If you’re in an accident or something damages your vehicle, you may be wondering if your insurance will cover repairs. Different policies help cover different types of damage, so it’s important to review your policy details to understand what your insurance company may or may not cover. Learning more about what your insurance will pay for can help you select the coverage, coverage amount, and deductible that work for you and your vehicle. Keep on reading to learn more about the repairs covered by car insurance.
Does Car Insurance Cover Repairs?
In short, car insurance covers certain types of repairs for your vehicle. This involves repairs resulting from insurance claims that your specific policy may cover. Different policies offer different coverage, resulting in other covered repairs for your vehicle. Understanding the different policy types can help better understand what your specific policy may cover in regards to repairs. Other policy types include:
Comprehensive Coverage
Comprehensive coverage is a policy type that helps to replace or repair your vehicle if it’s stolen or damaged. This type of coverage covers damage resulting from non-collision events. If you have a loan or lease a vehicle, this type of coverage is mandatory.
Collision Coverage
This type of coverage helps you repair or replace your vehicle if it’s damaged from a collision. Collision coverage includes damage from colliding with other cars, objects, potholes, or even single-car rollover accidents. Similar to comprehensive coverage, this policy is mandatory if you lease or finance your vehicle.
Mechanical Breakdown Insurance
Mechanical breakdown insurance, or MBI, helps pay to repair the mechanical failure of your vehicle. This can help you cover items that your vehicle’s warranty might not cover. However, some companies may not offer mechanical breakdown insurance for vehicle owners with older cars and can increase your premium rates if you add this to your policy.
Will My Insurance Cover Accident-Related Repairs?
If you file an insurance claim on your vehicle, the insurance company will most likely pay for the repairs resulting from the accident. They won’t pay for repairs if they deem your vehicle a total loss; instead, your insurance company will pay you the fair market value of your car. Some accident-related repairs that your insurance company may cover include:
- Automobile collision
- Other motor vehicle collision
- Post or tree collision
- Fence or other permanent object collision
- Single-car rollover
What Non-Accident Repairs Can My Insurance Cover?
Your insurance policy may also cover a variety of non-accident repairs. Similar to accident repairs, if the insurance company deems your vehicle a total loss, you may receive compensation for a new vehicle equal to the assessed value of your previous car. Some non-accident repairs that your insurance policy can help you cover include:
- Pothole damage
- Theft or vandalism
- Falling object
- Natural disaster damage
- Fire or water damage
- Animal damage
What Mechanical Repairs Does MBI Cover?
MBI can help you cover additional repair needs for your vehicle. Some companies offer this coverage for up to seven years or 100,000 miles, which can help you cover maintenance expenses as your manufacturer warranties expire. Some components that this type of insurance covers include:
- Drivetrain
- Engine
- Transmission
- Brakes
- Exhaust
- Power system
- Steering system
- Air conditioning
- Fuel system
It’s important that if you elect to add this insurance policy to your overall plan, research what warranties you already have on your vehicle. Vehicle warranties often cover many of the same items as MBI policies, which means that insurance may not pay for these repairs if your warranty also helps pay for them. Some limitations of this type of insurance are that it doesn’t cover normal wear and tear, and repairs are often completed at auto shops the insurance company chooses versus selecting the shop for your vehicle’s repairs.
Do I Need to Pay a Deductible to Get My Repair Covered by My Insurance?
Each policy type often requires you to pay a deductible before the insurance company covers the rest of the expenses. These deductibles can vary between insurance companies and policy types and are usually outlined in your policy details. The average car insurance deductible amounts are $250, $500, $1,000, and $2,000.
You may be able to choose your deductible amounts for your different policies that work for your vehicle and your budget. For example, you may have a $250 collision insurance deductible and a $500 comprehensive insurance deductible. So if you have a collision, you will have to pay $250 before your insurance company covers collision-related expenses.
What Are Some Other Ways I Can Cover Car Repairs?
You may cover some of your repair expenses under your vehicle’s warranty if you have a newer vehicle. Some used cars may also have a remaining warranty that you can use to cover maintenance expenses. Certain dealerships also offer the option to purchase an extended warranty for your new or used vehicle. However, like MBI, car warranties often don’t cover normal wear and tear or abnormal use of your vehicle.
Typical car warranties last for at least three years or 36,000 miles, with certain systems in your vehicle having other timelines or mileage constraints. There are several types of car warranties that cover different systems in your car. Some common warranty types include:
- Comprehensive warranty
- Powertrain warranty
- Restraint systems warranty
- Corrosion warranty
- Emissions warranty
- Hybrid component warranty
- Electric vehicle (EV) component warranty
- Extended warranty
You can also opt for roadside assistance to help you cover basic maintenance needs, such as a flat tire or a jump start. Roadside assistance can be less expensive than paying for a tow truck to pick up your vehicle and take it to a shop.
Understanding what repairs your insurance policy may cover can help you select the coverage that is best for you. Comparing rates and policy details from multiple insurance companies can help you find the coverage you want at the price that works for your budget.
At FIXD, our mission is to make car ownership as simple, easy, and affordable as possible. Our research team utilizes the latest automotive data and insights to create tools and resources that help drivers get peace of mind and save money over the life of their car.
