2027 Kia Telluride Hybrid Delivers 31 MPG and Saves $745 Yearly, But Its Palisade Twin Wins on Physical Knobs

The 2027 Kia Telluride Hybrid offers a combined 31 MPG with all-wheel drive, cutting annual fuel costs by about $745 compared to the gas-powered version. Testing the X-Line SX Prestige AWD trim, which stickered at $61,180 with options and fees ($57,590 base), revealed that the roughly $2,700 hybrid premium pays for itself in under four years based on 12,000 miles a year at $3.50 a gallon. The lineup also includes the EX FWD starting at $46,490 with a 35 MPG combined rating. Mechanically sharing its roots with the Hyundai Palisade Hybrid, the Telluride features a 2.5-liter turbocharged four-cylinder hybrid powertrain paired with a six-speed automatic transmission, pushing out 329 horsepower and 339 lb-ft of torque. Towing capacity reaches up to 4,500 pounds, trailing the gas Telluride’s 5,000-pound rating, while a self-leveling rear suspension assists with loads. Backed by a 10-year or 100,000-mile hybrid powertrain warranty, the SUV handles rough pavement with occasional stiffness and heavier steering with noticeable body roll compared to its Hyundai sibling. Inside, the cabin features a long dual-screen infotainment and gauge setup alongside a small climate-control screen that extends into the main display. However, heavy reliance on touchscreens and haptic controls causes the Telluride to fall short of the Palisade, which wins on physical knobs. Passenger space feels slightly tight in the driver’s seat and second row, while the third row is restricted to children. Cargo and storage highlights include dual wireless phone chargers, a shallow enclosed console, a deeper open bin, and swing-out cupholders. The top-tier test model came packed with features such as dual 12.3-inch screens, navigation, a head-up display, Meridian premium audio, an Ergo Motion driver’s seat, heated and cooled front and second-row seats, 20-inch wheels, dual sunroofs, and a comprehensive suite of advanced driver-assistance systems. Optional extras on the tested build included 21-inch wheels, LED fog lamps, X-Line styling, Black Jade Green paint, and a towing package.