Without a doubt, engine failure is a very expensive problem, and many car owners wonder if their insurance policy will cover this type of situation. Here is what you need to know. Whether or not car insurance covers engine failure depends on the type of coverage you have and the cause of the failure.
Does Car Insurance Cover Engine Failure?
Car insurance generally does not cover engine failure if it was caused by mechanical breakdown, lack of maintenance, or normal wear and tear. Standard auto insurance policies, including liability, collision, and comprehensive coverage, are not designed to cover the cost of repairing or replacing a car’s engine due to mechanical failure.
However, engine failure might be covered in special cases, and extended warranties and mechanical breakdowns can cover this problem.
Here is a breakdown of when engine failure might be covered by a car insurance policy and when it will not:
Standard Insurance Coverage and Engine Failure
Typically, standard car insurance policies do not cover engine failure if it results from normal wear and tear, improper maintenance, or mechanical breakdown. These policies include:
- Liability Insurance: This covers damages to other vehicles or injuries to other people if you’re at fault in an accident. Unfortunately, it does not cover your own car’s damages, and engine failure is not an exception.
- Comprehensive Insurance: This covers damage to your vehicle that is not collision-related. For example, theft, vandalism, or natural disasters. While it covers a wide range of problems, comprehensive insurance generally does not cover engine failure due to wear or mechanical breakdown.
- Collision Insurance: Collision insurance covers damages to your car resulting from a collision, regardless of who caused it. However, it doesn’t cover engine failure due to wear and tear or mechanical issues as well.
What Is Not Covered by Standard Policies?
Wear and tear: Regular wear and tear is a part of vehicle ownership. As time goes on, engine components can degrade and fail. In the meantime, standard insurance policies do not cover these costs because they are considered part of the normal upkeep of a vehicle.
Poor Maintenance: Similarly, if engine failure results from neglect, insurance policies do not provide coverage. This is because regular maintenance is the responsibility of the owner.
When Might My Car Insurance Cover Engine Failure?
There are certain scenarios where your car insurance policy might offer coverage for engine failure, and they include:
Accident-Related Damage: If your engine is damaged because of a covered accident, then your collision coverage may cover the repairs. For instance, if you’re in a collision that damages the engine, the repairs to the engine could be covered under this policy.
Comprehensive Damage: If your engine is damaged by a covered peril under your comprehensive coverage, for example, in the case of vandalism, a fallen tree, or a flood, you might be reimbursed for repairs or replacement.
Additional Coverage and Considerations
If you would like to receive coverage for engine failure, here are some add-ons that you can purchase and add to your policy:
- Mechanical Breakdown Insurance (MBI).
- Extended Warranties.
• Mechanical Breakdown Insurance (MBI)
Some insurance companies offer MBI as an add-on to your policy, which can cover engine failure and other mechanical issues. It also depends on the policy’s terms and deductibles.
• Extended Warranties
An extended warranty, when provided by the manufacturer or purchased separately, may cover engine failure. Besides, these warranties usually extend beyond the coverage period of the standard manufacturer’s warranty.
What Are the Exceptions and Exclusions?
Before purchasing car insurance, it is important to read the fine print of your insurance policy and any warranty or additional coverage you have. Unquestionably, there will be some exclusions and conditions under which engine damage might or might not be covered.
As an illustration, if engine damage is due to an accident and you are found at fault, collision coverage may cover repairs, minus your deductible. More importantly, regular wear and tear or failure to maintain the vehicle, like not changing the oil, will not be covered.
Final Thoughts
In general, a standard car insurance policy does not offer coverage for engine failure due to wear and tear or mechanical breakdown. What’s more, coverage for engine damage is usually limited to particular causes that fall under comprehensive or collision insurance.
Or it may be handled by a warranty or special mechanical breakdown insurance. This is why it is important to always check your insurance policy details and consider your coverage options carefully to understand what is and isn’t covered.
