For some vehicles, Tesla has introduced a new extended warranty option

In the United States, Tesla has started promoting an extended warranty known as the Extended Service Agreement (ESA). Following an unintentional leak on their mobile app last year, the firm now offers additional coverage for qualified vehicles.

You might recall that when the mobile app’s version 4.11.0 went live in July 2022, Tesla mistakenly made a new extended warranties programme public. The Tesla ESA, a new $7,700 item, was added to the Upgrades category.

There were many grammatical, typographical, and formatting flaws in the description, which gave the impression that it wasn’t quite suitable for publication. It was unclear if the pricing was a placeholder or if the ESA was being developed for all vehicles.

Today, owners of qualified Model S, Model X, Model 3, and Model Y vehicles can purchase Tesla’s Vehicle Extended Service Agreement (Vehicle ESA). The Basic Vehicle Limited Warranty expires, and the Vehicle ESA begins. It terminates when the chosen time or mileage level is reached, whichever occurs first.

Qualifications and Coverage

The new car must be purchased directly from Tesla in order to qualify, and the Vehicle ESA must be purchased before the Basic Vehicle Limited Warranty ends.

Price

The cost of the Extended Service Agreement for Vehicles is (in US dollars):

Model S: $3,100.00 (2 years or 25,000 miles, whatever comes first).

Model X: $3,500.00 (2 years or 25,000 miles, whatever comes first).

Model 3: $1,800.00 (2 years or 25,000 miles, whatever comes first).

Model Y: $2,000.00 (2 years or 25,000 miles, whatever comes first).

These costs are significantly less than the previously disclosed $7,700 price. The cost of the Automobile ESA purchase excludes any applicable local and state taxes.

Models S and X manufactured between 2012 and 2020 are covered under the new ESA. Model 3 and Model Y do not have any restrictions on production dates.

There is, regrettably, no grace period. Before the Basic Vehicle Limited Warranty expires, the ESA must be purchased (4 years or 50,000 miles). Hence, Model 3 cars from 2018 and perhaps early 2019 are ineligible.

Tesla ESA

Deduction and Exemptions

The majority of parts produced or delivered by Tesla during the insurance period are covered by the ESA for the repair or replacement required to address flaws in the components or workmanship. The drive unit and high-voltage battery, which have their own separate normal 8-year warranties, are not included, though.

Tesla makes it clear that the ESA is not a servicing plan and will not cover items for normal wear and tear, such as changing brake pads.

The per-visit deductible for the Model 3 and Model Y is $100, and it’s anticipated that the cost for the Model S and Model X will be $200.

Obtaining ESA

Open the Tesla mobile app, select the “Upgrades” page, then click the “Extended Service Agreement” option to purchase the ESA. The ESA will be placed in your account after you make the transaction by following the prompts. It’s critical to remember that the ESA is only applicable following the termination of your Basic Vehicle Limited Warranty. It can be transmitted to the subsequent owner, according to the business, which could raise the aftermarket value.

Since its unintentional release last year, Tesla’s Vehicle Extended Service Agreement has developed into its present official offering. With this added security, Tesla customers should feel more at ease and enjoy their ownership more.

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