In this paper, performance of the initial alignment for INS whose attitude is not leveled is investigated. Observability of the initial alignment filter is analyzed and estimation errors of the estimated state variables are derived. First, the observability is analyzed using the rank test of observability matrix and the normalized error covariance of the Kalman filter based on the 10-state model. In result, it can be seen that the accelerometer biases on horizontal axes are unobservable. Second, the steady-state estimation errors of the state variables are derived using the observability equation. It is verified that the estimates of the state variables have errors due to the unobservable state variables and the non-leveling tilt angles of a vehicle containing the INS. Especially, this paper shows that the larger the tilt angles of the vehicle are, the larger the estimation errors corresponding to the sensor biases are. Finally, it is shown that the performance of the 8-state model excepting the accelerometer biases on horizontal axes is better than that of the 10-state model in the initial alignment by simulation.