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HomeBlogMarket Trends2023: Tesla Launches New Extended Warranty Option for Some Vehicles

2023: Tesla Launches New Extended Warranty Option for Some Vehicles

This article was originally authored by NOT A TESLA APP  and published on their official website dated 23rd March 2023. SECQRD.COM does not claim the ownership of this article and is merely republishing the article for general public view in line with supporting the common mission to promote sustainable use of products globally in the effort to reduce wastages. All IP and copyright of the content and images in this article belongs solely to NOT A TESLA APP.

Tesla has begun offering an extended warranty called Extended Service Agreement (ESA) in the U.S. The service provides further coverage for eligible vehicles following an accidental leak last year on their mobile app.

You may recall Tesla unintentionally revealed a new extended warranties program when version 4.11.0 of the mobile app went live in July 2022. A new item appeared in the Upgrades section titled Tesla ESA, priced at $7,700.

The description was unclear, with several grammatical errors, spelling mistakes, and poor formatting, suggesting that it was not ready for public consumption. It was unknown whether the ESA was being prepared for all models or if the price was a placeholder.

Fast forward to today, Tesla’s Vehicle Extended Service Agreement (Vehicle ESA) is now officially available for eligible Model S, Model X, Model 3, and Model Y owners. The Vehicle ESA commences when the Basic Vehicle Limited Warranty expires and ends upon reaching the selected time or mileage threshold, whichever comes first.

Eligibility and Coverage

To be eligible, the new vehicle must be purchased directly from Tesla, and the Vehicle ESA must be purchased no later than when the Basic Vehicle Limited Warranty expires.

Pricing

The pricing for the Vehicle Extended Service Agreement (in USD) is:

Model S (2 years or 25,000 miles, whichever occurs first): $3,100.00

Model X (2 years or 25,000 miles, whichever occurs first): $3,500.00

Model 3 (2 years or 25,000 miles, whichever occurs first): $1,800.00

Model Y (2 years or 25,000 miles, whichever occurs first): $2,000.00

These prices are notably lower than the previously leaked $7,700 price tag. The Vehicle ESA purchase price does not include applicable state and local taxes.

The new ESA covers Model S built between 2012 and 2020, and Model X built between 2015 and 2020. There are no similar production date limitations for Model 3 and Model Y.

Unfortunately, there is no grace period. The ESA must be purchased before the Basic Vehicle Limited Warranty expires (4 years or 50,000 miles). This means 2018 and some early 2019 Model 3 sedans are not eligible.

Exclusions and Deductible

The ESA covers the repair or replacement necessary to correct defects in the materials or workmanship of most parts manufactured or supplied by Tesla during the coverage period. However, it does not include the high-voltage battery or drive unit, which have their own standard 8-year warranty.

Tesla clarifies that the ESA is not a Maintenance Plan and will not cover wear and tear items like brake pad replacements.

The deductible for Model 3 and Model Y is $100 per visit, and it’s believed it will be $200 for Model S and Model X.

How to Get ESA

To purchase the ESA, open the Tesla mobile app, go to the ‘Upgrades’ tab, and select the ‘Extended Service Agreement’ option. Follow the prompts to complete the purchase, and the ESA will be added to your account. It’s important to note that the ESA only takes effect after your Basic Vehicle Limited Warranty expires. It can be transferred to the next owner, which the company says can improve aftermarket value.

Tesla’s Vehicle Extended Service Agreement has evolved from last year’s accidental leak to its current official offering. This additional protection aims to provide greater peace of mind and an improved ownership experience for Tesla customers.

Secqrd is an after-sales engagement tool tailored for products that are sold with a warranty. We connect merchants directly with buyers via e-warranty registration, enabling in-app communication, issue loyalty vouchers, data analytics and merchants can upsell 20+ addons to buyers after an initial sale.


Secqrd (pronounced as secured) is a digital after-sales solutions provider for the enterprise by equipping SMEs with a powerful CRM software that boasts a comprehensive feature list that is tailored for products that are sold with an after-sales warranty. Secqrd also offers a range of insurance plans that can be purchased as add-ons directly via Secqrd CRM by product buyers. 

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Secqrd (pronounced as secured) is a digital after-sales solutions provider for the enterprise by equipping SMEs with a powerful CRM software that boasts a comprehensive feature list that is tailored for products that are sold with an after-sales warranty. Secqrd also offers a range of insurance plans that can be purchased as add-ons directly via Secqrd CRM by product buyers. 

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