Is Auto Insurance Higher for Self-Driving Cars?
For most drivers today, yes. Vehicles with self-driving features generally cost more to insure, though a few new products are starting to reward autonomous driving with discounts.
What the Numbers Show
The Zebra puts the average premium for vehicles with autonomous driving features at $1,768 for a six-month policy, about 52% above the typical rate of $1,163. Insurance.com’s analysis found full coverage averaging $3,592 a year, roughly $1,000 above the national average. Premiums vary by vehicle and location. Among Tesla models in the Zebra data, six-month averages ranged from $1,644 for the Model 3 to $2,561 for the Model S.
Why Premiums Run Higher
The main reason is repair cost, not crash risk. Cars with these features tend to be expensive, newer vehicles, and when they’re damaged, the camera and sensor systems are costly to replace and recalibrate. One industry guide estimates sensor-equipped repairs can cost three to four times more. Cars that are safer on paper can still carry higher premiums because each claim costs more.
What “Self-Driving” Means Right Now
Despite the name, most of these cars aren’t fully autonomous. Tesla’s Full Self-Driving is classified as Level 2, meaning the driver must stay alert and in control. That matters for insurance: standard policies generally treat accidents with these features engaged like any other collision, and no special policy is legally required. Your rate still mostly reflects your own driving profile.
The Discount Side
A few insurers are experimenting with pricing that rewards the technology. Lemonade launched a product in January 2026 that cuts per-mile rates by about 50% when Tesla’s FSD is engaged, using Tesla’s vehicle data to separate FSD miles from human-driven ones. Tesla’s own insurance plan offers up to a 10% discount for drivers who use FSD for more than half their miles. Those claims rest on company safety data, and federal regulators have investigated crashes involving FSD, so the long-term picture is still developing.
What This Means for Texas Drivers
Texas is an at-fault state, and you must still carry at least 30/60/25 liability coverage. If you own a car with advanced driver-assistance features, get quotes from several carriers, including usage-based options, and ask how each prices these features. Confirm that your policy covers sensor and camera repair. For questions about your coverage, contact the Texas Department of Insurance.
