As electric vehicles (EVs) age, owners face limited options for repairs after the original warranty expires. Amber, a startup based in the Bay Area, aims to provide a solution for Tesla owners navigating this challenge.
Founded in early 2023, Amber recently introduced a new aftermarket warranty product called AmberCare for Model Y, 3, S, and X owners. The plans range from $40 to $120 per month and cover essential components like the drive units and battery. When owners need repairs, Amber partners with certified repair shops to identify the necessary parts and facilitate the repair process, even arranging transportation for the vehicle.
The launch of AmberCare highlights the evolving landscape of EV maintenance and the uncertainties surrounding their longevity and performance over time.
While EVs typically require less maintenance than traditional vehicles, they are not immune to mechanical issues. In some cases, repairing EVs can be complex and costly, with certain parts not covered by standard warranties. This is particularly challenging for owners of rare or luxury EVs from newer manufacturers.
Amber’s CEO, Joe Pak, envisions AmberCare as a comprehensive solution to address these challenges. He emphasizes the need for a vertically integrated aftermarket warranty platform to support EV owners effectively, considering the limited availability of parts and specialized service expertise in the current market.
Image Credits: Amber
To realize this vision, Amber has collaborated with repair shops nationwide and identified critical parts in demand. With $3.18 million in seed funding from investors like Era and Prime Sazze, Amber is launching AmberCare in ten states initially.
AmberCare is part of a growing ecosystem focused on the maintenance and sustainability of used EVs. From battery recycling to digital maintenance solutions, the industry is adapting to support the evolving needs of EV owners.
Pak identifies two primary customer segments for AmberCare: those purchasing used EVs seeking cost-effective repair solutions and existing EV owners seeking continued support beyond the manufacturer’s warranty period.
Despite having a small team, Amber has already onboarded customers for an early access version of AmberCare. Pak plans to engage with the EV community, particularly through online forums, to reach more customers and address their concerns surrounding EV repairs.
In addition to repair services, AmberCare will address logistical challenges like transportation for EVs, ensuring a seamless customer experience.
Pak acknowledges the skepticism surrounding extended warranties but notes that customers have embraced AmberCare’s value proposition. He believes there is a clear market need for reliable and comprehensive warranty solutions for EV owners.
As the EV industry continues to evolve, Amber aims to fill the gap in aftermarket warranty services and provide peace of mind for EV owners facing repair challenges.
