January 14, 2025
Auto Insurance
Does Insurance Cover Auto Repairs?
If your car suddenly breaks down, the first thoughts that likely rush into your mind are practical concerns such as who you can call for help, how long it will take to fix the issue, and whether you have roadside assistance. However, when it comes to auto insurance, many policyholders out there wonder if their auto insurance policy extends to cover vehicle repairs.
In the event of an unexpected accident, a sudden breakdown, or damage from things like vandalism or hail, you may think about your car insurance policy, what it covers, and what it does not cover. Keep reading this article to learn whether insurance covers auto repairs.
Does Insurance Cover Auto Repairs?
The short answer is that it depends. Insurance policies are designed to protect you from unexpected events, but not all auto insurance plans cover every type of repair. Coverage typically depends on the following:
- The kind of policy you have (Read more about different types of car insurance coverage to understand it better)
- The incident that caused the damages
- Whether it falls under a covered event like an accident, vandalism, or a natural disaster like a flood.
Standard car insurance policies protect you from property damage and collision. They also cover some specific events that are not accidents. However, you still need to handle routine maintenance and wear and tear on your car by yourself.
For more extensive protection, additional coverage options like collision insurance, comprehensive auto insurance, or even mechanical breakdown insurance might be necessary. These add-ons provide broader coverage. They make sure that everything from engine failures to hail damage is covered.
What Types of Car Insurance Policy Will Cover Auto Repairs?
Certain types of car insurance policies can handle vehicle repairs. For instance, if you have collision insurance covers repairs after an accident, regardless of who caused it. This includes damages to your vehicle from hitting another car, a stationary object, or even a pothole.
On the other hand, comprehensive insurance covers non-accident scenarios like theft, hail damage, floods, vandalism, or damage caused by a failing tree branch or animal collision. However, if you’re looking for protection against mechanical failure, you need to consider mechanical breakdown insurance. Though It’s not included in standard policies, it offers protection for essential engine, transmission, and other critical repairs. You should check with your insurance company to make sure you have the right kind of car insurance coverage for your needs.
Types of Damages Covered by Car Insurance
As has been said earlier, car insurance policies can cover a variety of damages depending on the type of auto insurance coverage you have. However, each policy has limitations and requires a deductible to be paid before the insurance company takes responsibility for repair costs.
Below is a list of damages typically covered by your car insurance policies:
- Damages from traffic collisions (Covered under collision insurance)
- Theft, vandalism, natural disasters like storms, floods, hail, and falling objects such as tree branches (covered by comprehensive coverage)
- Collision with animals, such as hitting a deer (Covered by comprehensive insurance)
Types of Repairs Excluded from Insurance Coverage
It’s true that if you have standard auto insurance which usually includes liability, collision, and comprehensive coverage, you will get the protection for car repairs in many unexpected events.
It does not extend to all repairs, though. For instance, routine maintenance of your car, or repairs caused by wear and tear such as replacing brake pads, fixing windshield wiper, or performing an oil change, are not included in most insurance policies. Also, repairs resulting from faulty maintenance, preexisting damages, or modifications made to the vehicle are excluded.
Here's a list of auto repairs typically excluded from your standard car insurance coverage:
- Wear and tear, such as tire replacements and brake pad repairs
- Routine Maintenance, including oil changes and windshield wiper replacements
- Repairs due to poor maintenance or negligence
- Damage from racing or illegal activities
- Preexisting damage noted before the policy start date
- Repairs required due to unauthorized vehicle modifications
- Any Damage resulting from driving under the influence (DUI)
- Any damage from driving without a license
Does Full Coverage Auto Insurance Cover Repairs?
“Full coverage” isn’t an official term. In fact, many policyholders and car owners misunderstood the term “full coverage car insurance” by considering it as a blanket solution for all vehicle repair needs. However, its scope is more specific.
When someone says, “I’ve full coverage insurance”, it typically means he/she has collision and comprehensive insurance along with the legally required liability insurance.
So, will full coverage car insurance cover auto repairs? Well! It pays for repairs or damages caused by accidents, theft, or non-collision events like vandalism, hail, or natural disasters. But it doesn’t include repairs for wear and tear, routine maintenance, or mechanical breakdown.
Does Auto Insurance Cover Repairs for a Single-Car Accident?
Yes, auto insurance can cover repairs for a single-car accident. However, the type of coverage required depends on the nature of the incident. Collision insurance can help cover repairs for damages caused by events like hitting a stationary object or overturning your vehicle. It even covers if you drive into a pothole, says the Insurance Information Institute. If the incident involves non-collision factors, such as hitting a tree due to a storm, comprehensive coverage would apply.
This also means if you have full coverage car insurance, you’re fully covered for repairs caused by a single-car accident. Looking for affordable full coverage auto insurance? You can find an agent here and get a cheap car insurance policy that covers auto repairs in many circumstances.
Does Car Insurance Cover Routine Maintenance or Mechanical Breakdown?
Your liability insurance which is mandatory in most states doesn’t cover regular maintenance or mechanical breakdowns. Besides, optional coverage like collision and comprehensive insurance which is popularly known as “full coverage auto insurance” also does not help in such cases.
In fact, regular upkeep or mechanical breakdown is considered the owner’s responsibility as part of owning and operating a vehicle. Tasks such as oil changes, brake pad replacements, or tire rotations fall under wear and tear, which is excluded from your standard insurance coverage. Repairs due to mechanical failures not related to covered incidents are also excluded.
So, What Insurance Pays for Routine Maintenance or Mechanical Breakdown?
Although standard car insurance doesn’t cover routine maintenance or mechanical failures, optional coverage such as Mechanical Breakdown Insurance (MBI) can help save you money on costly car repairs. You’ll qualify for MBI coverage if you have a newer vehicle or leased car that is less than 15 months old and has under 15,000 miles, however, it varies by insurer.
Having this coverage means if your car experiences issues unrelated to traffic collisions, theft, or natural disasters, it will pay the repair costs. Apart from MBI, an extended warranty also covers the same. However, it would initially cost around $1214 for a 3-year plan (Via Consumer Reports Study). This is very expensive compared to MBI, which costs ranging from $180 to $450 for a 6-year policy (Via ValuePenguin).
Here’s what is covered by Mechanical Breakdown Insurance (MBI):
- Engine failures and repairs
- Transmission malfunctions
- Drivetrain malfunction
- Steering system repairs
- Brakes and alternator replacements
- Fuel system issues
- Cooling system repairs
- Air conditioning malfunctions
- Electrical system failures
Will MBI Coverage Pay for a Rental Car During Repairs?
No, MBI insurance won’t cover the cost of a rental car during repairs. Even if you have full coverage car insurance or any standard insurance policy, they won’t pay for a rental car. To be eligible for rental compensation, you must have rental reimbursement coverage. This optional insurance policy helps cover the cost of a rental while your vehicle is being fixed after a covered accident. For detailed information, you can read our article: Will Insurance pay for rental car during repairs?
When Should I File a Claim for Auto Repairs?
Filing a claim for auto repairs depends on the nature of the damage and your insurance coverage. You should file a claim when the cost of repairs exceeds your deductible or if the damage is caused by a covered event, such as collision, theft, or hail. Reporting the incident promptly ensures a faster and smoother claims process.
When Should I Notify My Insurance Company?
Notify Your insurance company right away after the incident. Quick reporting can help with timely processing and avoid delays in repair approval. Gather information, such as photos of the damages, a police report, and witness statements.
Here's a list of documents you’ll need to file a claim:
- Photos of the damages
- A copy of the police report, if applicable
- Receipts for previous maintenance (If relevant)
- Your insurance policy details
What Are the Alternatives to Traditional Auto Repair Coverage?
Apart from MBI coverage, there are other options available if your auto insurance doesn't cover certain repairs or if you'd like to find something other than standard auto repair coverage. These alternatives primarily focus on routine maintenance, wear and tear, or unexpected damages not included in typical full-coverage insurance policies. They can help reduce the out-of-pocket expenses.
Here's a list of alternatives to standard car insurance coverage:
- Extended Warranties
- Vehicle Service Contracts
- Roadside Assistance Plans
Extended Warranties
Extended Warranties cover vehicle repairs after the manufacturer’s warranty expires just like Mechanical Breakdown Insurance (MBI). They often include coverage for certain components, routine maintenance, and wear. Some plans also offer perks like rental reimbursement, roadside assistance, and towing. Always review the warranty’s terms and conditions to ensure it fits your needs.
Here's a list of damages covered by extended warranties:
- Engine components
- Transmission system
- Drivetrain parts
- Electrical systems
- Air conditioning and heating systems
- Fuel system components
- Steering mechanisms
- Braking systems
- Suspension parts
- Cooling systems
Vehicle Service Contracts
Vehicle service contracts are similar to extended warranties but are offered by third-party providers. These contracts allow flexibility in choosing repair shops and can help you cover components not included in standard warranties or regular insurance policies. However, they usually cost more upfront. Yet some drivers might find it useful as it provides comprehensive protection for engine, transmission, and other repairs.
Roadside Assistance Plans
Roadside Assistance Plans help you if your vehicle suddenly breaks down while you’re on your way to your destination. It usually covers towing, battery jump-starts, flat tire changes, and lockout services. You can get this add-on to your existing auto insurance policy through an affordable insurance company. Also, these programs are available through memberships like AAA, or vehicle manufacturers. Although they don’t cover significant repairs, they ensure you’re not trapped during emergencies.
How Can I Better Prepare for Unexpected Repairs?
To prepare for unexpected vehicle repairs, you better start understanding insurance coverage and explore additional protection options other than standard auto policy. Regular maintenance and proper care are your first line of defense against costly breakdowns.
Here is a list of things you can do to get ready for unexpected car fixes:
- Review your insurance policy
- Consider getting additional coverage, such as MBI or roadside assistance add-on.
- Build a repair fund to handle unexpected expenses.
- Always stay on top of maintenance
To ensure your auto repairs are covered, ask your insurer these questions:
- What types of damages are covered under my current insurance policy?
- Does my policy include collision and comprehensive auto insurance?
- Are routine maintenance or wear and tear repairs covered?
- What is my deductible, and how does it apply to repair claims?
- Can I add mechanical breakdown insurance to my policy?
- Am I eligible for rental reimbursement if my car is in the shop?
- Are there any exclusions in my coverage for certain repairs or circumstances?
Does Car Insurance Cover Auto Repairs: The Bottom Line
Car insurance can help cover auto repairs, but it depends on the type of policy and the damage. Collision coverage pays for repairs after an accident. Comprehensive insurance covers non-collision damage like theft, vandalism, or hail. However, routine maintenance and wear and tear, like brake pad replacements, are not covered.
For mechanical breakdowns, you can get extra protection with options like extended warranties or mechanical breakdown insurance. Plus, you can explore optional coverages or alternatives to stay prepared for unexpected repairs. Always review your policy and ask questions to your insurer to make sure you're fully covered for anything related to car repairs.
Read more articles about what auto insurance covers:
- Does Car Insurance Cover Car Battery?
- Does Car Insurance Cover Car Seats?
- Does Car Insurance Cover Hail Damage?
- Does Car Insurance Cover Car Seats After an Accident?
- Will My Insurance Cover Car Wash Damage?
Frequently Asked Questions (FAQs)
Does Full Coverage Auto Insurance Cover Mechanical Repairs?
No, full coverage insurance does not cover mechanical repairs unless the issue is related to a covered accident or event. Mechanical breakdowns caused by wear and tear or maintenance issues are excluded. For these, you can consider mechanical breakdown insurance or an extended warranty for added protection.
Does Full Coverage Cover Engine Failure?
Full coverage will cover your car’s engine failure only if it results from a covered incident, such as an accident, or natural disaster. However, mechanical breakdowns or wear and tear are excluded. For extensive coverage, you can go for an MBI or a vehicle warranty.
Does Insurance Cover a Blown Engine?
Standard car insurance or full coverage insurance does not cover a blown engine unless it’s caused by a covered incident like a collision, vandalism, or natural disasters like floods, storms, or other acts of nature. However, if engine issues result from poor maintenance, or wear and tear, then it won’t provide any coverage.
Will Car Insurance Cover Transmission?
Yes, car insurance will cover transmission if it is caused by any traffic collision or natural disaster. However, if it happens due to sudden mechanical failures, wear and tear, or poor maintenance, then your insurance won’t pay for the repairs.
Will Car Insurance Cover Repairs If You Are At Fault?
Yes, if you have collision car insurance, it will pay for repairs even though you’re responsible for the accident. However, you must pay the deductible before the insurance company covers the remaining costs.
Does Car Insurance Cover Auto Repairs Regardless of Fault?
Yes, collision auto insurance covers auto repairs regardless of who is at fault. If another driver is at fault, their liability insurance may pay for repairs. However, having collision insurance ensures you’re protected and repairs are covered, minus your deductible, even if the at-fault party’s coverage is insufficient.
How to Get Insurance to Pay for Car Repair?
To get insurance to pay for repairs, review your policy to know what’s covered. Document the damage with photos and file a claim immediately. Follow your insurer’s guidance, including using approved repair shops if required, and pay the deductible to begin the repair process.
Does Car insurance Cover Rentals for repairs?
If you have rental reimbursement coverage, you’ll get paid for rental cars during repairs. This is optional coverage and isn’t included in your full coverage policy. Please note that this coverage doesn’t pay for rentals if your car is in a repair shop due to routine maintenance or any non-covered repairs.
How Much Will Insurance Pay to Fix My Car?
According to the Insurance Information Institute, car insurance typically covers repair costs up to your policy’s limits, minus your deductible. If the repair exceeds your car’s value, the insurer may declare it a total loss and pay you the car’s market value instead.
Can Insurance Fix Something Unrelated to the Damage?
Insurance typically doesn’t cover repairs for damages unrelated to a specific claim. For instance, pre-existing damages are usually excluded from coverage. Besides, mechanical issues are generally not covered unless caused by a covered peril like an accident. That’s why it’s unlikely that insurance would pay for unrelated repairs.
Sources:
- What is covered by a basic auto insurance policy? | III. (n.d.). https://www.iii.org/article/what-covered-basic-auto-insurance-policy
- Reports, C. (2014, February 28). Extended car warranties: an expensive gamble. Consumer Reports. https://www.consumerreports.org/extended-warranties/extended-car-warranties-an-expensive-gamble/
- Fitzpatrick, M. (2024, October 31). What is mechanical breakdown insurance, and should I get it? ValuePenguin.https://www.valuepenguin.com/car-insurance/what-mechanical-breakdown-insurance-and-should-i-get-it
- Determining your car’s value and cost of repair | III. (n.d.). https://www.iii.org/article/how-are-value-my-car-and-cost-repair-determined
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