Tesla Extended Warranty

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Crash Course:

• Tesla’s manufacturer-backed extended vehicle warranty costs between $1,800 and $3,500 depending on your model.
• Extended coverage from Tesla is available for select Model S, Model X, Model 3, and Model Y vehicles.
• An extended warranty from a third-party provider may offer more flexibility and coverage options for your Tesla.

Extended warranty coverage can help cover the cost of repairs on your Tesla vehicle after its factory warranty expires. But the Tesla Extended Service Agreement (ESA) isn’t your only choice for coverage for your electric vehicle.

Our research team took an in-depth look at extended warranty options for Tesla vehicles and compared the manufacturer’s plans to some of the top extended auto warranty providers in the country. In this article, we share what we learned and show you what Tesla’s extended coverage includes.

Tesla Extended Warranty Overview

The Tesla ESA is a bumper-to-bumper warranty that offers similar coverage to the automaker’s original new vehicle limited warranty. It covers repair costs for most of the car’s components in the event of material or workmanship defects. 

See how our team rated the Tesla ESA below:

Rating Category	Score
Coverage	3.5
Cost	3.5
Accessibility/Usability	3.7
Benefits	3.25
Overall Rating	3.5

The Tesla ESA provides coverage for up to 2 years or 25,000 miles, whichever comes first. Note that the extended warranty is available for four Tesla vehicle models:

• Model S (2012 through 2020 only)
• Model X (2015 through 2020 only)
• Model 3
• Model Y

Under a Tesla ESA, vehicle repairs are covered unless the system or part is specifically excluded in your contract. This is because it’s an exclusionary warranty plan.

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Tesla Extended Warranty Advantages & Disadvantages

Tesla makes reviewing and purchasing extended warranties for select models easy. Owners may purchase an ESA plan directly through the company’s app. However, your vehicle is only eligible for this extended coverage while your factory Tesla warranty is active.

What Does a Tesla Extended Warranty Cover?

As exclusionary plans, the Tesla ESA coverage level is similar to standard bumper-to-bumper car warranties and extended vehicle warranties. This coverage kicks in when your Tesla factory ends and helps cover most parts and repair needs. But you should note that Tesla, like other warranty providers, has some exceptions to coverage. The following scenarios may disqualify your vehicle:

• Altered odometer
• Interior corrosion
• Damage caused by improper towing
• Installation of non-Tesla accessories
• Using your Tesla for commercial purposes
• Third-party repairs or delaying needed repairs
• Misuse, accidents, or failure to perform routine maintenance
• Damages to covered components by non-covered components

Review your Tesla ESA documentation for the most up-to-date list of exclusions and vehicle eligibility requirements.

What’s Not Covered By a Tesla Extended Warranty?

Below are some of the exclusions listed in Tesla’s ESA documentation:

• Battery and drive unit
• Maintenance items
• Tires and wheels
• Paint and sheet metal
• Shock absorbers
• Body seals and gaskets
• Mobile connectors
• Wall connectors
• Charging adapters
• Glass and upholstery

Note that the battery and drive unit have separate coverage that comes standard with your Tesla new vehicle purchase. Warranty terms for battery and drive unit coverage vary by Tesla model.

Tesla Extended Warranty Benefits

Compared to other extended warranty options, Tesla’s ESA carries fewer added perks. Customers who purchase the Tesla ESA receive complimentary roadside assistance service, which covers long-distance towing for repair services up to 500 miles and flat tire towing up to 50 miles. 

Since Tesla vehicles are electric, typical roadside assistance services such as fuel delivery and battery jump starts are not required.

When Can You Purchase a Tesla Extended Warranty?

Customers must purchase a Tesla ESA before their existing factory warranty expires. Tesla doesn’t provide a grace period, so look at your extended warranty options and make a purchase before your factory warranty expires. 

Can You Transfer or Cancel a Tesla Extended Warranty?

Tesla owners may transfer an ESA to a new owner of the same vehicle during the two years the agreement is active. For a transfer of a Tesla extended warranty to be valid, the original owner must:

• Not cancel coverage prior to any change of vehicle ownership
• Transfer the ESA to an individual, not a vehicle dealer or a customer of a vehicle dealer
• Include the transfer of remaining warranties and other documentation
• Complete all required maintenance during the agreement period
• Have the vehicle inspected by Tesla

If you’re the original owner of a Tesla ESA, you can cancel before coverage takes effect through the Tesla mobile app. To cancel your extended Tesla warranty for a prorated refund on or after its effective date, you must make a written cancellation request or complete the Tesla Vehicle Extended Service Cancellation Form and submit it to a Tesla Authorized Service Center.

How the Tesla ESA Works

Like many extended warranty policies, the Tesla ESA requires all vehicle repair work to be completed at an authorized service center. Tesla has established many service centers nationwide. If you can’t drive your car to the service center, the Tesla extended warranty will pay for free towing services up to 500 miles.

Other Reasons to Consider a Tesla Extended Warranty

The decision to purchase extended coverage is more than just a financial one. Even if you don’t get every dollar you spend on your plan back in covered repairs, there are still a few benefits, including:

• Predictable expenses: When you buy an extended warranty, you make a one-time fee or monthly payments to reduce or eliminate the risk of surprise repair bills. For many people, this is an easier way to manage finances and keep vehicle ownership costs predictable.
• Peace of mind: You might appreciate not having to worry about sudden repair costs. An extended warranty plan for your Tesla can provide this reassurance.
• Resale value: If you purchase an extended warranty for your car and then sell it, the buyer might be more willing to pay your asking price as the extra coverage adds value.

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Tesla Reliability

A car’s reliability rating is based on how likely and frequently it needs repairs. Unfortunately, Tesla is considered one of the least reliable automotive brands in the world. Tesla would have ranked 26th out of 30 auto brands for overall reliability in the 2024 J.D. Power U.S. Vehicle Dependability Study^SM, but Tesla was disqualified because it did not meet study eligibility criteria. Only Audi, Chrysler, Land Rover, and Volkswagen were ranked less reliable than Teslas.

In short, you are more likely to need repairs for your Tesla than for almost any other vehicle. That means that you may get more value out of an extended warranty for a Tesla than you would with most other vehicles.

Repair Costs

Teslas are prized for their technology, but those high-tech features tend to cost a lot to repair or replace. According to RepairPal, the average annual cost of repairs and maintenance for Tesla vehicles is $832. That’s nearly double the average cost for Hondas and Toyotas, but slightly below the average repair costs for BMWs.

Such high repair costs mean that if you need repairs – and it’s likely you will – you’ll have to pay quite a bit for them. Without a warranty, you’ll have to pay those costs out of pocket. That’s another reason you may get a good value out of a Tesla extended warranty plan.

What Coverage Do You Already Have?

Before buying a Tesla ESA or third-party warranty, check to see if you already have coverage on your vehicle. Every Tesla purchased new or as a certified pre-owned (CPO) vehicle comes with an initial warranty.

Tesla Factory Warranty

All new Teslas are covered by a four-year or 50,000-mile New Vehicle Limited Warranty, which provides comprehensive, bumper-to-bumper coverage. This plan covers most parts, aside from components like normal wear-and-tear items. 

New Teslas are also protected by a Battery and Drive Unit Warranty, but term lengths vary by model. This is Tesla’s equivalent of a powertrain warranty, and it guarantees a minimum 70% battery capacity retention. Here’s the breakdown of the coverage:

• Model S and Model X: 8 years or 150,000 miles
• Model 3 and Model Y Long Range or Performance: 8 years or 120,000 miles
• Model 3 and Model Y Standard or Standard Range Plus: 8 years or 100,000 miles

Tesla CPO Warranty

Tesla’s style of a CPO warranty provides one year or 10,000 miles of additional coverage under the manufacturer’s Used Vehicle Limited Warranty program. If your used Tesla has some factory warranty remaining, the CPO coverage begins at the end of the new vehicle warranty period. If you buy a used Tesla from the manufacturer with no remaining factory warranty, your one-year or 10,000-mile coverage starts immediately.

While the CPO warranty is available for Model 3, Model Y, Model S, and Model X vehicles, the coverage term is short. Although the Tesla Used Vehicle Limited Warranty is considered an exclusionary plan, the coverage is more limited than the manufacturer’s new vehicle warranty.

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Tesla Extended Warranty Cost

Below is a breakdown of Tesla’s ESA cost by model:

Tesla Model	Extended WarrantyTerm Limit	Purchase Price
Model 3	2 years or 25,000 miles	$1,800
Model Y	2 years or 35,000 miles	$2,000
Model S	2 years or 25,000 miles	$3,100
Model X	2 years or 50,000 miles	$3,500

Tesla Extended Warranty Deductible

In addition to the above plan prices, Tesla customers will need to pay a $100 deductible for each instance of repairs approved during the duration of the service contract.

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Other Options for Extended Car Warranty Coverage

The Tesla ESA isn’t your only choice for extending your warranty coverage. You can purchase extended vehicle coverage from an independent or third-party provider. Not every third-party provider offers plans for electric vehicles (EVs) just yet, but there are still a few options.

Independent Tesla Extended Warranty Advantages

Extended warranty plans from independent providers lack certain Tesla features like remote diagnostics but hold some advantages. A few benefits of purchasing a vehicle service contract from a third-party company include:

• More repair shop options: The Tesla ESA requires you to take your vehicle to an official service center for repairs. There are only 160 in the country. Independent providers, on the other hand, allow you to use your coverage at any of more than 1,500 repair centers with technicians certified by the National Institute for Automotive Service Excellence (ASE^®).
• Multiple plan options: While Tesla has just one coverage plan, third-party providers tend to offer multiple warranty options. This allows you to pay for coverage you want and skip coverage you don’t.
• Wider purchase window: Tesla’s extended coverage must be purchased before your factory warranty period ends. But with independent service plan providers, you can purchase coverage at almost any time.
• More purchase options: If you want to buy an ESA plan, you have to buy it from the dealership or through the Tesla app. By contrast, you can purchase third-party coverage online from any device or over the phone.
• Coverage for more vehicles: Tesla only offers ESA coverage for certain models. However, third-party providers that cover EVs may cover any year of Tesla models.
• More term length options: With Tesla, an extended warranty will add two years or 25,000 miles. By shopping for coverage with a third-party warranty provider, you can find coverage that lasts well over 100,000 miles. 

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Tesla Extended Warranty: Conclusion

Tesla’s extended warranty, known as the ESA, is a reasonably good value considering the price of the plan, the likelihood of needing repairs, and the cost of repairs. However, its purchase window is restrictive and the maximum mileage for which you’ll have Tesla coverage is 75,000 miles total. While you can purchase or cancel the Tesla ESA directly through the company’s mobile app, you may only do so during select times. 

If you want extended coverage for your Tesla, our research team encourages you to consider third-party options. An extended warranty from an independent provider gives you much more flexibility and many more options on how much coverage you have and how long you have it.

Recommended Third-Party Tesla Extended Warranty

Because Teslas are such specialized vehicles, many third-party providers do not cover them. However, one of our top-rated providers, CarShield, does offer Tesla coverage.

CarShield offers coverage that can extend up to 300,000 miles and was named best for Affordable Monthly Payments in our industry-wide review. CarShield also provides added benefits that the Tesla extended warranty lacks, including rental car reimbursement and trip interruption coverage. The company earned 4.5 out of 5.0 stars from our research team. 

For a full rundown on CarShield, read our comprehensive CarShield review.

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Tesla Extended Warranty: FAQ

Below are some frequently asked questions about Tesla extended warranties:

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Our Methodology

Our expert review team takes satisfaction in providing accurate and unbiased information. We identified the following rating categories based on consumer survey data and conducted extensive research to formulate rankings of the best extended auto warranty providers.

• Industry Standing: Our team considers Better Business Bureau (BBB) ratings, availability, and years in business when giving this score.
• Coverage: Because each consumer has unique needs, it’s essential that a car warranty company offers an array of coverage options. We take into account the number of plans offered by each provider, term limits, exclusions, and additional benefits.
• Affordability: A variety of factors influence cost, so it can be difficult to compare quotes between providers. Our team performs ongoing secret shopper analyses for different vehicles, mileages, warranty plans, and locations to give this rating.
• Transparency: We consider the transparency of each company’s contracts and the availability of a money-back guarantee when determining this score.
• Customer Service: Reputable extended car warranty companies operate with a certain degree of care for consumers. We take into account customer reviews, BBB complaints, and the responsiveness of the customer service team.

*Data accurate at time of publication