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Should I Buy the Tesla Extended Service Agreement?

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Tesla’s basic warranty for the Model S covers 50,000 miles or 4 years, whichever comes first. Once that point is reached, you have 30 days to decide on whether you want to further extend warranty and sign up for the Tesla Extended Service Agreement (ESA).

With 48,000 miles under my belt and averaging 3,000 miles per month, I’m faced with the tough decision – to ESA, or not ESA, that is the question. I’ll describe my thoughts on Tesla’s ESA (as it relates to me), but ultimately you’ll want to make your own decision on what’s best for you.

Tesla Extended Service Agreement (ESA)

First it’s good to understand how Tesla describes its extended warranty program. According to Tesla,

“Tesla’s extended service program covers the repair or replacement of Model S parts due to defects in materials or workmanship provided by Tesla. Coverage lasts for four years or 50,000 miles (whichever comes first) and begins on the date your warranty expires, as long as you purchase this service within 30 days of your warranty’s expiration.”

There are really two main points to the statement:

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  • The duration for the additional coverage + timeframe for signing up
  • Tesla ESA covers defects in materials or workmanship on parts by Tesla

Exclusions

As with most warranties, wear and tear is not covered by the extended service. Even a Model S with its limited number of moving parts, it still has every day items such as tires, shocks, door seals, fluids, 12V battery, brake pads/parts, filters, etc. that would wear over time, and thus require maintenance.

A key point to note when thinking about the ESA is that your Tesla is already covered for 8 years, and infinite miles, on the main battery and motor(s). Having an extended warranty to cover these items won’t matter.

Cost for Extending Warranty

ESA Costs
The extended warranty costs $4,000 which is on par with the price charged by other premium car manufacturers. However, what’s different about Tesla’s ESA program is the additional $200 deductible.

While you will only have to pay for it once for the part being replaced, even if the same part were to fail multiple times, you have to keep in mind that the $200 is charged per part. For example, should a single Model S door handle fail, the deductible would be $200. However, in the unfortunate event that all four door handles fail, you might be shelling out an $800 deductible. (someone please confirm in the comments below)

The extended warranty can be transferred to a new owner for a $100 fee, but it cannot be transferred to a car dealer or third party reseller.

Grey Area with Coverage

The Tesla Extended Service Agreement states:

“Tampering with the Vehicle and its systems, including installation of non-Tesla accessories or parts or their installation, or any damage directly or indirectly caused by, due to or resulting from the installation or use of non-Tesla parts or accessories;”

Does this apply to Model S owners who have upgraded with aftermarket lighting accessories such as the popular “Lighted T” or even a dash cam?

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Another passage on regular maintenance is a bit fuzzy to me. According to the ESA,

“If requested, proof of required service, including receipts showing date and mileage of the Vehicle at the time of service, must be presented before any repairs under this Vehicle ESA commence. Service within 1,000 miles and/or 30 days of Tesla’s recommended intervals shall be considered compliant with the terms of this Vehicle ESA.”

Tesla has been all over the place on what it recommends for its maintenance intervals. The official paperwork indicates annual maintenance is every 12,500 miles or 12 months, whichever comes first, although, depending on which Tesla Service Center you speak with, you may hear a different account on what the service interval should be.

My personal belief is that Tesla just intends owners to have an annual service regardless of mileage (and that’s the plan I’ve been following as suggested by my service center), but this frequency for maintenance technically wouldn’t meet Tesla’s requirement for extended warranty, especially given the number of miles I put on per year. I drive a lot, but I doubt I top those that embark on epic cross-country road trips in the Model S.

How Much Value Can I Get?

12V Battery needs Service

As with all insurance, trying to derive value from the plan really comes down to a “bet” on whether you think you might need coverage, and also whether coverage on the parts + labor would exceed the cost of the coverage itself.

Averaging 32,000 miles of driving per year, Tesla’s extended warranty will last me a whopping 18 months. It costs $4,000 which backs out to $222/month over 18 months, plus a $200 per item deductible.

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I used my historical Model S service records as a sample to see what could potentially be covered down the road with the ESA. I should note that other than the annual service cost of $600 which I’ve already paid, I’ve spent $0 for service so far.

  • 12V battery failure (7 months)  (wouldn’t be covered by extended warranty)
  • 17″ screen reacting to static electricity (missing MCU ground)  (7 months)  (wouldn’t be covered by extended warranty)
  • Sunroof rattle on back roads (shims added)  (7 months)   (wouldn’t be covered by extended warranty)
  • UMC failure (8 months)  (may be covered by extended warranty)
  • Front right tire rubbing wheel well (11 months)  (wouldn’t be covered by extended warranty)
  • Bad ball joint (11 months) (would be covered by extended warranty)
  • Leaky sunroof seal (12 months) (wouldn’t be covered by extended warranty)
  • Charge port rings discolored (12 months) (would be covered by extended warranty)
  • Key fob falling apart (13 months) (wouldn’t be covered by extended warranty)
  • Drive unit failure (15 months) (covered by infinite mile drive unit warranty)

Based on the above I would have had 2 or 3 of the 10 total issues that would have been covered by the extended warranty. One was purely cosmetic (charge port rings). The other two were not. A new UMC is $600, so paying $4,000 for warranty coverage for it makes no sense let alone it’s not clear if the UMC is even covered. The bad ball joint is really the only thing of significant value that would have been covered and I find it difficult to believe that it would cost more than $4,000 plus the $200 deductible to replace.

Based on my own history with needing repairs, it doesn’t seem to make sense for me to purchase the extended warranty. However there are big ticket items that could potentially go wrong and make the extended warranty bring tremendous value. Unfortunate (but rare) occurrences of Model S defects / failures as follows:

I rarely hear about a Model S needing big repairs which I hope is a testament to how durable the vehicle is, or it could mean Tesla is covering it on their own through more discreet service bulletins. I started a discussion/poll over on TMC to see how many owners actually had to pay for their service.

Summary

Wild TSLA StockWhat am I going to do? My high mileage driving greatly reduces any value for purchasing Tesla’s Extended Service Agreement.

Based on the data I’ve collected over the last 18 months and 50,000 miles of driving, the lack of having any major services leads me to believe that having a Tesla ESA is not a good investment for me.

Now, should I put my money aside for a just-in-case type of repair? Probably. But, let’s be real. The lack of servicing is truly a testament to how amazing the Tesla Model S is. No parts to worry about, no major issues, and no out-of-pocket surprises.

My plan is to take the $4,000 I had set aside for the extended warranty and put it in Tesla stock ($TSLA). I believe in the company, love the car, and I think it’s a far better investment than the Extended Service Agreement would be.

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"Rob's passion is technology and gadgets. An engineer by profession and an executive and founder at several high tech startups Rob has a unique view on technology and some strong opinions. When he's not writing about Tesla

Lifestyle

EV fans urge Tesla to acquire Unplugged Performance for edge in fleet and security industry

Unplugged Performance has built a name for itself by producing performance upgrades for Tesla vehicles.

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Credit: Unplugged Performance

A growing number of Tesla enthusiasts and longtime community voices are calling on the electric vehicle maker to acquire Unplugged Performance, a California-based aftermarket company best known for tuning Tesla vehicles and developing specialized government fleet solutions under its UP.FIT division.

The idea was once considered a niche proposal among EV fans, but it is now gaining serious attention not just as a performance play but as a strategic move to deepen Tesla’s roots in the fleet and security industry. 

A strategic fit

Unplugged Performance has built a name for itself by producing performance upgrades for Tesla vehicles, from track-optimized components to visual and aerodynamic upgrades. But in recent years, its UP.FIT division has pivoted toward a more functional future by outfitting Tesla vehicles like Model Ys for police, military, and government use.

That work has sparked growing calls for closer collaboration with Tesla, especially as the EV maker increasingly leans into autonomy, AI, and fleet services as core components of its next chapter.

“I posted this four years ago, but I think it’s more true now than ever,” wrote Whole Mars Catalog, a well-known Tesla investor and FSD Beta tester, on X. “Tesla should buy Unplugged. But not just as a Performance division. What they are doing with UP.FIT unlocks large government and commercial fleet purchases that can improve utilization.”

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Tesla fans such as shareholder Sawyer Merritt echoed the sentiment, calling Unplugged a “great fit within Tesla.” adding, “They are literally located directly next to Tesla’s design studio in Hawthorne.”

Enabling the next wave

Supporters of the idea noted that integrating Unplugged into Tesla’s corporate structure could help accelerate the adoption of autonomous technologies in government sectors. With UP.FIT patrol cars already in use across some U.S. police departments, Tesla fans envisioned a future where self-driving Teslas could potentially revolutionize law enforcement, search-and-rescue, and public service logistics.

“Just imagine how autonomous patrol cars could transform policing and bring us into a safer future,” the veteran FSD tester wrote.

The benefits could also extend to Tesla’s existing consumer base. “They also have some incredible products in the works that I think will appeal to many ordinary Tesla drivers — not just those looking for performance or mods. Stuff that’s so good it should have come straight from the design studio next door,” Whole Mars Catalog noted.

Unplugged Performance, founded in 2013, shares not just a product vision with Tesla, but also geography. Its Hawthorne headquarters sits directly adjacent to Tesla’s design studio, and the two companies have maintained a close working relationship over the years. The aftermarket firm has long positioned itself as a “mission-aligned” partner to Tesla.

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In response to the recent calls for acquisition, Unplugged Performance acknowledged the support from the community. “Our very existence is to support the Tesla mission with @UpfitTesla and @UnpluggedTesla,” Unplugged CEO Ben Schaffer posted on X. “We love working with Tesla and are grateful for the community’s support since 2013!”

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Elon Musk

X account with 184 followers inadvertently saves US space program amid Musk-Trump row

Needless to say, the X user has far more than 184 followers today after his level-headed feat.

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Joel Kowsky, Public domain, via Wikimedia Commons

An X user with 184 followers has become the unlikely hero of the United States’ space program by effectively de-escalating a row between SpaceX CEO Elon Musk and President Donald Trump on social media.

Needless to say, the X user has far more than 184 followers today after his level-headed feat.

A Near Fall

During Elon Musk and Donald Trump’s fallout last week, the U.S. President stated in a post on Truth Social that a good way for the United States government to save money would be to terminate subsidies and contracts from the CEO’s companies. Musk responded to Trump’s post by stating that SpaceX will start decommissioning its Dragon spacecraft immediately. 

Musk’s comment was received with shock among the space community, partly because the U.S. space program is currently reliant on SpaceX to send supplies and astronauts to the International Space Station (ISS). Without Dragon, the United States will likely have to utilize Russia’s Soyuz for the same services—at a significantly higher price.

X User to the Rescue

It was evident among X users that Musk’s comments about Dragon being decommissioned were posted while emotions were high. It was then no surprise that an X account with 184 followers, @Fab25june, commented on Musk’s post, urging the CEO to rethink his decision. “This is a shame this back and forth. You are both better than this. Cool off and take a step back for a couple days,” the X user wrote in a reply.

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Much to the social media platform’s surprise, Musk responded to the user. Even more surprising, the CEO stated that SpaceX would not be decommissioning Dragon after all. “Good advice. Ok, we won’t decommission Dragon,” Musk wrote in a post on X.

Not Planned, But Welcomed

The X user’s comment and Musk’s response were received extremely well by social media users, many of whom noted that @Fab25june’s X comment effectively saved the U.S. space program. In a follow-up comment, the X user, who has over 9,100 followers as of writing, stated that he did not really plan on being a mediator between Musk and Trump. 

“Elon Musk replied to me. Somehow, I became the accidental peace broker between two billionaires. I didn’t plan this. I was just being me. Two great minds can do wonders. Sometimes, all it takes is a breather. Grateful for every like, DM, and new follow. Life’s weird. The internet’s weirder. Let’s ride. (Manifesting peace… and maybe a Model Y.)” the X user wrote.

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Lifestyle

Tesla Cybertruck takes a bump from epic failing Dodge Charger

The Cybertruck seemed unharmed by the charging Charger.

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Credit: Hammer_of_something/Reddit

There comes a time in a driver’s life when one is faced with one’s limitations. For the driver of a Dodge Charger, this time came when he lost control and crashed into a Tesla Cybertruck–an absolute epic fail. 

A video of the rather unfortunate incident was shared on the r/TeslaLounge subreddit.

Charging Charger Fails

As could be seen in the video, which was posted on the subreddit by Model Y owner u/Hammer_of_something, a group of teens in a Dodge Charger decided to do some burnouts at a Tesla Supercharger. Unfortunately, the driver of the Charger failed in his burnout or donut attempt, resulting in the mopar sedan going over a curb and bumping a charging Cybertruck.

Ironically, the Dodge Charger seemed to have been parked at a Supercharger stall before its driver decided to perform the failed stunt. This suggests that the vehicle was likely ICE-ing a charging stall before it had its epic fail moment. Amusingly enough, the subreddit member noted that the Cybertruck did not seem like it took any damage at all despite its bump. The Charger, however, seemed like it ran into some trouble after crashing into the truck.

Alleged Aftermath

As per the the r/TeslaLounge subreddit member, the Cybertruck owner came rushing out to his vehicle after the Dodge Charger crashed into it. The Model Y owner then sent over the full video of the incident, which clearly showed the Charger attempting a burnout, failing, and bumping into the Cybertruck. The Cybertruck owner likely appreciated the video, in part because it showed the driver of the Dodge Charger absolutely freaking out after the incident.

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The Cybertruck is not an impregnable vehicle, but it can take bumps pretty well thanks to its thick stainless steel body. Based on this video, it appears that the Cybertruck can even take bumps from a charging Charger, all while chilling and charging at a Supercharger. As for the teens in the Dodge, they likely had to provide a long explanation to authorities after the incident, since the cops were called to the location.

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