Repair Insurance For Cars

Owning a car is a significant investment, and with that investment comes the responsibility of ensuring it stays in excellent condition. The cost of repairs can be a major concern for car owners, especially when unexpected breakdowns occur. This is where repair insurance for cars comes into play. In this article, we will explore what repair insurance is, why it’s essential, and how to choose the right coverage for your vehicle. 

What is Repair Insurance for Cars?

Repair insurance for cars, also known as mechanical breakdown insurance or extended warranty, is a policy designed to protect car owners from the costs associated with unexpected repairs. This type of insurance provides coverage for various mechanical and electrical components of your vehicle in the event of a breakdown.


Related Reading: Used Car Warranties For Older Vehicles


Types of Repair Insurance

There are two main types of repair insurance for cars:

Mechanical Breakdown Insurance

Mechanical breakdown insurance (MBI) is an insurance policy that covers the cost of specific repairs due to mechanical or electrical failures not caused by accidents or normal wear and tear. MBI is typically offered by insurance companies as an add-on to your existing auto insurance policy.

Extended Warranty

An extended warranty is a service contract that provides coverage for repairs and maintenance after the manufacturer’s warranty expires. Extended warranties are usually offered by car dealerships, third-party providers, or manufacturers themselves.

Why Consider Repair Insurance for Your Car?

There are several reasons why repair insurance can be a smart choice for car owners:

Cost Savings

Repair insurance can potentially save you thousands of dollars in repair costs. Major repairs, like engine or transmission replacements, can be incredibly expensive. With repair insurance, you’ll have peace of mind knowing that you’re protected from these unexpected expenses.

Peace of Mind

Having repair insurance means you won’t have to worry about how to pay for unexpected repairs. It provides a sense of security, knowing that you’re covered when unforeseen issues arise.

Enhancing Resale Value

A car with repair insurance coverage may have a higher resale value because potential buyers can be assured that the vehicle has been well-maintained and is protected against future issues.


Related Reading: Repair Insurance For Cars


How to Choose the Right Repair Insurance for Your Car

Selecting the right repair insurance for your vehicle can be a daunting task. Here are some tips to help you make an informed decision:

Compare Coverage Options

Not all repair insurance policies are created equal. Some provide comprehensive coverage, while others only cover specific components. Make sure to compare different plans and choose the one that best suits your needs and budget.

Evaluate the Insurance Provider

Before purchasing repair insurance, research the insurance provider or warranty company. Check their reputation, customer reviews, and financial stability. A well-established company with a solid track record is more likely to provide reliable coverage and responsive customer service.

Assess the Cost

The cost of repair insurance can vary significantly based on factors like the make and model of your car, its age, and the level of coverage you choose. Compare the premiums and deductibles of different plans to ensure you’re getting the best value for your money.

When is Repair Insurance for Cars Not Necessary?

While repair insurance can be beneficial for many car owners, it may not be necessary in some cases. If your car is still covered by the manufacturer’s warranty, you may not need additional coverage. Additionally, if you have an older car or one with high mileage, the cost of repair insurance may outweigh the potential benefits.

Additional Considerations When Purchasing Repair Insurance

As you evaluate your options for repair insurance, keep the following points in mind:

Understand the Claims Process

Before purchasing a policy, familiarise yourself with the claims process. Some insurance providers may require pre-authorisation for repairs, while others may have a list of approved repair facilities you must use. Understanding these requirements ahead of time will ensure a smoother experience if you need to file a claim.

Look for Transferable Policies

If you plan to sell your car in the future, look for repair insurance policies that are transferable to the new owner. A transferable policy can increase your vehicle’s resale value and make it more attractive to potential buyers.

Beware of Overlapping Coverage

If your car is still under the manufacturer’s warranty, make sure the repair insurance you’re considering doesn’t overlap with the existing coverage. Overlapping coverage can result in unnecessary expenses and might not provide additional benefits.

Know the Exclusions and Limitations

Repair insurance policies often come with exclusions and limitations. For example, routine maintenance, wear and tear items, and damage resulting from accidents or neglect may not be covered. Be sure to read the policy terms carefully to avoid any surprises down the road.

Consider the Duration of Coverage

Finally, consider the duration of coverage provided by the repair insurance policy. Some policies offer coverage for a set number of years or miles, while others may be renewable on an annual basis. Choose a policy that aligns with your expected ownership period and usage habits.

By keeping these additional considerations in mind, you can make a more informed decision when selecting the right repair insurance for your car. Remember to always compare your options, understand the coverage details, and weigh the costs against the potential benefits.


Related Reading: Why Click4Warranty: The UK’s No.1 Extended Car Warranty Cover



Repair insurance for cars can be a valuable investment for many car owners. It provides cost savings, peace of mind, and can enhance the resale value of your vehicle. However, it’s essential to carefully consider your individual needs and circumstances before purchasing a policy. By comparing coverage options, evaluating insurance providers, and assessing costs, you can make an informed decision and choose the right repair insurance for your car.

Frequently Asked Questions (FAQs)

Q. What is the difference between repair insurance and regular car insurance?

Regular car insurance covers damages resulting from accidents, theft, or natural disasters, while repair insurance focuses on mechanical and electrical breakdowns not caused by accidents or normal wear and tear.

Q. Can I purchase repair insurance for my used car?

Yes, repair insurance is available for both new and used cars. However, the cost and coverage options may vary depending on the age and condition of your vehicle.

Q. Are all repairs covered by repair insurance?

No, not all repairs are covered by repair insurance. Policies typically cover specific mechanical and electrical components, so it’s essential to read the fine print and understand what is and isn’t included in your plan.

Q. Can I cancel my repair insurance policy if I no longer need it?

Yes, you can generally cancel your repair insurance policy. The cancellation process and any applicable fees will vary depending on your insurance provider and policy terms.

Q. How do I file a claim with my repair insurance provider?

To file a claim, you’ll need to contact your insurance provider or warranty company and provide details about the issue. They will guide you through the process, which may involve taking your car to an approved repair facility for evaluation and repairs.


Related Reading: Taking Out An Extended Car Warranty For Older Cars


What are your options for extended UK car warranty cover?

We don’t want to complicate this, so we’ve kept it nice and simple. Here’s three great options for mechanical breakdown or electrical failure car warranty cover, that’ll give you all you need, including cover for wear & tear.

3-Star Car Warranty

Select this option if you want affordable cover for a long list of covered components. Gives you up to £7,000 claim limit towards the cost of parts, labour and VAT for the mechanical breakdown or electrical failure of covered parts.

4-Star Car Warranty

Select this option to cover a wide range of components on your vehicle, and get up to £7,000 claim limit towards the cost of parts, labour and VAT in the event of mechanical breakdown or electrical failure, or imminent failure identified during an MOT or service.

5-Star Car Warranty

Looking for comprehensive warranty protection? Our 5-Star warranty covers an extensive range of parts and offers up to £7,000 claim limit towards the cost of parts, labour and VAT for the mechanical breakdown or electrical failure of covered parts on your vehicle.