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Re-Thinking the Service Plan

Re-Thinking the Service Plan

In light of today's announcement, I'm rethinking the service plan. I just bought the 4+4 plan, but the announcement strongly implies that there really won't be much need for service for at least the first couple of years, and now that a full menu of annual service isn't required to maintain warranty protection, the economics seem to favor wait and see (at least for those that don't put on obscene mileage). What do my far more brilliant fellow owners think?

s_curve | April 27, 2013

I applaud Tesla's service announcement but I'm sticking with my service plan. I do about 25 to 30K miles a year. Until my warranty expires, I won't consider having another garage service this car. That includes brakes, wheels and tires. Tesla is not the only one breaking new ground by manufacturing this car. Many of us have broken new ground by buying it. There is a risk curve with every groundbreaking product. MS is no exception.

village33 | April 27, 2013

So if the base case is you don't buy the service plan, you extend the warranty in 4yrs for 4yrs and just call them when things break and have them bring me a loaner (and I pay tires and maybe washer fluid/blades) why would I pay for a service plan? What is an example of you paying more all-in over 8yrs having the service plan vs not having the service plan in this example?

Tech4ever | April 27, 2013

I called yesterday to cancell and it was no problem. I had just signed up on Thursday. No push back, just said it takes 10-15 days to process the cancelation.

jandkw | April 27, 2013

@stevenmaifert, +1. I purchased the 4-yr plan and I am like you, a low mileage driver and unless they drop the every 12 months service requirement, I plan to cancel the contract. I still will bring in my MS to Tesla Service Center (where else can I go, local ICE garage shop?) but will not be every 12 months.

txjak | April 27, 2013

I would prefer it if the 4-year plan was changed to a 4-service plan, leaving it up to the owner schedule the service as they see fit.

AlMc | April 27, 2013

I believe the other thing to consider is that the service plan also includes not only software updates but HARDware as well. So, the way I read that is if they come out with Blind Spot warnings and adaptive cruise control that will need some sensor installation that this would potentially be included under that contract. Do you all read thus the same way?

joshuaeven | April 27, 2013

village33- in your case, I don't think you would get a loaner.

village33 | April 27, 2013

@josh, thanks, that's the confusing part in the release (which has a lot of words but says little). In the example I give above, I do tires and wipers and drive. If anything goes wrong it's warranty and they service for free. According to release if service, they valet for free. Also per release, if valet, loaner for free. It also doesn't say whether it applies in all states. Anyone have clarity on any of these items from the company?

kw1 | April 27, 2013

The car is covered under a (4 yr/50k mi) warrantee. With todays announcement it seems that anything that breaks will be covered under warrantee even without maintenance. I purchased the 4 year maintenance program and am considering cancellation. The only maintenance I can see is tire rotation. Fluids are sealed and leakage is covered under warrantee; electronics that go bad are covered by warrantee; brakes may wear out but this is unlikely. The most likely "repair" is that the tires will wear out early. This is highly likely due to the extra wear and tear that regenerative braking puts on the tires; and tire replacement is not a warrantee item. So should I take back the $1900 and set that aside to help buy a new set of tires? I will wait for a week or so to see if any clarifications come out before making a decision.

herkimer | April 27, 2013

My take on the message of yesterday was (obviously paraphrasing): "whichever way you, the model s owner, can have more peace of mind about your car, that's the way you should go and we'll support you still with the battery warranty. Save the money on service up front and pay as you go for inspection and repairs, very likely you will be ok. If you do purchase the Service Plan, Tesla take care of your Model S and will work with you to keep your car in top condition."

Something like this: "save the money with confidence, spend the money with confidence. Either way, your confidence is our goal."

Maybe that seems a little fuzzy, but it works for me. In fact I think it's brilliant. Has any other car company ever offered something like this?

As far as I am concerned, this is definitely an easy decision: I will purchase the Service Package. Its roughly 5% of the cost of purchase of the car at 600 dollars a year for 8 years (with ranger service, which is probably indispensable where I live). This is the equivalent of 50 dollars a month for living as worry-free as possible with this amazing car.

Why not? It's the same cost as one inspection in a year, (which I would do even without the plan, because in my experience, EVERY machine needs to be regularly inspected and maintained! For the same cost, but paying upfront, I get to be in the service loop for 100,000 miles, with Tesla helping me to keep my car in top condition. I will feel more confidence to call them over any issues, because usually, if I have to pay something more, I tend to put it off; whereas if I already paid, I get right on it! This way, too, I don't feel constrained to drive less. I want to drive more now!

A Service Plan that is transferable, and along with a maintained service schedule, will add to the resale value of any car.
In my experience it has always been a little shocking how quickly parts and labor costs can rise with any car I have owned. A car works great and is so reliable, until it doesn't, and it isn't. Specialized tools and technical training for emerging technologies, do not come cheap. So Tesla's service package seems like a fair price to me for a car of this value, and unique architecture.

I have never before considered paying even half of what I will pay for a Model S. A year ago I would have been appalled at the notion! But the reasons I find the proposition compelling have grown stronger over time. It took me months to arrive at the confidence to make a purchase like this. (Some neighbors and family members think I have gone insane.) But, after looking at the car and the company from all the angles I could, what I saw more and more was that Tesla is one of the most exciting companies, and the model S is, right now, in a class of its own, and is the most awesome car on the planet.

So, obviously, when I receive and begin life with my Model S, I will have invested something else in Tesla Motors: my trust.

I have never trusted any car company, principally because I have never really trusted any car dealer, and few mechanics, even if I liked the car.

How did Tesla win this level of trust from me? It started with the bold and incredibly clever engineering, with the thoughtfulness of every aspect of design that continued through production, performance, safety, the ability for continual upgrade, "user interface," and even "ownership experience;" And continued right on with the way Tesla has confidently changed the car buying experience. Immediately refreshing: talk directly to me, no dealer involved, no salesperson competing for commission. Over several months, everyone at Tesla answered my questions in a very matter-of-fact manner, and no one tried to sell me on anything. They did follow up and answer all my questions with detailed information. They guided me in choosing appropriate options without up-selling anything. And they didn't shy from clarity about current limitations with charging and what that means for the car in my area ("there may be times you will want to use a gasoline car until superchargers are more available"). And the price is the price. I don't have to go to kbb.com or somewhere, and try to determine dealer invoice and fair margin and comparative price, and whether certain options will be available in my area (often not) and generally get ready to get into the dealer negotiating game which I loathe!

Tesla has convinced me to take a huge leap because this level of intelligent consideration and detail is reflected in every aspect of Tesla's work on the model S inspires confidence. So why would I not extend that trust to include working with me to keep my car in the best condition possible? Certainly Tesla techs the only ones who can do real service work on my Model S anyway, so if and when, I will be paying them. The Service Package could be considered an option like the Tech Package, or Sound Studio, not necessary, but good to have -- only, for me, its a higher priority.

I don't like insurance, but I carry it, not only for unforeseen events, for accidents, or damage, but for the peace of mind to know that I will not be suddenly hit by what can become large and unforeseen expenses. I pay consistently to not have to pay suddenly. I think peace of mind, and consistency are good to have.

Seems to me that the service plan is offered as a way to help me protect my investment. I won't say no.

NorCal Tesla Driver | April 27, 2013

I'm keeping mine too. My service center in Menlo Park, led by Randy and his awesome team has been nothing short of first class to deal with -- knowing that I'm covered across the board by such a fine team is more than worth the expense.

With regards to the wheel or curb rash raised by rd_redford not being covered under the tire plan-- you are correct. I decided not to purchase it as it was managed by a third party, and had lots of hidden issues and stipulations. (Pre authorization required, no automatic tire replacement so the speed rating is intact, no curb rash coverage, etc.)

So for tires I decided to take that risk myself. When I gave my beauty a touch of curb rash, by accident, Randy and his team to the rescue. I of course needed to pay out of pocket for the damage but it was repaired and my wheels look amazing.

kw1 | April 27, 2013

You do have to be happy with a company that constantly finds ways to improve its deliverables to its customers. SInce I bought the car it has just been one improvement after another. My Tesla grin is still here and bigger than ever.

DouglasR | April 27, 2013

By its terms, my Service Plan provides that if I cancel without claim within the first 31 days, I am entitled to a full refund. So the fact that I purchased a 4+4 plan before Elon's announcement should not cause me any difficulties.

Regarding the New Vehicle Limited Warranty ("NVLW"), as I see it, nothing has really changed. Notwithstanding George Blankenship's comments to the contrary, the NVLW never provided that it would become void if I failed to perform annual inspection and maintenance. Such an interpretation would probably be unenforceable anyway. The NVLW provides that it MAY be void if I fail to perform the recommended inspection and maintenance. I interpret this to mean that, under the NVLW, TM may refuse to cover any problem that could have been avoided had the recommended inspection and maintenance been performed. In other words, the entire warranty does not automatically become void if I miss a service, but I may be responsible for particular problems caused by my own negligence. In this respect, I do not think that Elon's announcement changes much, if anything. If I ignore warnings, or never check the things that should be checked, my warranty may not cover me if those things fail.

The question remains whether I should perform the recommended annual inspection and maintenance, either $600 per year or $1,900 for four years. The Model S is a sophisticated and expensive piece of machinery, and includes a lot of cutting edge technology. A prudent owner would want to have it looked at and spruced up from time to time. Who but TM would have the knowledge and equipment to do this? Yes, it is expensive for the amount of work they are likely to do. But since I never put much stock in the threat to void the warranty before Elon's announcement, and I still bought the prepaid Service Plan, I don't see any reason to cancel it now.

What TM did was clever. By removing the threat of a voided warranty, TM did what it was probably required by law to do. But it did not lower the cost of service, which admittedly is high. I think most people will probably still have the service performed, because it is prudent to do so. But they will feel better because they are no longer being bullied into it.

David Trushin | April 27, 2013

Just about every new vehicle warranty, including the much beloved Mercedes Benz, has a clause in it that says that certain repairs will not be covered by the warranty unless the owner has a documented maintenance trail. This is standard stuff. You can't drive your ICE dry of oil and then expect the engine to be replaced for free. Tesla warranty has weak language that appears to say the same thing. But that is up to the lawyers to decide for those of you who forgo the maintenance in favor of letting your car go to pieces. That may not be much of a problem since Tesla's lawyers are all probably jumping off the building in Palo Alto after yesterday's announcement.

Wear and tear items are not covered by warrany anyway. Most owners think of brakes and windshield wipers in this category. But electical contacts, 12 V batteries, not to mention seat and floor covers, door latches (I don't mean the servo failing, I mean the latch wearing). In any cases, switches (like for the charge port door do wear out. I don't want to go there. This is new technology. I don't understand the Caddy service guy when he says that the framich wore out on my schizometer and that isn't covered on the warranty. So is this going to be better? I would rather be safe than sorry. Consider this scenario: Your door handles stop presenting. After working on the car for 24 hours, they determine that electical contacts which haven't been cleaned and adjusted in 20000 miles shorted out the servo. The problem would most likely not have occurred had the regularly scheduled maintenance taken place. Do you really want that in your life?

I plan to have regular scheduled maintenance and I will pay in advance so I can save a few bucks on it. I trust that I will get value for my money. I trusted them with 94k already, I can trust them with another 475 a year.

FLsportscarenth... | April 27, 2013

Hmmm some major decision maker at TM was actually paying attention during their 'process improvement' section of their Quantitative Analysis Course while doing their MBA. TM's resolution of issues from the 40's to the mandatory service plan almost reads like a Harvard Business School case study...

The customer wins, but TM wins long term by winning the hearts and minds of Tesla buyers and their family and close friends...

TM - textbook example of how to do business right...

Chuck Lusin | April 27, 2013

@FLsportscarenth,

Mostly TM is reactive not proactive. Communication with reservation holders is close to zero, I have always had to make the first move and call.

FLsportscarenth... | April 27, 2013

@Chuck

I would give them a certain amount of credit - on paper the 40-60-85 selling scheme seemed good. Sales were lagging for 40s and reservation holders were getting pissed at production delay. TM could not have foreseen these things so guess what? 40's get a 60 with a pay to upgrade option. This is a very pro-customer thing to do. TM is new at mass selling an is learning well - giving customers a great solution counts as good problem solving in my book. TM seemed to have its ear to the ground and came up with a winner. I do not see the same level of customer care from other manufacturers and once TM irons out the bugs and is 'caught up' it stands in a position to eat the other guys lunch.

You can be proactive with established processes, when in new territory creative pro-customer fixes are innovative improvements. What other manufacturer's entire output is 'bespoke' and production of a totally new model? That is a lot of individual responses, if I was in TM's position would be hard to respond. Tesla's volume will only get bigger, in future they will need some inventory for 'the lot' and to keep costs down make sure cars are delivered right so few human time intensive fixes and corrections.

AlMc | April 27, 2013

I plan on the 4+4 plan as well. I can make no better argument for it than has already been made by inherkinr, trushin and norcal. However, I will add that Musk indicated that the yearly (or 12.5k mile) check ups would include hardware updates as well.

As to customer service, I do not expect to speak with someone directly each time I call. Any question I have asked has been answered within 24 hours of my phone message or email.

inherkiner.....My friends and family have expressed similar sentiments to me about my sanity!

DJay | April 27, 2013

I just signed up, I appreciate everyone's input.

Robert22 | April 27, 2013

It's reactive because TM has realized that it's much quicker and more efficient to invent the core idea then toss it into the crowd (the press and us). We work for free vetting every possible permutation of a solution, and then we throw it back. They sand it, polish it, and present it as sheer brilliance....and it is. Crowd source your solutions and you've addressed the majority of potential customer concerns and deepened their loyalty.

Kleist | April 27, 2013

In my case during reservation TM was always ahead communicating, never had to call. Emails arrived always a couple of days ahead of expected. Delivery was available first day of window. ( Service is another story )

Robert22 | April 27, 2013

Still struggling with the merits of the extended warranty. With the extended warranty (repair) agreement there is a $200.00 per part/ item deductible which can only be assessed once on each part/ item. This would mean that if all four door handle servos go in the 5th year, and for the purpose of argument each costs $400.00, I'd still receive a bill for $800.00 (4 handles x $200.00 deductible). If all four handles blew again in year 7, I wouldn't pay the deductible again on any of them. So I'm paying the first $200.00 on potentially every part that fails. Am I reading that correctly?

billbaggy | April 28, 2013

I drive about 25000 miles a year. Now I am glad that I only need to bring my car in once a year instead of twice a year, the 4 year or 4+4 plan would really end up costing $950/year. That may include tire rotations, etc but I can't imagine that a tire rotation will cost $350. I realize all of the other potential benefits, but ultimately the once a year out of pocket $600 cost is the better way to go for me.

Extended warranty is a must. But the nice thing there too, is you don't have to purchase until the initial 4 year warranty is about to expire. Way more consumer friendly in the end. Unlike most car dealers who push to have you pay it all up front.

Robert22 | April 28, 2013

Sure I can wait, but then it will be like the bag of potato chips I waited a week to buy, the price jumped 30% and the weight dropped from 9 to 7 ounces. An imperfect analogy but I'm still a little miffed about my chips. It's unlikely the extended warranty will be $2500.00 in four years unless you're in the deflation camp.

eAdopter | April 28, 2013

@DouglasR +1

I purchased the 4+4 plan and intend to keep it. I also plan to purchase the extended warranty. My decision has a lot to do with personal circumstances and preferences. TM is very new and hard facts are rare at this stage in the process. Early Adopters should be prepared to mitigate a variable level of risk.

1. I make many decisions based on how they will affect my stress level. Life Is Good because I chose to live it that way. I never risk the financial health and safety of my family. I'm not wealthy. I save. I keep spending under control. I sleep well.

2. TM is a new company developing a new car and service model. I can afford to take the risk if a reasonable safety net is in place. Otherwise, the Model S is out of my reach.

3. I'm optimistic but not naive. I'm confident that something expensive will need replacement within eight years. Aside from things such as wiper blades, are there any inexpensive parts on a Model S? When a breakdown occurs, TM will see that I maintained the car and planned (paid for) unforeseen issues. We won't play the blame game. Correcting the issue and maintaining a good relationship will be their best option, even from their perspective. There are enough owners online to sink TM if they don't act reasonably for owners who play by the rules.

Again, this is a very personal decision based on how I live and my financial resources. I understand there are other owners with very deep pockets who can assume a different risk level. Each of us will need to make a decision based on personal values. There's no wrong answer. Do what works for you.

juliancohen | April 30, 2013

I think you can buy the extended warranty at any time prior to the expiration of the original warranty -- at least that's what Tesla HQ told me. It may be more expensive 3+ years from now, but I'm willing to take that risk rather than plunking down $2500 on it now.

As for the service...I'm leaning toward NOT taking a risk on that, and paying for that now. Just trying to decide between 4 year and 8 year.

ddruz | April 30, 2013

Tesla has yet to say whether software/firmware updates will be free without a service plan. People have assumed so, however, this is not confirmed. Hopefully they will confirm one way or the other before my time window runs out.

Those considering the extended service plan (warranty) might want to read the fine print to see all the things that are excluded. This is not a bumper to bumper extended warranty.

illioilli | April 30, 2013

So the 4-year plan extension reads: "Four year extension to prepaid Tesla Service. Up to a total of 100,000 miles"...

Anyone think this means that you can add it later if you bought just the 4-year plan (it's a prepaid service)?

illioilli | April 30, 2013

from the service agreement: "...cover the
specified annual maintenance inspections for the subject Vehicle for the selected plan (the “Plan”), with
coverage becoming available on and retroactive to the date of purchase of Your Vehicle or, for Additional
Plans, the date of expiration of Your initial Plan (the “Effective Date”), provided that You purchase this
Agreement no later than 30 days after the applicable Effective Date."

So you can still add the additional 4 year plan for $1900 as long as it is before the Effective Date of the initial plan (4-year plan).

That would be nice cause I only have enough for the 4-year plan at this time, since I've been buying TSLA stock with my extra cash on hand (pre earnings release)! :)

RanjitC | April 30, 2013

Seriously guys this is a car in the Mercedes S class cost category. Please ask any one who owns an S class how much maintenance costs over 100,000 miles. (including the cost of an extended warranty).
Even a Lexus LS will cost you much more than this Deal.

DouglasR | April 30, 2013

@illioilli - No, it is not at all clear that you can add the second 4 years later. The sign-up page says this:

"Four year extension plans are only available in combination with an initial four year service plan at this time. Extension plans may be available for individual purchase in the future. Availability, duration, and pricing subject to change."

The language you quoted describes the coverage term if you purchase an agreement no more than 30 days after its Effective Date, but it doesn't guarantee you the right to purchase the second four year agreement separately.

David Trushin | May 1, 2013

I routinely get mail trying to sell me extended warranties on my other cars even though the regular warranty has run out. It's all about statistics and predictable cash flow. I see no reason why Tesla would not do this. Of course, the future cost will be more. But will it be more than the future value of what it costs now?

pilotSteve | May 1, 2013

Interesting: today my "sign up for services" page no longer says "xxx days remaining". Yet all the options remain the same!

I purchased the 4-year non-ranger service. It appears I CAN upgrade to Anywhere and/or +4 extension with just a click of the mouse and a credit card.

So I still don't understand: what does Ranger service provide that Free Loaners does not? (From a customer point of view I don't care whether they fix it in my garage or their shop as long as I have a nice loaner car to drive and its valet delivered to me).

herkimer | May 1, 2013

Depends on how far you live from a service center.
I live 465 miles from the nearest SC. Have a feeling ranger service is the way to go for me.

Kleist | May 1, 2013

I live 25 miles from 2 service centers and signed up for ranger service. Probably I will never use it, but just for the peace of mind. Cars have the tendency to need service when work is killing me and just to have the option to say please pick it up is worth every penny.

DouglasR | May 1, 2013

@pilotSteve - One difference might be that loaners are available only if the service will exceed four hours, whereas Ranger service is available no matter how long the service will take.

Brian H | May 1, 2013

The loaners only kick in for 4-day service. No such restriction on Rangers.

kback | May 1, 2013

ddruz@aol.com,

Software/firmware updates are free even if you do not buy a service plan. I live in Connecticut, and due to annoying laws here, Tesla cannot sell a service plan because they don't have a dealership in the state. I discussed this with the ownership team at Tesla, and they informed me that I can just pay the $600 per annual service, and I would have all the same benefits as people who purchase the service plan, except I cannot pay for unlimited Ranger visits at this time. If I had the option, I would buy the service plan with unlimited Ranger visits because it doesn't seem that pricey to me considering the new technology and the amount I've spent on prior luxury car service.

DouglasR | May 1, 2013

The $600 annual service IS a Service Plan. You get exactly the same as what you get in one year of the $1900 prepaid 4-year plan.

GeekEV | May 1, 2013

(I hope this formats correctly the first time since there's no edit button!)

So, here's my latest email exchange with Tesla on this subject:
GeekEV wrote:

"
I'm trying to figure out if this is still worth having and could use your help. I've read the information at http://www.teslamotors.com/service but am not 100% clear on what exactly the plans cover. Please help sell me on why I should keep the service plan?

1) It was my understanding that all cars would receive software updates and new features for as long as you support them, but the service page seems to suggest that updates, monitoring and remote diagnostics are all a feature of the service plan. Does that mean that if I drop the service plan and do not get the annual service checks that I will lose some or all of those things?

2) The service says it covers 'replacement parts like brake pads and windshield wipers (excluding tires)'. Based on my prior experience with hybrids and other EVs, the brake pads will last a very long time before needing replacement. Wipers are cheap. What else would be checked/replaced at these services?

3) Someone on the forums was indicating that the annual service (for the Roadster at least) included hardware upgrades with any re-designed or improved parts as well as a general 'reconditioning' of the vehicle to maintain it in tip-top shape - is that accurate and true for the Model S service as well?

If the service plan will keep my car in premium condition, then I'll probably keep it. If, on the other hand, all it really nets me is an annual inspection then I probably won't. As you can imagine, I got the plan because the service was mandatory to maintain the vehicle's warranty and the plan was equivalent in cost to $600 x 4 that I would have wound up paying anyway. Now that it's optional, I'm struggling to figure out why I need it. Any mechanical failure or deficiency would be covered under the standard warranty anyway and what maintenance items an EV does have are infrequent (brake pads) or inexpensive (wipers and cabin filters).

I want to keep my car in tip-top condition, as it's the first luxury car I've ever owned, but I just don't see what the service plan does for me. Any further insight you can provide would be most appreciated.
"

Tesla Ownership wrote:

"
Thank you for seeking clarity. At this point, if you would like to withdraw from your service plan in the next 60 days, we will not require notarized affidavit.

Also, replacement parts like brake pads and windshield wipers is not covered under warranty and only included as part of annual service. We can, of course, provide these for you but there will be a fixed ost to provide and install. However, 24 hour roadside assistance, system monitoring, remote diagnostics will be included free of charge under your current new vehicle limited warranty. Software updates are free for the time being and the foreseeable future, but may become a paid service. No further information is known regarding this possible change of process. And lastly, new features is regarding software based enhancements from what I was able to gather. No plans have been expressed to add hardware features to our current vehicles.

Please reach out again if there is anything else we can assist with.
"

GeekEV wrote:

"
Thank you for your response. I want to make sure I take every care to maintain my vehicle in tip-top shape, but at the same time I don't want to spend pointless money. Given your comments, I'm struggling to find the value add of the service plan. I'll keep it if I can find one. I know things are in flux and maybe the answers aren't known right now, but do you see any value in the plan that I'm missing?

With respect to hardware upgrades, Elon's blog post said this:
http://www.teslamotors.com/blog/creating-world%E2%80%99s-best-service-an...
'...to address a few things here & there and perform any hardware upgrades – our goal is not just to fix things, but to make the car better than it was.'

What kinds of things here and there? What kinds of hardware upgrades? Better how?

Thanks again!
"

Tesla Ownership wrote:

"
To follow up: I believe that what Elon is referring to comes from our Roadster experience. Sometimes a reinforced or reengineered part becomes available for your vehicle. As a part of annual service we will switch the part out. There is not specific part list at this time, as Elon is making a forward looking statement. If you come in for an annual service at any time, we will perform this service. It is not limited to those that heave prepaid 4 years.

Regarding value of the service plan: I believe that it is good to properly maintain your vehicle as outlined by the manufacturer. However if you do not see the benefit to our annual service or deem it unnecessary in your mind, you are free to refund at this time.
"

GeekEV wrote:

"
Alright, since the service was mandatory before to maintain warranty and I knew I'd be paying $600x4 anyway the plan made sense. Give what's transpired and your information, I believe it makes more sense to cancel and I'll just play it by ear and bring the car in periodically when it makes sense to do so.

Just to confirm, there's NO difference between having the plan and paying for service on a case by case basis, right? If so, please proceed with processing a refund for me.
"

Tesla Ownership wrote:

"
There is no difference as far as the warranty is concerned whether you service annually or as you see fit. I will continue with the refund.
"

Based on this exchange, my current plan is to get a refund and just manually schedule/pay-for services whenever it feels appropriate based on how the car's holding up. Maybe every year, year-and-a-half or even two. We'll just see how it goes. I hope this helps someone else decide...

riceuguy | May 1, 2013

Thanks, GeekEV...helps a ton! Was just about to embark on the exact same dialogue with them!

herkimer | May 1, 2013

Sure not very well spelled out.
I am still going to stay with the service plan.
Call me crazy.

riceuguy | May 1, 2013

I am still planning to go in for service every 12k miles or so, but to pay for it at the time of service. It's not enough of a price difference for me to want to prepay.

Robert22 | May 1, 2013

Wow, completely different response in regard to hardware improvements than I received (see my prior post on this thread). DouglasR was absolutely correct, pat attention to the language of the agreement. I still don't regret purchasing the 4+4. At some point there is going to be a high ticket item that needs to be replaced that for some reason doesn't fit in a well-defined category. I would rather have the discussion and possible accommodation arrived at with the service plan under my belt. Pay as you go obviously has its merits too from the dialogue above.

DouglasR | May 1, 2013

I said this in another thread, but it is applicable to this discussion as well:

"The real benefit of the Plan, in my view, is to check the car over, and deal with all the things that are not 'user serviceable.' Does the car need lubrication? Brake fluid? Does the battery coolant need to be checked periodically? Motor/PEM and AC fluids? How about the seals, bolts, and fasteners? Does the suspension or steering ever need adjustment? Are there system diagnostics that need to be performed? Are there service bulletins pointing out issues before they become problems?

Even if no repairs are actually performed, it just makes sense to have the car thoroughly gone over once a year by someone who knows what he's doing. I think a lot of the complaining would go away if TM would simply publish a list of all the items that get checked off in an annual service."

Note that it doesn't matter whether you prepay for four or eight years, or just take the car in for a periodic $600 service. And yes, if you are a low mileage driver, you may want to spread the services out a bit, just as a high mileage driver may want do use a mileage interval greater than 12,500. The point is to maintain the vehicle on a regular basis, irrespective of whether you are experiencing problems with it.

MSTESLA30 | May 1, 2013

I am planning on still purchasing the 4+4 service plan. One aspect that I'm considering is whether to continue to pay for the unlimited Ranger Service given the new Loaner program. I figure if there are service calls that are less than the 3-4hr threshold for the loaner program,those will hopefully be Ranger-type services. Thus, keeping the unlimited Ranger Service makes sense in terms of convenience. Thoughts?

Brian H | May 1, 2013

That's 4-DAY threshold, not 3-4hr, for the loaners.

Robert22 | May 1, 2013

Loaner cars are issued if service is expected to exceed 4 HOURS.

David Trushin | May 1, 2013

Where are you guys getting your info from. I didn't think elon put conditions on it.

bshortell | May 1, 2013

Having 17000+ miles on my Model S, $600 is a reasonable cost to ensure that repairs are made to ensure that my car is in excellent working condition. Adding another $600 in 8000 miles with no gas costs is an absolute no BRAINER!

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