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Extended warranty and service plan details

From George B's blog post today:

Model S comes standard with a Four Year, 50,000 mile New Vehicle Warranty. An additional Four Year, 50,000 mile Extended Warranty will now be available for $2,500. Please note, this is a “Four Year” Extended Warranty, not two or three years like most Extended Warranties. You will be able to purchase this option through your MyTesla page in the near future.

Several months ago we announced a Four Year, up to 50,000 Mile Prepaid Maintenance program for $1,900, or $2,400 with unlimited Tesla Ranger visits. You will now be able to purchase an additional Four Years and 50,000 miles of Prepaid Maintenance for an additional $1,900, or $2,400 with unlimited Tesla Ranger visits. With this additional program you can now cover everything on your Model S, except tires, for eight years and up to 100,000 miles for $3,800, or $4,800 with unlimited Tesla Ranger visits.

I think this is very reasonable and am glad the service costs are not higher in years 5-8. Thoughts?

Seems really fair and good news for a lot of us that had that question about after 4 year/50k miles. Still have a question: Can we purchase the 4 year warranty and 4 year service plan in 4 years from now or need to purchase it within 30 days of the car delivery?

Forgive my ignorance, but can you provide a link to the original blog post? Maybe I don't know where to find it, but I don't see anything posted under the Tesla Blog page.

That's almost too good to be true. I can honestly say that Tesla clearly exceeded my expectations with this offer. The first four years are worry-free with any new car, but year 4 to 8 (and up to 100k miles) is already much more interesting. I'll definitely take the whole package, sounds like a no-brainer to me! (I hope there will be a corresponding offer in Europe.)

So, does this mean that to effectively get the 'extended 4 year warranty', you also have to sign up for another 4 years of service? ($2,500 for the extended warranty, and $1,900 for the service?)

guyefisher, I don't know but I don't care b/c I cannot see why you wouldn't want the service, anyway. If $1,900 for the first four years seems questionable to some, it is definitely a bargain for year 4 through 8.

But since you're asking, I presume that you can get the service without the warranty, but probably not the other way around.

I am also curious by one comment on the blog. George B states that after the price increase (January 1) , that all cars will include heated 12 way seats at no charge.

Does it mean (for me) who is expecting his car in Jan/Feb, that I should expect the car to have these features (I also ordered textile). ??

sujayvora. That is not my read. If you order in January you will have a price increase and get the heated seats. If you finalize now at the lower price you would not have that option. You can defer finalizing and then both the price increase and new options take effect.

sujayvora. My read is you won't get the heated seats with textile interior. Those who configure in January and pay the new price will enjoy toasted buns on their cloth seats.

Got the email back from Tesla, you're right. (Had to ask... :)

Sounds reasonable to me. I like the idea of being able to lock in the extended warranty and service now at today's prices.

For the record, here's one of the the threads that discussed the topic when the original service plan was first announced:
http://www.teslamotors.com/forum/forums/model-s-service-plans

I hope the plans can be purchased by others than the original owners as I only plan to keep my Model S for three years. That would give the second buyer a lot of comfort knowing they can purchase a factory extended warranty if they desire. In the US there are a lot of third-party automobile extended warranty plans that are essentially scams.

The extended warranty/extended service/battery replacement are all great news as far as I am concerned. Do you read this to mean that these extended options have to be paid for at purchase? I'd much rather pay for then when needed - 4 or 8 years down the road.

@Getting Amped Soon, I am not sure that this is possible. As I read it, you have to purchase the warranties, both basic and extended, within a month of purchasing the car. The extended warranty cannot be purchased later (in your case, after 3 years) by the next owners.

That's my understanding.

~ Prash.

Cross-post from the price increase thread:

Blog post leaves a lot of open questions:

  • "This price increase will not apply to anyone who has or makes a reservation by end of day on December 31, 2012…as long as they finalize their order within a reasonable, predefined timeframe after being invited to configure their Model S" <--- what timeframe?
  • "An additional Four Year, 50,000 mile Extended Warranty will now be available for $2,500." <-- do we have to buy it in advance? Can we wait until the end of the first four years to buy it? Is it transferrable?
  • "You will now be able to purchase an additional Four Years and 50,000 miles of Prepaid Maintenance for an additional $1,900, or $2,400 with unlimited Tesla Ranger visits. " <-- do we have to buy it in advance? Can we wait until the end of the first four years to buy it? Is it transferrable?
  • "We have received many requests for a Battery Replacement Option. We are happy to now offer this option for all three battery variants. This option will provide you a new battery anytime after the end of the eighth year at a fixed price." <-- do we have to buy it in advance? Can we wait until the end of eight years to buy it? Is it transferrable?

Wow I have to purchase 8 year warranty all at once? Seems bizarre.

I don't know where the blog post comments go, but here's what I posted:

Please allow a non-original owner to purchase the extended warranty and maintenance plans. I plan to upgrade my Model S to the newest offering every three years, and it would be a huge benefit to be able to assure the buyer of my car that they can purchase "factory" extended warranty and maintenance plans when the original ones expire.

Additionally, this will have the added benefit of maintaining a high resale value for the Model S, which will help repeat buyers like myself and also those who choose to lease your vehicles.

I'm concerned about the 50,000 mile limit on the 4 year maintenance plan. I expect to drive my S about 20K miles per year. If I do that, I would blow through that 50K limit in 2.5 years and would only benefit with 2 or maybe 3 annual services. So, at $1900 for the package, I'd be better off paying the $600 each year I bring it in for maintenance service.

Does anyone else think this same way?

Also, does anyone know whether there are additional benefits to having the maintenance plan? Perhaps the plan allows for additional service between the annual services, for whatever reason? Or would that be covered under the extended warranty?

dahtye, depends if a maintenance is performed at 1 year or 12,000 miles, whichever comes first. in that case, you would have the same number of maintenance events. Does anyone know the answer to that?

It sounds like GeorgeB's statement:

"With this additional program you can now cover everything on your Model S, except tires, for eight years and up to 100,000 miles for $3,800, or $4,800 with unlimited Tesla Ranger visits."

isn't quite right.

The actual cost to cover everything but tires would be $6300 or $7300 with Ranger visits since the $2500 extended warranty has to be bought as well.

I wonder what happens to the battery warranty during years 5 to 8 if you don't purchase either package.

Assuming that the extended service should be purchased right away, what happens to those folks that go with the annual $600 maintenance plan? Can the extended plan be purchased on a $600 per year basis after the first 4 years?

Also, how would the expenses be after the warranty runs out? What would they be if you have to pay for them out-of-pocket?

@RDoc, the basic (with ranger service) is $2,400 and extended is $2,400, together they are $4,800. From where did you get the additional $2,500?

~ Prash.

George's post was a bit confusing to me. I tend to agree with RDoc's interpretation that the $2400 for ranger service for years 5-8 is in addition to the $2500 for the extended warranty, yielding total maintenance costs of $4900 for those years. I am not sure how total would be $4800 (with ranger service) for 8 years.

@prash.saka
There is an ambiguity in GB's post. At one point he says there's an extended warranty available for years 5-8 which costs $2500. At another point he says there's a prepaid maintenance plan available for $1900 or $2400 with Rangers for years 5-8.

The question is: what is the total cost to actually cover everything but tires with Rangers?

A. Is it just $4800 for maintenance for 8 years as GB says?

B. Is it $7300, including $4800 for maintenance for 8 years plus $2500 for the extended warranty for years 5-8?

If it's A, then what is the extended warranty about? If it's B, then GB's statement sounds incorrect.

What happens if you buy the extended warranty and extended service plan...

...and then total your Model S the next day?

@nickjhowe - I got an email from Tesla yesterday telling me that the "reasonable timeframe" was four weeks from the date we are invited to finalize.

@RDoc +1

GB's statement has to be incorrect. Everything is covered by the maintenance plan IF you also have the extended warranty. The question is, do you need to buy the maintenance plan (with annual check-ups) in order not to void the extended warranty? ;)

I am not sure why this is confusing. The extended warranty and the extended service plan are two distinct issues. If all you want is an extended warranty, then you would pay an additional $2,500.

If you ALSO want pre-paid maintenance for 8 years, then you will pay an additional $3,800 without ranger service or $4,800 with ranger service.

This is no different than any other plans I have seen - be it for cars or even AC units.

The only real question is - do you need the extended maintenance plan in order to not void the warranty - the same discussion we have been having all along, even before the extended plans were announced.

Carefree is correct

Warranty and service plans aren't related.

You can extend the warranty, you can extend the service plan, you can do neither and just call tesla when you want service and pay a shop rate.

Tesla has said you need them to service your car, to keep the warranty valid, no where have I seen tesla state you must pre pay to keep your warranty.

So GB's comments are very valid and very clear. Don't read more into it then is actually there. Tesla has been very good at clarifying important information before the information is presently required.

By presently required I mean. They technically have a 3.5 yr window to figure out extended warrants as long as they were retro active.


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