Compare mechanical breakdown coverage

Don’t get stranded on the side of the road. Get mechanical breakdown coverage before you need it.

Last updated:

Finder is committed to editorial independence. While we receive compensation when you click links to partners, they do not influence our opinions or reviews. Learn how we make money.

Car insurance protects your vehicle if you have an accident, but if your car breaks down unexpectedly, you could face an expensive repair bill. And while limited and extended warranties can cover the cost of parts and some repairs, there are restrictions and coverage doesn’t always last forever.

For older cars with issues or drivers who want extra peace of mind, mechanical breakdown coverage can help cover the cost of the unexpected.

How does mechanical breakdown coverage work?

This coverage covers the costs of breakdown unrelated to an accident — like the ones that seem to pop up as soon as your warranty runs out. It’s available for new and leased vehicles with low mileage and is often renewable until your car reaches a certain age or number of miles.

Breakdown insurance covers all parts and systems on your vehicle, not just the specific list of items covered by most manufacturer warranties.

Mechanical breakdown coverage works similarly to a standard car insurance policy. You’ll purchase coverage, file a claim, pay a deductible, then either get reimbursed for money you’ve spent on repairs or have the repair paid for directly.

What’s covered?

  • Engine or drivetrain
  • Electrical components
  • Transmission
  • Steering
  • Air conditioning
  • Fuel system
  • Brakes
  • Exhaust

What’s not covered?

  • Issues due to improper maintenance
  • Regular wear and tear
  • Intentional damage
  • Misuse of your vehicle
  • Corrosion
  • Tune-ups and oil changes
  • Suspension alignment
  • Wheel rotations or balancing
  • Filters
  • Coolant, lubrication and fluids
  • Spark plugs
  • Brake pads, shoes and linings
  • Tires

Compare companies that offer mechanical breakdown coverage

Name Product Roadside assistance New car protection Accident forgiveness Safe driver discount Available states
Progressive
Optional
30%
All 50 states
Choose from a long list of discounts and coverage for almost any driver.
Geico
Optional
26%
All 50 states
Customize your policy and get quotes online in minutes. Many drivers could save up to $500 by switching.
The AARP Auto Insurance Program from The Hartford
Optional
Yes
All 50 states & DC
Enjoy exclusive savings and benefits designed for drivers at least 50 years old.
Clearcover
Optional
No
AZ, CA, IL, TX, UT
Find basic coverage and low rates through its easy online or app-based experience.
Metromile
Optional
49%
AZ, CA, IL, NJ, OR, PA, VA, WA
Pay-as-you-go rates based on how much and how well you drive start at $29/month plus pennies per mile.
Allstate
13%
All 50 states
Enjoy having your own dedicated agent to help you get the best discounts and coverage.
Liberty Mutual
Optional
30%
All 50 states
Build a policy online or with local agent support, with features like better car replacement and accident forgiveness.
Motion Auto
Optional
No
AZ
Get instant coverage and track your driving over time to lower your rates.

Compare up to 4 providers

How do I buy mechanical breakdown coverage?

Unlike manufacturer warranties where you pay a lump sum for coverage, you’ll pay a monthly premium for mechanical breakdown coverage.

Some major insurance providers offer mechanical breakdown coverage as an extra on standard insurance policies. Contact your provider and ask for more details on how to add it to your policy.

You can also get mechanical breakdown coverage from third party companies like:

  • American Auto Shield
  • Endurance Warranty
  • Credit unions like Alliant, Navy Federal and First Tech

How do I file a mechanical breakdown insurance claim?

You can file a mechanical breakdown insurance claim the same way you’d file a car insurance claim. Some providers require you to make a phone call, while others may allow you to file online. Once your claim has been filed, your provider will likely contact you with steps on how to proceed.

Get the cheapest quotes

Compare car insurance companies near you.

Your information is secure.

What info do I need when filing a claim?

  • Policy number
  • Make and model of vehicle
  • Details of the incident
  • Contact information
  • Preferred repair shops
  • Diagnosis of issue if you have it — if not, leave it to the repair shop

Getting repairs with mechanical breakdown coverage

If you need to have repairs made to your car, here’s what you’ll need to do:

  • File a claim before having any repairs done to avoid paying out of pocket.
  • Once your claim is approved, your provider will likely tell you which repair shops you can bring your vehicle to.
  • Give the shop your MBI policy details and number and instruct them to call your provider.
  • Get your repair estimate from the repair shop before they fix your vehicle.
  • Your insurer will either pay them for the repairs directly or reimburse you for repair costs.

Mechanical breakdown insurance vs. manufacturer warranty

Mechanical breakdown coverage is similar to a manufacturer warranty but with less coverage restrictions. Many MBI policies require you to pay a deductible, so if you have a valid warranty, you may want to see if it covers the repair first to avoid paying the deductible.

Is mechanical breakdown coverage worth it?

Mechanical breakdown coverage is often most valuable on older vehicles that are more prone to breakdowns, but can be helpful for newer vehicles if you use them to drive long distances.

It’s usually cheaper than an extended manufacturer warranty and is paid for monthly, making it more affordable. Prices vary depending on the provider and the vehicle you drive, but usually costs between $100 and $300 per year.

Case study

Let’s say you drive a 2015 Honda Accord that no longer has a valid manufacturer warranty. You’re out running errands and suddenly your transmission fails, leaving you to foot the bill to replace it. With mechanical breakdown coverage, you’d pay for the deductible and increased premiums for a total of $400. Without MBI coverage, you’ll pay for repairs out of pocket for a total of $5,000.

Premiums for 1 yearDeductibleTransmission parts and laborYour total cost
Without MBI coverage$0$0$5,000$5,000
With MBI coverage$150$250$0$400

Bottom line

If you can’t afford to pay out of pocket for repairs or just want extra protection, mechanical breakdown coverage might be right for you. It covers a wide range of situations that car insurance and manufacturer warranties won’t, so it can help you avoid footing the bill for expensive repairs.

Compare your options to find the mechanical breakdown insurance that suits your needs.

Get the cheapest quotes

Compare car insurance companies near you.

Your information is secure.

Frequently asked questions about mechanical breakdown coverage

Ask an Expert

You are about to post a question on finder.com:

  • Do not enter personal information (eg. surname, phone number, bank details) as your question will be made public
  • finder.com is a financial comparison and information service, not a bank or product provider
  • We cannot provide you with personal advice or recommendations
  • Your answer might already be waiting – check previous questions below to see if yours has already been asked

Finder.com provides guides and information on a range of products and services. Because our content is not financial advice, we suggest talking with a professional before you make any decision.

By submitting your comment or question, you agree to our Privacy and Cookies Policy and Terms of Use.

Questions and responses on finder.com are not provided, paid for or otherwise endorsed by any bank or brand. These banks and brands are not responsible for ensuring that comments are answered or accurate.
Go to site