Unexpected Situations Your Car Insurance Won’t Cover
Car insurance helps us feel a little bit safer on the road. While you can’t prevent accidents from happening, you can be a safe driver and protect your vehicle while making both short and long-distance journeys. Knowing what your car insurance policy covers can help you better plan for your future. Prepare for the worst, but expect the best! But what about things your car insurance won’t cover? Your coverage could be lacking in more ways than you might think!
What is Excluded for Car Insurance?
1. General Wear and Tear
Keeping up with regularly scheduled maintenance is important to prolong the life of your vehicle and make sure it’s in the best condition possible. You may want to use it as collateral for a loan in the future or trade it in for a new vehicle. Following the maintenance guide to a T (oil changes, tire rotations, etc.) can help you retain some of your car’s value over the years. However, your car insurance won’t help you financially in this department.
2. Stolen Personal Items
If you left your car door unlocked and your favorite purse or computer has been whisked away, you are not getting it back on your provider’s dime. But, renters insurance may be able to cover stolen personal items! Some renters insurance policies cover clothes, laptops, and even rare vintage items.
3. Mechanical Breakdowns and Repairs
Your car breaking down or needing significant repairs can be your worst nightmare as a car owner. Even with regular maintenance, it can happen out of the blue. It’s a smart idea to build a significant emergency fund to plan for situations like these, because your car insurance may not be able to cover them. The average cost to repair an engine is anywhere from $2,000-$10,000! You may be able to get mechanical breakdown insurance coverage (MBI), but that often requires purchasing it as an add-on or through a third party. MBI typically doesn’t cover towing, but it may be able to cover engine repairs or related repair issues.
4. Intentional Damage
If a driver damages their vehicle intentionally, their insurance provider will deny them access to compensation to replace or repair the vehicle.
5. International Driving
Let’s say that you have car insurance as a U.S. resident and you’re planning on traveling to Canada or Mexico via car. While there are exceptions, most policies typically don’t extend to international borders. Make sure to check your coverage in advance before you plan an extensive road trip!
6. GPS or Stereo Equipment
Just like your purse or computer, if your GPS system or stereo is damaged or stolen, you are out of luck. Be a responsible and safe driver – make sure to lock your doors when parking on the street at night!
Will Insurance Cover a Blown Engine?
It depends. Your car insurance may cover a blown engine if you have comprehensive car insurance and your vehicle was involved in a natural disaster, such as a fire or flood. Similarly, if you have MBI coverage, you can get the repairs covered if it’s included in your specific policy.
However, if you were intentionally damaging your engine due to drag racing or other related activities, know that your insurance provider will typically deny your claim. Negligence is another reason why an insurance provider will deny a claim for a blown engine. If you used the wrong fuel type or deliberately ignored your check engine light, you may not be able to get your claim approved.
Get to Know Your Policy
Getting a better look at your auto insurance policy is generally the easiest way to learn more about your personal coverage from your policyholder. However, here’s what car insurance policies WILL typically cover:
| Policy Type | Covers |
| Liability (Bodily Injury) | Medical bills for injured parties. Lost wages of injured parties. Legal fees if you’re sued. Pain and suffering claims. |
| Liability (Property Damage) | Repair or replacement of damaged property (e.g., vehicles, buildings, fences). |
| Comprehensive | Theft or attempted theft. Vandalism. Natural disasters (e.g., floods, hurricanes). Fire damage. Falling objects (e.g., tree branches). Animal collisions (e.g., hitting a deer). Broken windows or windshield damage (in some cases). |
| Uninsured Motorist Coverage (Property Damage) | Repairs to your vehicle if hit by an uninsured driver. |
| Uninsured Motorist Coverage (Bodily Injury) | Medical expenses for you and your passengers. Lost wages due to injuries. Pain and suffering compensation. Funeral expenses in the event of a fatal accident. |
| Collision | Damage from collisions with other vehicles. Damage from hitting stationary objects (e.g., trees, poles). Rollover accidents. |
What to Do When Your Car Insurance Won’t Cover Something
If your car insurance won’t cover a claim or specific issue, start by reviewing your policy ASAP. Try to speak with your insurer to understand the reason for the denial. If your coverage is lacking, consider your alternatives. That could be using your savings, setting up a repair payment plan with a mechanic, or exploring loan options to cover unexpected expenses. Max Cash can help you get connected to financial assistance through auto title loans and personal loans. You could quickly secure funds to get your car back on the road! Additionally, to avoid issues in the future, make sure to adjust your policy as needed! You should also prioritize regularly maintaining your vehicle or adding coverage for specific risks like collision or comprehensive insurance.
