Mechanical Breakdown Insurance (MBI), also known as auto repair insurance or extended car warranty, is an insurance policy that helps you cover the cost of repairs to your car if it breaks down due to a mechanical or electrical failure. MBI typically covers repairs to the engine, transmission, drive train, fuel system, electrical system, and other major components. It can also cover repairs to things like air conditioning, brakes, and steering.
MBI is not the same as comprehensive auto insurance. Comprehensive auto insurance covers damage to your car caused by things like accidents, theft, and vandalism. MBI covers damage to your car caused by mechanical or electrical failures.
There are different types of MBI policies available, so it's important to compare policies and find one that fits your needs and budget. Some policies have higher deductibles than others, and some policies have more comprehensive coverage than others.
MBI can be a valuable investment for car owners who want to protect themselves from the high cost of car repairs. If you're concerned about the possibility of your car breaking down, you should consider purchasing MBI.
Here are some of the benefits of MBI:
* Peace of mind: Knowing that you're covered if your car breaks down can give you peace of mind.
* Financial protection: MBI can help you avoid the high cost of car repairs.
* Convenience: MBI can make it easy to get your car repaired. Some policies offer 24/7 roadside assistance and towing.
* Choice of repair facilities: MBI policies typically let you choose the repair facility of your choice.
* Transferability: MBI policies can often be transferred to a new car if you sell your old car.
Here are some of the things to consider when purchasing MBI:
* The cost of the policy: MBI policies can range in price from a few hundred dollars to a few thousand dollars per year.
* The deductible: The deductible is the amount you have to pay out of pocket before your insurance coverage kicks in.
* The coverage: Make sure the policy you purchase covers the repairs you're most concerned about.
* The reputation of the insurance company: Do some research on the insurance company before you purchase a policy. Make sure they're a reputable company with a good track record of paying claims.
If you're considering purchasing MBI, it's important to talk to your insurance agent to get more information and to find the best policy for your needs.
