Does Car Insurance Cover Transmission Damage?

Does Car Insurance Cover Transmission Damage?

Auto insurance companies decide what damage to cover based on the cause of the damage instead of the type of damage that has happened. An insurance company might pay to repair or replace any damaged part of a car following a covered accident or other covered loss, including damage to the vehicle’s mechanical parts. Whenever you purchase insurance, you can choose the types of coverage that you wish to include in your policy. Each type of coverage will cover a different type of loss. You need to know what the various types of coverage pay for so that you make good decisions when you purchase coverage and choose your deductible. Here is some information about auto insurance coverage and transmission repair from Elmer’s Auto Body.

When claims will be handled

When you make a claim to your insurance company, the insurance company representative will compare what caused your loss with your various types of coverage. If the cause of your loss is not one of the covered types of perils in your policy, your company will not cover the repairs and will deny your claim.

Collision and comprehensive are the primary types of insurance coverage that you can use to repair your vehicle. Collision insurance pays for damage that occurs when your vehicle is damaged in a collision with another vehicle or object. Comprehensive coverage covers all other types of covered perils from vandalism, animals, and the weather.

Damage that results from deterioration, mechanical failure, or other non-accidental causes will not be covered by your auto insurance policy. To be covered, the damage to your vehicle must be sudden and accident-related or caused by other people, animals, or storms.

When you file a claim with your insurance company, an insurance adjuster will be sent to inspect your vehicle. The adjuster will determine whether the damages were caused by your reported type of loss and how much the repairs will cost. If the facts of your reported loss match the type of damage to your vehicle, your insurance company will settle your claim and allow the repairs to start.

Will an insurance policy pay for transmission damage?

Your vehicle’s transmission is among the most expensive components to replace. If you are experiencing transmission problems, the repairs will only be covered by your insurance if your transmission’s damage was caused by a covered peril. There are several ways in which your transmission’s damage could be covered, including the following:

  • Transmission damage caused by flooding
  • Transmission damage caused by vandalism or tampering
  • Transmission damage caused by a front-end collision
  • Transmission damage in a rear-end accident while it was parked, causing the transmission to be forced to move while in park

Severe accidents of other types can cause damage to your transmission. In these types of cases, your insurance company will likely pay to repair or replace it. If your vehicle has not been in an accident and has no other signs that it has been damaged, the transmission’s failure probably resulted from something else. Repairs to transmissions that fail without a clear reason will be unlikely to be covered by your insurance policy. You should ask your mechanic to explain how the damage happened so you can file a claim if it appears that the failure might have been caused by vandalism or something unrelated to mechanical problems.

What will happen if my transmission has to be replaced?

If the damage to your transmission was caused by a covered peril, the insurance adjuster will work with your mechanic to determine whether the transmission can be repaired or if it will need to be replaced. Depending on how extensive the damage is, the claim could quickly become expensive.

Replacing a transmission is costly. If you have an older vehicle, the cost to replace the transmission may be higher than your vehicle’s value. If this occurs, your insurance company would declare your vehicle to be a total loss. The insurance company would then pay you the actual cash value of your car instead of paying for the repairs.

When your vehicle is declared to be a total loss, the insurance company will sell it for scrap. If you want, you will be allowed to keep your car for a small fraction of its value with a salvage title. If you choose to let the insurance company take it, you will receive the full settlement amount minus your deductible.

If your transmission’s damage was not caused by a covered peril, it may still be more expensive for you to repair it than to buy a new car. If this happens, you will need to figure out whether to pay for transmission repairs or to sell your vehicle and purchase a new one.

Sudden mechanical failures can be very inconvenient and expensive. This makes it important for you to follow your vehicle’s maintenance schedule. When your vehicle starts to age and has problems, you should trade it in for a newer vehicle. It is also a good idea for you to save money in an account for emergencies so that you will be prepared for an unexpected mechanical failure that occurs.

Contact Elmer’s Auto Body

Elmer’s Auto Body has been helping people in South Jersey with their auto repair needs for more than 70 years. If your vehicle has been damaged in an accident or by the weather, we can work with your insurance adjuster to help you determine whether your vehicle is repairable or if it needs to be replaced. Contact us to learn about the services that we offer by filling out our online contact form. You can also reach us by telephone by calling us at one of our three convenient New Jersey locations.