Car Insurance Coverage: Repairs and Maintenance Explained

Car Insurance Coverage: Repairs and Maintenance Explained

When it comes to car insurance, one of the most common questions is whether it covers repairs and maintenance costs. Let’s delve into the details and explore the options available to you.

Understanding Traditional Car Insurance Coverage

Car Insurance Coverage: Repairs and Maintenance Explained
Car Insurance Coverage: Repairs and Maintenance Explained

Traditional car insurance is designed to cover expenses related to accidents and natural disasters. If you’re involved in a car crash or your vehicle is damaged due to a storm or other calamities, your insurance will step in to handle the repair costs. However, routine maintenance, such as oil changes, tire rotations, and engine tune-ups, is not covered by standard car insurance policies.

The Role of Car Repair Insurance

Car repair insurance, also known as mechanical breakdown insurance (MBI), is an optional add-on to traditional car insurance. MBI provides coverage for non-accident-related situations that lead to mechanical failures. It does not cover damages resulting from collisions.

With an MBI policy, you can get financial assistance for repairs to crucial components like brakes, engine parts, transmission, steering, and more. It acts as an extra layer of protection for your vehicle beyond what traditional insurance offers.

Car Insurance Coverage: Repairs and Maintenance Explained
Car Insurance Coverage: Repairs and Maintenance Explained

Coverage Under MBI Policies

It’s essential to understand what an MBI policy covers before you decide to add it to your insurance plan. MBI typically covers expenses for repairs or replacements of major mechanical components, such as:

  • Brakes
  • Internal components
  • Engine parts
  • Transmission
  • Alternator
  • Air conditioning
  • Steering
  • Fuel system

However, it’s essential to note that regular maintenance tasks like oil changes, oil filter replacements, brake pad replacements, tire rotations, and similar items are generally not covered under MBI policies. Additionally, damages caused by poor maintenance are excluded from the coverage.


Does Car Insurance Cover Repairs?
Does Car Insurance Cover Repairs?

Extended Warranties: An Alternative to Maintenance Car Insurance

If you’re looking for coverage that includes routine maintenance and wear and tear, consider opting for an extended warranty. Extended warranties are available either from the vehicle manufacturer or third-party service providers.

An extended warranty typically covers a range of maintenance services, such as:

  • Annual tire rotation
  • Annual oil and filter change
  • Brake pads/shoe maintenance
  • Battery maintenance
  • Cooling system lubrication and maintenance
  • Wiper blade replacement
  • Manufacturer’s recommended service

Before choosing an extended warranty, make sure to compare its cost to the potential expenses of maintenance services. Keep in mind that extended warranties often come with additional perks, such as rental reimbursement, roadside assistance, and partial coverage for car repairs.

Qualifying for an Extended Warranty

To be eligible for an extended warranty, it’s best to purchase it soon after the manufacturer’s warranty expires. Warranty providers usually require a complete service history to ensure that you’ve properly maintained your vehicle. If you have a low-mileage vehicle, your chances of getting approved for an extended warranty are higher.

Car Insurance Coverage: Repairs and Maintenance Explained
Car Insurance Coverage: Repairs and Maintenance Explained

MBI vs. Extended Warranty Protection

When comparing MBI and extended warranties, several key differences stand out:

  1. Repair Shop Options: Extended warranties may limit you to specific repair shops, often tied to dealerships. MBI policies, on the other hand, may provide more flexibility in choosing your preferred repair shop.
  2. Covered Services: While MBI policies cover a broader range of parts and services, extended warranties include routine maintenance and wear-and-tear coverage, which MBIs do not.
  3. Budget and Cost: MBI policies usually come at a lower cost compared to extended warranties, making them easier to incorporate into your monthly budget.

Choosing the Right Coverage for Your Needs

When deciding between car repair insurance (MBI) and an extended warranty, consider the following factors:

  1. Vehicle Age and Condition: Check the eligibility criteria for both types of coverage based on your vehicle’s age and mileage.
  2. Driving Habits and Use: Assess your driving patterns and determine which coverage aligns better with your needs.
  3. Replacement and Repair Costs: Consider the value of your vehicle and the average cost of repairs to gauge the necessity of coverage.

Other Types of Car Insurance

Remember that neither MBI nor extended warranties cover damages caused by accidents or non-driving incidents like hailstorms. For such situations, collision and comprehensive insurance are necessary.

Liability insurance is also essential, as it pays for damages to the other person’s car if you’re at fault in an accident.



While traditional car insurance doesn’t cover maintenance expenses, you have options to protect your vehicle. Car repair insurance (MBI) can provide additional coverage for mechanical breakdowns, while extended warranties offer comprehensive protection, including routine maintenance. Carefully evaluate your needs, vehicle age, and budget to make the best choice for your car’s well-being and your peace of mind.


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