Courtesy of Tesla, Inc.
Tesla has just rolled out a new, more flexible way for owners in the U.S. to extend their vehicle’s warranty: a monthly Extended Service Agreement (ESA) subscription.
The move marks a significant shift from Tesla’s previous coverage extension model, which only offered up to 2 years or 25,000 additional miles beyond the company’s Basic Vehicle Limited Warranty as a one-time upgrade. Now, drivers can extend coverage by up to 4 more years or 50,000 miles, potentially doubling their peace of mind post-warranty while paying monthly.
Available directly through the Tesla app, the new ESA subscription pricing varies by model:
Model 3: $50/month
Model Y: $60/month
Model S: $125/month
Model X: $150/month
Notably, Tesla owners can only subscribe to extended coverage while their vehicle is still covered by the original Basic Vehicle Limited Warranty. Coverage begins once the 4-year / 50,000-mile factory warranty expires and continues monthly up to a maximum of 8 years or 100,000 miles — whichever comes first — from purchase. If subscribed for the full term, Model Y owners, for example, would pay up to $2,880 total.
The ESA covers most Tesla-manufactured parts and systems, with a $100 deductible per visit. However, it excludes the high-voltage battery and drive unit, 12V battery, cosmetic or maintenance parts, and damage from accidents or modifications.
Tesla’s ESA is currently only available for in-warranty vehicles and does not apply to leased vehicles — though support for vehicles purchased at lease-end is coming by late 2025. Tesla also plans to extend eligibility to used, titled vehicles soon.
Subscribing is simple:
Open the Tesla app.
Tap Upgrades > Service Plans > Extended Service Agreement.
Review the terms and tap Subscribe.
This new subscription-based approach not only lowers the entry cost for extended coverage but gives Tesla owners greater flexibility — making it easier to stay covered without committing to a lump-sum purchase upfront.
There’s no word yet on when monthly ESA subscriptions might make their way to Canada, where 2-year extended coverage has been available since 2023. More details are available on Tesla’s official support page.
