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Disclosures filed this week show that Tesla expects to spend a lot more money on auto warranty repairs than any other car maker in the world.

Tesla has not said why they are setting aside more money than most. It could be because they expect to have many more problems with their vehicles in the future, which would increase their warranty costs. Or it could mean that they expect to have the same amount of recalls as other car makers, but intends to spend more money on each recall.

According to the disclosure papers, Tesla sets aside $2,036 per vehicle sold in anticipation of future auto warranty repair costs. In comparison, Ford sets aside $429 per vehicle and GM sets aside $332 per vehicle for future auto warranty costs.

Part of the issue may be that Tesla offers an auto warranty of 10 years or 100,000 miles, while other car makers often offer 5 year and 50,000 mile warranties.

However, in the past Tesla has said the reason they can offer longer warranties is that because their cars are electric, there is no wear and tear due to burning gasoline, and their cars should therefore last longer before needing repairs.

Setting aside the extra money seems to fly in the face of that argument. But as noted before, it could simply be a way to account for higher quality standards when making auto warranty related repairs.

To compare you warranty options, you can use our free warranty search service.


Free Vin Lookup

Vin Lookup

The Vehicle Identification Number is located in many different places on a car. It is very common to appear on the dashboard and/or in the drivers side door sticker. You can do a free VIN look up to check vehicle problems on the button above.