Financially.site – Mechanical breakdown insurance (MBI) is a specialized form of coverage designed to protect against the costs associated with unexpected mechanical failures in vehicles and other equipment.
While commonly associated with automobiles, mechanical breakdown insurance can also apply to other types of machinery and appliances.
This insurance offers financial protection and peace of mind for vehicle owners and businesses alike.
In this comprehensive guide, we will explore the key aspects of mechanical breakdown insurance, including its benefits, coverage options, factors affecting premiums, and how to choose the right policy for your needs.
What is Mechanical Breakdown Insurance?
Mechanical breakdown insurance, also known as MBI, is a type of insurance coverage that pays for repairs or replacement of vehicle parts or systems that fail due to mechanical or electrical issues.
This insurance is similar to a warranty and is often purchased as an add-on to a standard auto insurance policy.
While it is primarily used for cars, trucks, and other vehicles, mechanical breakdown insurance can also apply to other types of equipment, such as home appliances.
