Why is there no Extended Service Warranty for Model 3?

[ElectricLee]

I would be will to pay extra for an Extended Service Warranty for my Model 3.


Something like:

8 Years or 100,000 miles for $3000
6 Years or 75,000 miles for $2000

 

[Kirby64]

Didn't the Model S not have any extended service warranties until close to the end of the actual regular warranty?

The first Model 3 won't be off warranty until, what, 2021? They don't need to generate an extra revenue lever quite yet.

 

[NetworkNerd]

You and me both

 

[Need]

They have not offered it for Model 3 yet. But you could get it from

https://www.xcelerateauto.com/x-care/

Although I don't think they cover California yet. They have a post on here somewhere.

 

[woodisgood]

They haven’t yet figured out how much it should cost.

Ours will come off warranty right around Sep/Oct 2020. Hope to see something by then.

 

[Az_Rael]

I would be will to pay extra for an Extended Service Warranty for my Model 3.


Something like:

8 Years or 100,000 miles for $3000
6 Years or 75,000 miles for $2000

It takes Tesla a while. The X was the same way, some people were bumping up against the end of the warranty before they released the plans.

The first Model 3 won't be off warranty until, what, 2021?

Nah. I will hit the warranty end in early 2020. Have 25k miles already on my 2017. I am sure there are others on track to hit warranty end before me.

 

[Tam]

...The first Model 3 won't be off warranty until, what, 2021? They don't need to generate an extra revenue lever quite yet.

Some people would run out of 50,000 miles in just a few years, well before 4 years.

Tesla is laying off people so it's more reasons that they should start collecting pre-paid Extended Service Agreements now!

It really bothers me that the decisions/prices are not planned prior to production.

They really need some math wizards to crank these numbers out.

On the other hand, maybe Consumers Report is right about unreliability issues and Tesla would take that hint and skip unprofitable pre-paid program that may cost a lot for all those unreliability issues.

 

[mspohr]

I would be will to pay extra for an Extended Service Warranty for my Model 3.


Something like:

8 Years or 100,000 miles for $3000
6 Years or 75,000 miles for $2000

Are you inquiring about an extended warranty or about extended service agreement? Tesla has offered both on prior models in the past.
I believe their policy now is that Teslas don't need regular service so an extended service agreement is moot.
You might be able to purchase an extended warranty from Tesla some day or possibly from a third party. I've always felt that extended warranties were not worth the cost (on a car or on anything else) but some people like them as "insurance" against unexpected expenses.

 

[ElectricLee]

Are you inquiring about an extended warranty or about extended service agreement? Tesla has offered both on prior models in the past.
I believe their policy now is that Teslas don't need regular service so an extended service agreement is moot.
You might be able to purchase an extended warranty from Tesla some day or possibly from a third party. I've always felt that extended warranties were not worth the cost (on a car or on anything else) but some people like them as "insurance" against unexpected expenses.

I like an

Extended Service Agreement


"The Extended Service Agreement 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, excluding the car’s lithium-ion battery and drive unit, which have their own separate warranty. Coverage is based upon the purchased agreement option and takes effect on the date that your original New Vehicle Limited Warranty expires.

2-Year Extended Service Agreement
2 years or 25,000 miles, whichever comes first.

4-Year Extended Service Agreement
4 years or 50,000 miles, whichever comes first."

BUT for the Model 3. TAKE MY MONEY....

 

[MP3Mike]

Are you inquiring about an extended warranty or about extended service agreement? Tesla has offered both on prior models in the past.

No, Tesla has never offered an extended warranty. (The term warranty has a legal definition that they don't normally want to invoke.)

The have offered an "extended service agreements" and "pre-paid maintenance plans".

 

[Tam]

...extended warranty or about extended service agreement?...

To an average person, they are the same.

"Warranty" gives consumers more legal rights whether consumers agree or not. On the other hand, "Agreement" gives consumers less legal protections because they "agreed" to whatever the company dictates.

For Tesla, some states require a licensed insurance company to sell "Warranty" but not for selling "Agreement".

 

[Tam]

There's a report that there won't be one for Model 3 but there's a third party who's ready to fill that gap:

Extended warranty? I can't believe it. What did he just say?

 

[Knightshade]

Some people would run out of 50,000 miles in just a few years, well before 4 years.

Tesla is laying off people so it's more reasons that they should start collecting pre-paid Extended Service Agreements now!

It really bothers me that the decisions/prices are not planned prior to production.

They really need some math wizards to crank these numbers out..

That's not really possible though.

When you're moving from the 13th generation of a car to the 14th at your 100+ year old car company you can make some pretty educated guesses about what long-term warranty costs will look like.

Not so much when it's the first generation of a car at a company less than a generation old, using motors and other tech you've never had in service before long term so have 0 reliability data on.

So they're waiting until they've got at least a couple years of data on that first- as they've done before with new models.

Possibly the Y won't have quite the same issue since it's reusing so much of the 3 hardware.

 

[kirkhilles]

I would be will to pay extra for an Extended Service Warranty for my Model 3.


Something like:

8 Years or 100,000 miles for $3000
6 Years or 75,000 miles for $2000

Nope, you'll never see anything close to that. For the Model S (which won't necessarily be any cheaper to repair than the 3), a 2 year warranty is $2,100 and a 4 year is $4,250. Tesla couldn't afford to offer anything close to what you suggested. I can't imagine the average cost of repairs per vehicle they have had to endure. I bet 80% of Model S's (even those with low mileage) have had their Drive Units ($6k-$10k estimated cost) replaced AT LEAST ONCE.

 

[mspohr]

Nope, you'll never see anything close to that. For the Model S (which won't necessarily be any cheaper to repair than the 3), a 2 year warranty is $2,100 and a 4 year is $4,250. Tesla couldn't afford to offer anything close to what you suggested. I can't imagine the average cost of repairs per vehicle they have had to endure. I bet 80% of Model S's (even those with low mileage) have had their Drive Units ($6k-$10k estimated cost) replaced AT LEAST ONCE.

Drive unit failures (poor lubrication) were fixed by 2015.
My Feb 2015 Model S has had a total maintenance cost of $221 over 76,000 miles. (Door handle repair)

 

[Triplett]

They will introduce one...just wait.

 

[chibi_kurochan]

It takes Tesla a while. The X was the same way, some people were bumping up against the end of the warranty before they released the plans.




Nah. I will hit the warranty end in early 2020. Have 25k miles already on my 2017. I am sure there are others on track to hit warranty end before me.

Yeah, i'm at 36k miles on my Jan'18 M3 LR RWD.
And being early build, i really want this extended warranty..

 

[X-Care EV]

They have not offered it for Model 3 yet. But you could get it from

X-Care - Xcelerate Auto

Although I don't think they cover California yet. They have a post on here somewhere.

X-Care here to help expand on the threads questions.

We built X-Care to mirror Tesla's ESA for S & X and included Model 3 as well. It has a $100 deductible that will be paid directly to Tesla and we built a claims process that works around Tesla Service. We are a bunch of Tesla veterans that know significant amount about the product along with the Tesla's operational process.

We are live in California. On our instant quote tool, input your vehicle information, select which term you want, and we will ask for your info and best time to contact. Our representatives will reach out to you, speak about the coverage, answer any questions, and when you are ready, we will pass you off to our dealer partners within the state to process the transaction. Due to California state law, only a CA dealer can sell an extended warranty and we are based in TX.

Happy to help answer any questions!

 

[Eth3r]

X-Care here to help expand on the threads questions.

We built X-Care to mirror Tesla's ESA for S & X and included Model 3 as well. It has a $100 deductible that will be paid directly to Tesla and we built a claims process that works around Tesla Service. We are a bunch of Tesla veterans that know significant amount about the product along with the Tesla's operational process.

We are live in California. On our instant quote tool, input your vehicle information, select which term you want, and we will ask for your info and best time to contact. Our representatives will reach out to you, speak about the coverage, answer any questions, and when you are ready, we will pass you off to our dealer partners within the state to process the transaction. Due to California state law, only a CA dealer can sell an extended warranty and we are based in TX.

Happy to help answer any questions!

So this includes the battery as well?

 

[X-Care EV]

So this includes the battery as well?

We mirrored Tesla's ESA for coverage/exclusions. neither of these include Battery/Drive unit since that is covered under your separate 8 year and 120k mile warranty (for Model 3). X-Care, like any other warranty, would cover components such as, MCU, electronic controls module, onboard charger, DC-to-DC convertor, AP sensors, wiring harness, latches, etc (mechanical or electronic failure). Its an exclusionary coverage (just like the ESA) so that if its not specifically excluded, it is covered. These exclusions mostly relate to the battery/drive unit, as mentioned, and normal wearable items in the vehicle.

I have attached our digital brochure that has all the exclusions listed on page two and highlights a lot of the product benefits.