Personal Insurance Coverage
Unheard of Ways to Save Money with Car Insurance
TLTR: This article explains the importance of car repair insurance for unexpected auto emergencies and its potential for saving you a ton of money.
The sudden need for car repairs can put you in a serious financial pinch. And your standard car insurance policy might not cover repair costs that are not related to accidents or third-party damage.
Even if your car insurance policy is comprehensive, it will not cover fixing parts that degrade over time. Warranties will sometimes cover such repair costs, but they’re limited.
Having insurance specifically geared to fixing cars is definitely helpful. What if your engine has a major issue or your vehicle’s computer system stops working? Car repair insurance can have your automobile fully covered.
What is Car Repair Insurance?
Car repair insurance is also known as mechanical breakdown coverage. It covers your vehicle in the event that any of its major components fail. Keep in mind, as comprehensive as it can be, this insurance isn’t available on every policy and does not cover literally everything. It can also overlap somewhat with your existing coverage.
According to the American Automobile Association (AAA), one in three American drivers is unable to pay for unforeseen car repairs without going into debt. This further emphasizes the importance of getting this policy.
Note that only new vehicles can get this insurance. Older classic cars or plain old junkers aren’t eligible. It’s best to get classic car insurance for older vehicles.
Coverages It Includes?
Typical car repair insurance has a deductible in the range of $100 to $300. You have to pay this cost before your insurance kicks in.
The coverage that this insurance policy provides can vary depending on which insurer you choose. But a general policy includes:
- Engine
- Steering
- Fuel Systems
- Transmissions
- Exhaust System
- Cooling System
- On-board electronics
- Air conditioning
This policy is best used to pay for relatively big repair jobs.


What Does Car Repair Insurance Fail to Cover?
The list of damages not covered by car repair coverage will also differ from insurer to insurer, but in general it doesn’t cover:
- Accident and collision damage
- Routine vehicle maintenance such as tire changes, oil changes
- Rust or corrosion damage
- Cosmetic wear and tear
- Daily wear and tear
- Improper maintenance
Is It Worth the Cost?
As per Agero, there are 69 million vehicle breakdowns in the U.S. each year. This results in hefty repair bills. If you can’t see yourself paying for sudden, expensive repairs out of your own pocket, you need this policy.
Let’s say you’re out driving and hit another car on the road. If you have proper auto insurance then it would help pay for the repairs. But if your engine conks out while driving, your regular auto insurance claim would not cover the repair cost. Car repair insurance is a lifesaver in these situations.
Are you wondering what kind of car repair coverage you need? Find the best coverage provided by a top-notch insurance carrier.
Did you find this blog helpful? Let us know what you think in the comments below.



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