Mechanical Breakdown Insurance: Coverage for Car Repairs
What is Mechanical Breakdown Insurance?
Mechanical breakdown or car repair insurance is a way of adding an extra layer of protection to your auto insurance policy. Similar to a car warranty, this type of insurance covers costs from repairs if your vehicle breaks down, needs replacement parts, or suffers other types of mechanical problems. Having a mechanical breakdown insurance policy could mean you pay less out-of-pocket for unexpected car repairs.
Mechanical Breakdown Insurance from GEICO also means you get the great service and insurance specialist that you already know and trust, on top of affordable coverage. These extra benefits could make mechanical breakdown insurance a better deal than your typical car warranty.
How does Mechanical Breakdown Insurance work?
Mechanical breakdown or car repair insurance is available for new or leased cars that are less than 15 months old and with less than 15,000 miles. The customer must also be the first owner of the vehicle.
Once you've purchased MBI, you can renew it for up to seven years or 100,000 miles (whichever comes first). After a $250 deductible on a covered loss, car repairs to most original mechanical parts of the car (except for maintenance and wear and tear*) are covered. Interested? Call us at (800) 861-8380 to learn more.
What does mechanical breakdown insurance cover?
Mechanical breakdown insurance offers coverage for breakdown-related auto repairs when your manufacturer's warranty expires or fails to cover mechanical failures. After paying your deductible, the mechanical breakdown insurance will directly cover the remaining cost of your covered repairs with your service provider. This insurance is available for various vehicles, including cars, trucks, and SUVs.
What is not covered under mechanical breakdown insurance?
Mechanical breakdown insurance doesn’t provide coverage for your vehicle’s routine maintenance expenses, such as oil changes, tire rotations, or brake pad replacements. Additionally, wear and tear on parts, such as belts, hoses, and brakes, are generally excluded from coverage.
This insurance also does not provide coverage for towing or damage resulting from accidents, collisions, or environmental factors. You can add Emergency Roadside Service to your GEICO insurance policy for additional peace of mind.
Mechanical Breakdown Insurance VS. Extended Warranty: It's No Contest
Why not just get an extended warranty, you wonder? You could—if you want to pay more for less protection. GEICO's Mechanical Breakdown Insurance (MBI) provides better coverage at a cheaper price than the typical dealer extended warranty. GEICO's MBI coverage:- Includes most parts and systems, not just the reduced list of items covered by most dealer warranties.
- Saves you money, charging only a small premium per each policy period, instead of a large lump-sum payment up front.
- Lets you get your car repaired wherever you like.
Mechanical breakdown insurance is often more comprehensive than a vehicle’s extended warranty. An extended warranty typically only covers repairs that occur when there are defective materials or improper manufacturing, while this coverage includes mechanical issues more broadly. Additionally – extended warranties only last for so long. With GEICO’s Mechanical Breakdown Insurance, you can maintain coverage for 7 years or 100K miles. Extended warranties also have a high up-front cost, while MBI allows for you to pay as you go.
We're here for you 24 hours a day, 7 days a week. The quickest way to contact us is through our app or online. You can also chat for immediate help.
Frequently Asked Questions About Mechanical Breakdown Insurance
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Is it difficult to submit an MBI claim?
No. Just call toll free at (800) 443-7411 during the following hours for assistance with the MBI claims department.
Phone Hours
Monday – Friday 7:30 am – 9:00 pm (ET) Saturday – Sunday Closed IMPORTANT NOTE: In most states, for coverage to be applicable, you must obtain authorization prior to any repair work being done. See policy for details.
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Can I take my car to a repair shop of my choice?
Yes, you may use the licensed repair shop of your choice, unless the repair is covered by a recall, voluntary repair program or the manufacturer's warranty. In those cases, you would need to take your vehicle back to a dealer who services the specific make and model.
Dealer extended service contracts usually encourage you to have repairs made at the dealership where the vehicle was purchased. This could force you to return to a repair shop you don't care to use. GEICO MBI allows you to use any licensed repair shop. This could be especially important if you travel or move—MBI travels with you!
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What happens if I break down while traveling?
If you ever have a breakdown, accident, or need assistance in any of the 50 states or the District of Columbia and you have emergency roadside assistance with GEICO, you're covered. We are only a phone call or few clicks in the GEICO mobile app away, 24 hours a day.
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How do I pay for MBI?
You pay for MBI as a coverage on your auto policy. There are no separate payments to make. We offer you the choice of several plans for paying your auto insurance premium. You may pay in full or select an installment plan—whatever fits your budget.
Dealers usually add the cost of their extended service contracts to the amount you pay for your new car up front, or they add it into the amount you finance.
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How can I learn more about GEICO's MBI coverage?
Call us at (800) 861-8380. Our insurance representatives are ready to answer your questions and to give you a quote.
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Does Mechanical Breakdown Insurance cover parts and labor?
Yes, parts and labor for covered losses are included in mechanical breakdown insurance. Non-covered repairs can be done at the same time, but you'll be responsible for paying those costs out of pocket.
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How does the deductible work when I need my vehicle repaired?
The deductible is the amount you're responsible for paying before your insurance coverage kicks in. For example, if your deductible is $250 and the repair cost for your vehicle is $2000, you pay $250, and the insurance covers the remaining $1750.
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What if I want to get a new part instead of repairing the old one?
If the repair shop can fix the part at a lower cost but you opt for a new one, your insurance will cover the cost of the new part up to the estimated repair cost of the old one. However, you'll be responsible for paying any expenses that exceed the repair estimate.
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Is there a required vehicle inspection before my plan activates?
No inspection is required for your mechanical breakdown insurance to go into effect. It's important to keep in mind, however, that preexisting issues are not eligible for coverage.
Learn More
Vehicle Safety/Recall Information
Car Buying & Financing Resources
*MBI Exclusions
Exclusions to this policy include regular maintenance services such as tune-ups, suspension alignment, wheel balancing, filters, lubrication, coolant and fluids, spark plugs, brake pads and linings, brake shoes, and tires. Also, breakdown repairs made necessary by intentional damage, corrosion, misuse, or improper maintenance are not covered. Mechanical Breakdown Insurance coverage is in excess of coverage provided by your manufacturer's warranty. Read the policy amendment for the complete terms and conditions of this coverage.
The above is meant as general information and as general policy descriptions to help you understand the different types of coverages. These descriptions do not refer to any specific contract of insurance and they do not modify any definitions, exclusions, or any other provision expressly stated in any contracts of insurance. We encourage you to speak to your insurance representative and to read your policy contract to fully understand your coverages.