Does Car Insurance Cover Engine Replacement?

The answer to the question of whether or not car insurance covers engine replacement is not a simple yes or no. It depends on a number of factors, including the type of insurance policy you have, the cause of the engine damage, and your deductible.

Types of Insurance Policies

There are two main types of car insurance policies: comprehensive and collision. Comprehensive coverage pays for damage to your car caused by events other than a collision, such as theft, vandalism, or natural disasters. Collision coverage pays for damage to your car caused by a collision with another vehicle or object.

If you have comprehensive coverage, your insurance policy will likely cover engine replacement if the damage is caused by a covered event. For example, if your engine is damaged in a fire, theft, or flood, your insurance policy should cover the cost of replacing it.

If you only have collision coverage, your insurance policy will only cover engine replacement if the damage is caused by a collision. For example, if your engine is damaged in a car accident, your insurance policy should cover the cost of replacing it.

Cause of the Engine Damage

The cause of the engine damage will also affect whether or not your insurance policy covers engine replacement. If the engine damage is caused by a covered event, such as a fire, theft, or flood, your insurance policy should cover the cost of replacing it.

However, if the engine damage is caused by a non-covered event, such as wear and tear or lack of maintenance, your insurance policy will not cover the cost of replacing it.

Deductible

Your deductible is the amount of money that you have to pay out of pocket before your insurance policy starts to pay for covered damages. The amount of your deductible will affect how much you have to pay for engine replacement.

For example, if you have a $500 deductible and your engine needs to be replaced, you will have to pay $500 out of pocket before your insurance policy starts to pay for the rest of the cost.

Conclusion

Whether or not car insurance covers engine replacement depends on a number of factors, including the type of insurance policy you have, the cause of the engine damage, and your deductible. If you are unsure whether or not your insurance policy covers engine replacement, you should contact your insurance company for more information.