Does Auto Insurance Cover Engine Failure?
Standard auto insurance policies typically do not cover engine failure or mechanical breakdowns.
Engine failure is not covered by standard auto insurance policies unless the failure is due to an accident or covered peril. If it is simply a mechanical breakdown, the vehicle owner is responsible for the cost of repairs.
If the damage is caused by an accident or covered peril, such as a hailstorm, theft, or tree falling on your vehicle, and your policy includes comprehensive and collision coverage, you may be able to submit a claim.
Note: If your engine was having issues before the accident, making a claim after the accident may constitute auto insurance fraud.
What if my engine blows and I still owe money on the vehicle?
The vehicle owner is responsible for all payments until the vehicle is paid off. You may consider replacing the engine, since it may be cheaper than buying a new vehicle.
If your vehicle was recently purchased, review your manufacturer’s warranty to determine if it still provides coverage.
Will my insurance cover towing if my engine fails?
Most insurance policies do not cover the cost of towing your vehicle for mechanical breakdown. Insurers may offer roadside assistance as an optional coverage, which may include:
- Emergency towing
- Lockout service
- Jumpstarts
- Flat tire changes
- Delivery of gasoline