Does Auto Insurance cover Transmission Failure?

Does Auto Insurance cover Transmission Failure?

Car insurance typically excludes coverage for transmission repair or replacement unless the damage occurred due to a covered event.

To illustrate, your insurance policy’s physical damage components, comprehensive and collision coverage.

May cover transmission repairs if the damage resulted from collisions with animals or guardrails, for instance.

An image illustration of Auto Insurance covering Transmission Failure
Does Auto Insurance cover Transmission Failure
Source: (affordableinsgrp)

When does auto insurance cover transmission repairs?

Here’s how it works:

  1. Comprehensive Coverage: This covers events like theft, vandalism, and weather-related damage, including transmission damage from these events, minus your deductible.
  2. Collision Coverage: It covers transmission repairs resulting from accidents like collisions, minus your deductible.
  3. Uninsured Motorist Coverage: If someone damages your transmission and lacks adequate insurance, this coverage can help.

However, regular wear and tear or poor maintenance are usually not covered by standard auto insurance.

Is transmission failure included in gap insurance coverage?

No, gap insurance is designed to cover the discrepancy between your outstanding loan balance and the actual value of your car in the event of theft or a total loss due to an accident.

An image illustration of Transmission Failure covered by Auto Insurance
Transmission Failure covered by Auto Insurance
Source: (bankrate)


Full coverage” isn’t a distinct category but refers to combined auto insurance elements, including comprehensive, collision, and liability.

If your policy includes these, it can cover transmission damage from accidents or unforeseen incidents.

How to Maintain Your Transmission

While an MBI policy might provide coverage for regular wear and tear, it typically does not encompass instances of user negligence.

Adhering to your vehicle’s recommended maintenance schedule is crucial.

This practice can help you circumvent expensive repairs, especially for critical components like the transmission or engine, which can result in substantial bills.

According to Auto, the cost of transmission repair usually falls within the range of $1,800 to $3,400.

It’s also advisable to ensure that you have sufficient coverage in place to protect your transmission in the event of damage resulting from an accident.

Conventional car insurance policies do not extend coverage to transmission damage unless it arises from an accident.

To safeguard against such non-accident-related issues, you would need additional mechanical insurance.

Before purchasing an insurance policy, it’s essential to confirm that it provides the level of coverage you are comfortable with, including the deductible.

Additionally, exploring alternative insurance options that encompass comprehensive repair coverage is a wise consideration.

Frequently Asked Questions

  • Will insurance address a damaged gearbox?
  • Are gearbox replacements costly?
  • How can I identify issues with my automatic transmission?
  • What is the expense of repairing transmission problems?
  • What are the consequences of gearbox damage?

ALSO READ : Does Auto Insurance cover Road Hazard Damage?


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