Tesla Launches Extended Vehicle Warranties in Canada

Tesla has introduced its Vehicle Extended Service Agreement (Vehicle ESA) for Canadian customers, effective September 25, 2023.

The extended warranty is applicable to Model S, Model X, Model 3, and Model Y vehicles and is available through Tesla’s mobile app under the ‘Upgrades’ menu, reports Tesla North.

“The event of Failure must first occur during the Vehicle ESA’s coverage which commences when Your Basic Vehicle Limited Warranty expires,” states the official document.

Here is the pricing for these extended warranties in Canada from Tesla:

• Service Type: 2-year or 40,000 km (whichever occurs first)
• Purchase Price (CAD): Model S – $4,100, Model X – $4,700, Model 3 – $2,400, Model Y – $2,700
• Deductible (CAD): $135 per visit

Tesla’s new car limited warranty consists of three main components: Basic Vehicle Limited Warranty, Supplemental Restraint System Limited Warranty, and Battery and Drive Unit Limited Warranty.

• Basic Vehicle Limited Warranty: Provides coverage for 4 years or 80,000 km, whichever comes first.
• Supplemental Restraint System Limited Warranty: Extends coverage for 5 years or 100,000 km, whichever comes first.
• Battery and Drive Unit Limited Warranty: Varies by model.
  • Model S and Model X: 8 years or 240,000 km, with a minimum 70% retention of battery capacity.
  • Model 3 Standard Range, Model 3 Rear-Wheel Drive, Model Y Rear-Wheel Drive: 8 years or 160,000 km, with a minimum 70% retention of battery capacity.
  • Model 3 Long Range, Model 3 Performance, Model Y Long Range, Model Y Performance: 8 years or 192,000 km, with a minimum 70% retention of battery capacity.

The new vehicle warranties are designed to cover the repair or replacement of defects in materials or workmanship for parts manufactured or supplied by Tesla, under normal use conditions.

The extended warranty agreement specifies that customers are responsible for all applicable provincial and local taxes on both the purchase price and the deductible. “The obligations of Tesla under this Vehicle ESA are backed by the full faith and credit of Tesla,” notes the document.

The document also says the extended warranty program is exclusively available for cars initially purchased directly from Tesla and does not cover the vehicle’s battery and drive unit. Additionally, Model S and Model X vehicles produced in 2021 or later are not eligible for this Vehicle ESA.

Owners must stick to Tesla’s recommended maintenance schedule to maintain the validity of the Vehicle ESA. “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,” according to the document.

The Vehicle ESA is transferable to a new private owner of the same vehicle during the agreement period, under certain conditions. Customers also have the option to cancel the agreement under specific terms.

The Canadian launch follows the U.S. introduction of the Extended Service Agreement in March of this year.