braking, Aggressive Turning, Unsafe Following, Forced Autopilot Disengagement, Unbuckled Driving, Excessive Speeding, and Late Night Driving. In California, Prop 103 prohibits real-time telematics-based rating; California Tesla Insurance uses a traditional rating methodology that does NOT adjust monthly premium based on Safety Score the way non-CA states do.
Two separate ratings behind Tesla Insurance (state-by-state COR)
Progressive carries AM Best A+ (Superior) / 'aa' (Superior) ICR, affirmed May 1, 2026 with stable outlook. Tesla Insurance carries TWO separate ratings depending on your state. California: Tesla Property & Casualty, Inc. (Tesla's own CA-domiciled carrier) is the carrier of record; AM Best rating for Tesla P&C is UNVERIFIED to a primary ambest.com page and may be NR (Not Rated). California readers rely on Tesla P&C's own balance sheet. All other current Tesla Insurance states: State National Insurance Company (NAIC #12831, Markel Group subsidiary) is historically the carrier of record; AM Best FSR A (Excellent) historical. California Tesla Insurance shoppers have one FSR picture; non-California shoppers have a different one. Progressive's single-entity Superior rating is simpler to evaluate.
Progressive coverage breadth vs Tesla-specific coverages
Progressive publishes Loan/Lease Payoff (gap-equivalent up to 25% ACV), Deductible Savings Bank ($50 credit per claim-free period), Pet Injury with collision ($1,000), Custom Parts and Equipment up to $5,000, rideshare in select states, Trip Interruption. Tesla Insurance publishes Tesla-specific endorsements no mainstream carrier matches: Electronic Key coverage (replacement of Tesla phone-key or key-card), Wall Connector coverage (home charging equipment), and Cyber Identity coverage in states where offered. Tesla publicly disclaims any premium discount for Full Self-Driving (FSD) engaged miles. If Tesla-specific endorsements map to your household, Tesla Insurance's product is uniquely engineered; if open-market coverage breadth matters, Progressive is the fit.
Trade-press signal vs California DOI scrutiny of Safety Score
Trade-press reporting on the 2025 J.D. Power U.S. Auto Insurance Study places Progressive below State Farm, GEICO, and Allstate across regions. The California Department of Insurance has publicly raised concerns about the transparency and actuarial basis of Tesla's Safety Score methodology; no confirmed formal enforcement orders against Tesla P&C as of 2026-10-02, but readers should verify current status at the CDI Enforcement Actions page. Tesla Insurance's NAIC complaint index outside California cannot be isolated — State National's complaint index aggregates every fronted program it writes. For a Tesla shopper in California, the CDI scrutiny is a specific regulatory signal to weigh.
Telematics side by side
Progressive
Program Snapshot
Tracks hard_braking, acceleration, phone_use, mileage, time_of_day
Can raise rate? Yes
Enrollment max Average sign-up discount of $164 per Progressive's own Snapshot page
Renewal max Average program-completion discount of $328; usually applies at the six-month policy renewal following enrolment
State exclusions CA
Progressive itself states that "your rate may increase with high-risk driving" and that "only about 2 out of 10 drivers actually get an increase." Not available in California. The sign-up discount is not available in Hawaii or New York; Progressive excludes NC/HI/NY/MT from its Snapshot savings claims. Progressive explicitly advises drivers to "avoid driving between 12 a.m. and 4 a.m. on weekends." Phone use is only considered in some states and when you choose the mobile app rather than the device.TIER 1
Tesla Insurance
Program Tesla Safety Score
Tracks hard_braking, cornering, phone_use, time_of_day, speed
Can raise rate? Yes
Enrollment max Safety Score IS the pricing mechanism in non-CA states; not a stacked discount
Renewal max Monthly premium is recalculated each month from the prior month Safety Score
YMYL CRITICAL: Tesla Safety Score behaviors tracked are Forward Collision Warnings per 1,000 miles, Hard Braking, Aggressive Turning, Unsafe Following, Forced Autopilot Disengagement, Unbuckled Driving, Excessive Speeding, and Late Night Driving. In NON-CALIFORNIA STATES, monthly premium is recalculated each month and a lower Safety Score results in a HIGHER monthly premium than the baseline estimate shown at quote. The price you quoted is not the price you will pay — this is the single most important disclosure for Tesla Insurance readers. In CALIFORNIA, Prop 103 prohibits real-time telematics-based rating; California Tesla Insurance uses a traditional rating methodology (driver, vehicle, territory, coverage) and does NOT adjust monthly premium based on Safety Score the way non-CA states do.TIER 1
Financial strength
Progressive
AM Best FSR A+ (Superior)
Long-Term ICR aa (Superior)
Outlook Stable
Affirmed 2026-05-01
AM Best affirmed FSR A+ (Superior) and Long-Term ICR "aa" (Superior) of The Progressive Corporation and its members on May 1, 2026, stable outlook. The affirmation cited an increase in underwriting profit in 2025 driven by lower personal and commercial auto accident frequency, lower weather-related catastrophe losses, and favorable prior-accident-year development, with the group reporting $11.3B in net income in 2025 vs $8.5B in 2024. A+ (Superior) is one tier below A++.TIER 1
Tesla Insurance
AM Best FSR A (Excellent)
Long-Term ICR a+ (Excellent) at State National Insurance Company (non-CA carrier of record)
Outlook Stable
Affirmed 2025-11-21
YMYL CRITICAL: Tesla Insurance carries TWO SEPARATE financial-strength ratings depending on your state. (1) CALIFORNIA: Tesla Property & Casualty, Inc. is CDI-admitted; AM Best rating is UNVERIFIED to ambest.com and multiple secondary trackers (insuranceproviders.com, quoteserv.com) explicitly list Tesla P&C as NR (Not Rated). California readers rely on Tesla P&C's own balance sheet. (2) ALL OTHER STATES: State National Insurance Company (NAIC #12831, Markel Group subsidiary) is historically the carrier of record. AM Best affirmed State National Group members at FSR A (Excellent) and Long-Term ICR a+ (Excellent) with Stable outlook on November 21, 2025 as part of the Markel Group affirmation (Markel Group ICR bbb+ Good; outlook also Stable). The A (Excellent) rating in this record applies ONLY to non-California policies; California readers must verify Tesla P&C's current rating separately.TIER 1
Coverage differences
| Coverage | Progressive | Tesla Insurance |
|---|---|---|
| Collision | — | Offered |
| Comprehensive and collision | OfferedOptional first-party coverages. | — |
| Comprehensive | — | Offered |
| Custom Parts and Equipment (CPE) | OfferedReimbursement for covered custom modifications, subject to $5,000 limit. | — |
| Cyber Identity coverage | — | OfferedAvailability varies by state. |
| Deductible Savings Bank | Offered$50 credit toward collision or comprehensive deductible for each violation- and claim-free six-month policy period. | — |
| Electronic Key coverage | — | OfferedTesla-specific: replacement of Tesla phone-key or key-card. |
| Loan/Lease Payoff (gap-equivalent) | OfferedUp to 25% of the vehicle's actual cash value if totaled while you still owe on it. | — |
| Pet Injury Coverage | OfferedAutomatically included when you add collision; $1,000 limit for veterinary expenses if your pet is injured in a covered accident. | — |
| Renters insurance add-on | OfferedAvailable in select states to bundle renters coverage into a single policy. | — |
| Rideshare coverage | OfferedAvailable as add-on for policyholders logged into rideshare or delivery apps, offered in select states. | — |
| Trip Interruption | OfferedIn states where available: $500 daily max with $100 lodging / $50 transportation / $50 food per day. | — |
| Vehicle Protection | OfferedCovers major system repairs, minor dents/dings, and lost/stolen keys for vehicles under 7 years old also carrying liability + comprehensive + collision. | — |
| Wall Connector coverage | — | OfferedTesla home charging equipment. |
| FSD-specific coverage / discount | — | Not offeredTesla has publicly disclaimed any premium discount for FSD; standard liability applies to driver actions regardless of Autopilot engagement. |
| Bodily injury and property damage liability | OfferedState minimums vary; higher limits generally available. | Offered |
| Medical payments (Med Pay) | OfferedOptional in most states. | Offered |
| Personal injury protection (PIP) | OfferedOffered in some states. | OfferedNo-fault states only. |
| Rental Car Reimbursement | OfferedUp to policy limits during covered repairs. | Offered |
| Roadside Assistance | OfferedTowing, lock-out, tire changes, fuel/fluid delivery. | Offered |
| Uninsured / underinsured motorist | OfferedRequired or optional depending on state. | OfferedWhere state requires. |
Dated events that specifically move this matchup
Affects ProgressiveProgressive AM Best affirmation A+ (Superior) / aa ICR; outlook stable2026-05-01
$11.3B 2025 net income (vs $8.5B 2024); affirmation cited lower auto accident frequency and favorable prior-accident-year development.TIER 1
Affects Tesla InsuranceCalifornia DOI scrutiny of Tesla Safety Score methodology (ongoing)2024-01-01
The California Department of Insurance has publicly raised concerns about the transparency and actuarial basis of Tesla's Safety Score methodology. No confirmed formal enforcement orders against Tesla P&C in California as of 2026-10-02; status should be verified at the CDI Enforcement Actions page before relying.TIER 1
Who should quote each
Progressive — Non-Tesla owners, out-of-footprint Tesla owners, or shoppers wanting coverage breadth
- You do not own a Tesla, or you own a Tesla but live outside Tesla Insurance's ~13 states — Progressive is your option.
- You want gap-equivalent (Loan/Lease Payoff), Deductible Savings Bank, Pet Injury with collision, or Custom Parts coverage — Progressive publishes all; Tesla Insurance's menu does not match on these.
- You want Snapshot as an OPTIONAL discount lever with a known savings ceiling and disclosed surcharge probability, not a mandatory monthly premium recalculation.
- You want AM Best A+ (Superior) counterparty strength with a single-entity rating — Tesla Insurance's state-by-state carrier-of-record creates two different FSR pictures depending on your state.
Tesla Insurance — Tesla owners in Tesla Insurance states who want OEM-direct integration
- You own a Tesla (Model S, 3, X, Y, Cybertruck) and live in one of the ~13 Tesla Insurance states.
- You want OEM-direct distribution with policy management inside the Tesla app and no agent conversation.
- You value Tesla-specific coverages (Electronic Key, Wall Connector, Cyber Identity) that mainstream carriers do not package.
- You live in California where traditional Prop-103 rating applies and the Safety Score monthly adjustment does NOT apply.
Quote both — Tesla owners in the ~13 Tesla Insurance states
- Tesla owners weighing OEM-direct Safety Score pricing (CAN raise rate monthly in non-CA states) against Progressive's standard rating with optional Snapshot.
- California Tesla owners — the Safety Score monthly adjustment does NOT apply, so the comparison is between Tesla P&C's Prop-103 rate and Progressive's standard rate at identical coverage.
- Shoppers who want to understand the state-by-state carrier-of-record YMYL disclosure before committing — the exact Tesla Insurance underwriter varies.
- Households with mixed vehicles — one Tesla, one non-Tesla — comparing Tesla Insurance for the Tesla against Progressive for the household at identical coverage.
Get real quotes from Progressive and Tesla Insurance on your own profile.
Compare car insurance quotesCommon questions
Can Tesla Insurance raise my monthly premium?
YES, in non-California states. Your monthly premium is recalculated each month based on the prior month's Safety Score. A lower Safety Score results in a HIGHER monthly premium than the baseline estimate shown at quote. This is structurally different from Progressive Snapshot or State Farm Drive Safe & Save, which only discount. In CALIFORNIA, Prop 103 prohibits real-time telematics-based rating; California Tesla Insurance uses a traditional rating methodology that does NOT adjust monthly premium based on Safety Score.
Who actually underwrites my Tesla Insurance policy?
It depends on your state. CALIFORNIA: Tesla Property & Casualty, Inc. (Tesla's own California subsidiary; CDI-admitted) is the carrier of record. ALL OTHER CURRENT TESLA INSURANCE STATES: State National Insurance Company (NAIC #12831, Markel Group subsidiary) is historically the carrier of record. Check your declarations page to confirm which entity underwrites your specific policy.
Can Snapshot raise my rate?
Yes, but Progressive discloses the surcharge probability publicly: 'only about 2 out of 10 drivers actually get an increase.' Snapshot is OPTIONAL at Progressive — your base quote is set without it. Tesla Insurance's Safety Score is NOT optional in non-California states; the monthly recalculation is the pricing mechanism.
Does Tesla Insurance offer gap coverage?
Tesla's standard coverage menu does not match Progressive's Loan/Lease Payoff (gap-equivalent up to 25% ACV). Tesla's distinctive endorsements are Tesla-specific (Electronic Key, Wall Connector, Cyber Identity). If gap matters to you and you own a Tesla in a Tesla Insurance state, Progressive's Loan/Lease Payoff is the structural fit for the gap-coverage portion of your policy.
What is the California DOI investigation about?
The California Department of Insurance has publicly raised concerns about the transparency and actuarial basis of Tesla's Safety Score methodology. California's Prop-103 statutory framework prohibits real-time telematics-based rating as the primary rating factor, which is why California Tesla uses traditional rating methodology rather than Safety-Score-based monthly adjustment. No confirmed formal enforcement orders against Tesla Property & Casualty, Inc. as of 2026-10-02; status should be verified at the CDI Enforcement Actions page.
Is Tesla Insurance cheaper than Progressive?
Tesla has publicly claimed 20-30% savings versus incumbent carriers; this is marketing framing, not a verified comparative rate benchmark. Progressive's modeled rates in 2026 anchor near the national average per publisher summaries. For a Tesla owner, the honest comparison requires running both quotes at identical coverage — and in non-California states, understanding that the Tesla Insurance quote is a baseline estimate that will be recalculated monthly based on your Safety Score.
Sources & methodology
- TIER 1ProgressiveAM Best: AM Best Affirms Credit Ratings of The Progressive Corporation and Its Subsidiaries (May 1, 2026 affirmation) (AM Best)
- TIER 1ProgressiveProgressive: Snapshot program page (behaviors tracked, published averages, state availability) (Progressive)
- TIER 1ProgressiveProgressive: Auto insurance discounts page (Progressive)
- TIER 1ProgressiveProgressive: Auto insurance coverages page (Progressive)
- TIER 3ProgressiveNerdWallet: Progressive Car Insurance Review (September 2026 modeled rates) (NerdWallet)
- TIER 3ProgressiveValuePenguin: Progressive Insurance Review (modeled full-coverage rate) (ValuePenguin)
- TIER 1ProgressiveInsurance Information Institute: Facts + Statistics: Auto Insurance (NAIC private-passenger market share, most recent year) (Insurance Information Institute)
- TIER 3ProgressiveAgency Checklists: NAIC 2025 Market Share, Top 25 Private Passenger Auto Insurers (secondary reporting of NAIC 2025 direct-premiums-earned data) (Agency Checklists)
- TIER 2ProgressiveS&P Global Market Intelligence: Progressive now No. 1 US private auto insurer for full 12 months, estimates show (May 2026, trailing 12 months ending March 31 2026) (S&P Global Market Intelligence)
- TIER 1ProgressiveThe Progressive Corporation: Form 10-K, fiscal year 2025 (SEC EDGAR) (U.S. Securities and Exchange Commission)
- TIER 2ProgressiveCarrier Management: Why Progressive's Customer Scores Lag State Farm, GEICO (secondary reporting on 2025 J.D. Power U.S. Auto Insurance Study) (Carrier Management)
- TIER 2ProgressiveJ.D. Power: 2025 U.S. Auto Claims Satisfaction Study (press release) (J.D. Power)
- TIER 2ProgressiveJ.D. Power: 2025 U.S. Insurance Digital Experience Study (press release) (J.D. Power)
- TIER 1ProgressiveNational Association of Insurance Commissioners: Consumer Information Source (complaint index lookup by insurer) (NAIC)
- TIER 1Tesla InsuranceTesla Insurance Support (eligibility, state availability, coverages) (Tesla, Inc.)
- TIER 1Tesla InsuranceAM Best: Affirms Credit Ratings of Markel Group Inc. and Its Subsidiaries (November 21, 2025); State National Group FSR A (Excellent); Long-Term ICR a+ (Excellent); Markel Group ICR bbb+ (Good); all Stable outlook. State National is the non-California Tesla Insurance carrier of record (NAIC #12831). (AM Best)
- TIER 1Tesla InsuranceTesla Safety Score methodology (behaviors tracked and monthly premium adjustment) (Tesla, Inc.)
- TIER 1Tesla InsuranceCalifornia Department of Insurance 2025 Consumer Complaint Study (Auto) — Tesla P&C data (California Department of Insurance)
- TIER 2Tesla InsuranceJ.D. Power 2025 U.S. Auto Insurance Study (Tesla not individually ranked) (J.D. Power)
- TIER 1Tesla InsuranceNAIC Consumer Information Source (Tesla P&C California-only data; State National aggregates ALL fronted programs) (National Association of Insurance Commissioners)
Every pivot and matrix cell on this page traces to a source listed above, with the provider tag identifying which ProviderReviewFacts record authored the claim. Shared sources (e.g. NAIC Consumer Information Source, J.D. Power press-release landing pages) are attributed to both providers and anchor against the alphabetically-first provider's slug.