Thermal runaway is a major concern for lithium-ion batteries in electric vehicles. A manufacturing fault or unusual operating conditions may lead to this event. Starting from a single battery cell, more cells may be triggered into thermal runaway, and the battery pack may be destroyed. To prevent this from happening, safety solutions need to be evaluated. Physical testing is an effective, yet costly, method to assessing battery safety performance. As such, the potential of a numerical tool, which can cut costs and reduce product development times, is investigated in terms of capturing a battery module’s tolerance to a single cell failure. A 3D-FE model of a battery module was built, using a commercial software, to study thermal runaway propagation. The model assumes that when the cell jelly roll reaches a critical value, thermal runaway occurs. This approach was considered to study the module’s tolerance to a single cell failure, which was in reasonable agreement with what had been observed in full-scale experiments. In addition, quantitative sensitivity study on the i) model input parameters, ii) model space, and iii) time resolutions on the computed start time instant and time duration of thermal runaway were performed. The critical temperature was found to have the greatest influence on thermal runaway propagation. The specific heat capacity of jelly roll was found to significantly impact the thermal runaway time duration. The multi-physics model for battery thermal propagation is promising and worth to be applied with care for designing safer batteries in combination with physical testing.