GEICO mechanical breakdown insurance

[rickinAZ]

This inexpensive alternative to extended warranties intrigues me. I am usually death on any sort of purchased warranty, but this is so darn cheap - well under $100/year. In speaking to them, this is bumper-to-bumper with exclusions for accident damage, rust, etc.. (the usual exclusions).

Does anyone have real world experience with claims? This is not much more expensive than windshield replacement insurance.

It has to be bought before 15 months or 15,000 miles, Has a max duration of 7 years, and has a $250 deductible.

Thoughts? https://www.geico.com/auto-insurance/mechanical-breakdown-insurance/

p.s. The only catch appears to be that you don't have access to the fine print declaimers until after you sign up, but if you see something you don't like, you can cancel anytime.

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[entropy]

This inexpensive alternative to extended warranties intrigues me. I am usually death on any sort of purchased warranty, but this is so darn cheap - well under $100/year. In speaking to them, this is bumper-to-bumper with exclusions for accident damage, rust, etc.. (the usual exclusions).

Does anyone have real world experience with claims? This is not much more expensive than windshield replacement insurance.

It has to be bought before 15 months or 15,000 miles, Has a max duration of 7 years, and has a $250 deductible.

Thoughts? https://www.geico.com/auto-insurance/mechanical-breakdown-insurance/

p.s. The only catch appears to be that you don't have access to the fine print declaimers until after you sign up, but if you see something you don't like, you can cancel anytime.

This is interesting. I wonder how it works if you modify your Jeep though.

 

[TBULL52]

This inexpensive alternative to extended warranties intrigues me. I am usually death on any sort of purchased warranty, but this is so darn cheap - well under $100/year. In speaking to them, this is bumper-to-bumper with exclusions for accident damage, rust, etc.. (the usual exclusions).

Does anyone have real world experience with claims? This is not much more expensive than windshield replacement insurance.

It has to be bought before 15 months or 15,000 miles, Has a max duration of 7 years, and has a $250 deductible.

Thoughts? https://www.geico.com/auto-insurance/mechanical-breakdown-insurance/

p.s. The only catch appears to be that you don't have access to the fine print declaimers until after you sign up, but if you see something you don't like, you can cancel anytime.

I purchased this when I changed insurance to Geico because for the price and my Jeep fell within the 15 month 15,000 mile parameters so I figured it was worth it even if it wasn't everything that I hoped for. To date I have not needed to use it so I can't provide you any more info than you already have, although I did give the fine print a bit of a read over and I didn't see anything too concerning that would make me want to cancel it.

 

[Tacoman03]

We did the same!

I purchased this when I changed insurance to Geico because for the price and my Jeep fell within the 15 month 15,000 mile parameters so I figured it was worth it even if it wasn't everything that I hoped for. To date I have not needed to use it so I can't provide you any more info than you already have, although I did give the fine print a bit of a read over and I didn't see anything too concerning that would make me want to cancel it.

 

[rickinAZ]

Interestingly, I've mentioned this GEICO product in FCA extended warranty threads. It's been completely ignored as members continue to debate how they can negotiate their FCA extended warranties down to merely a gazillion dollars (upfront). [Okay maybe they're only several thousand dollars].

If you are looking for peace of mind, this may work.

FULL DISCLAIMER: I am a Berkshire Hathaway shareholder, so I may be slightly bias.

 

[jludave]

Thoughts?

I have GEICO for auto, home and other insurance. I did not purchase GEICO's MBI. I recently purchased a new 2020 JLU with an extended warranty and zero deductible. Yes, this is much cheaper at $100 annually, but there is a $250 deductible "on a covered loss". This typically means you have to pay for the repair (your loss) and then get reimbursed minus the deductible. This is a claim service/insurance, not a true extended warranty. With my extended warranty, I pay 0 and can also choose any mechanic I want (made sure that was in the contract). I'm also leery as to whether it actually provides the same type of coverage.

EDIT - It also looks like you must 1st get authorization to do any type of covered repair. So you wait for authorization, pay for the repair, submit a claim and then get reimbursed.

"In most states, for coverage to be applicable, you must obtain authorization prior to any repair work being done."

 

[Will_Jeep]

I'm curious, is this insurance, or an extended warranty of sorts?
If it's insurance, will they count it as a claim against you if you use it?
- In the past I have looked into breakdown/recovery provided by an insurance company, I in the end I decided not to, as some companies count this as a claim against your main policy (https://clark.com/insurance/when-not-to-contact-your-insuran/)

I have no idea with this Geico offering, but wonder if it works in a similar way or not?

 

[rickinAZ]

I have GEICO for auto, home and other insurance. I did not purchase GEICO's MBI. I recently purchased a new 2020 JLU with an extended warranty and zero deductible. Yes, this is much cheaper at $100 annually, but there is a $250 deductible "on a covered loss". This typically means you have to pay for the repair (your loss) and then get reimbursed minus the deductible. This is a claim service/insurance, not a true extended warranty. With my extended warranty, I pay 0 and can also choose any mechanic I want (made sure that was in the contract). I'm also leery as to whether it actually provides the same type of coverage.

EDIT - It also looks like you must 1st get authorization to do any type of covered repair. So you wait for authorization, pay for the repair, submit a claim and then get reimbursed.

"In most states, for coverage to be applicable, you must obtain authorization prior to any repair work being done."

I'm curious, were you fully aware of the GEICO MBI before you pulled the trigger on the extended warranty? Seems like the pros (inexpensive, financially-strong provider) may outweigh the cons ($250 deductible, pre-approval) for some of us. From what I've heard, both products appear to be equally robust coverage-wise. And...aren't you wary of an extended warranty that seems to be priced all over the map by various dealers? The various posts ALL center on how to negotiate a better price.

 

[Kenstaroni]

I have family in the insurance business and they all have told me to stay as far away from Geico as possible. Sure they are cheap but if you have a claim you'll find out why. Their claim service is apparently horrible. I can only imagine it's even worse on a repair contract especially if you have to pay for the service then wait to be re-reimbursed. I'd much rather have leverage on the dealer in that situation by having purchased a warranty through them at the time I bought the vehicle. That scenario (with Toyota anyway) wen't flawless for me when my 4runner's 4wd actuator went out. I'd research online with the BBB and others and make your own determination.

 

[Rolling Ragu]

I've been a Geico customer for almost 20 years. I had a great experience with the one claim I've made. Going to look into this.

 

[Redneck_Jedi]

We had their breakdown insurance on my Wife's Cherokee, and glad we did! Her transmission died and Geico worked with our local dealership and we had the transmission replaced (with a re-manufactured version I believe) for just the $250 deductible. It was so painless, I decided to add the coverage to my Wrangler.

 

[rickinAZ]

Sure they are cheap but if you have a claim you'll find out why. Their claim service is apparently horrible.

I just had an at-fault claim, and they were so good, I'm getting the MBI on my next Jeep.

https://www.jlwranglerforums.com/fo...ng-the-steel-bumper-option.44772/#post-984969

More importantly, they have the best commercials.

 

[jludave]

I'm curious, were you fully aware of the GEICO MBI before you pulled the trigger on the extended warranty? Seems like the pros (inexpensive, financially-strong provider) may outweigh the cons ($250 deductible, pre-approval) for some of us. From what I've heard, both products appear to be equally robust coverage-wise. And...aren't you wary of an extended warranty that seems to be priced all over the map by various dealers? The various posts ALL center on how to negotiate a better price.

I've been with GEICO for years. I'm a government employee. Yes, I was fully aware of MBI. Don't like how it works. It's insurance, not a warranty (in my opinion) and they can deny your claim very easily. You can report your claim online 24 hours, or via phone during certain hours M-Sa (they are closed Sunday). You cannot allow any repairs to begin until you obtain authorization from GEICO. If you fail to give GEICO the opportunity to investigate thoroughly before repairs begin, you may jeopardize your claim. Once you claim is filed, an examiner is supposed to reach out to you within 24 hours. Only then can you take the vehicle in for repair. The repair shop must then submit a diagnosis and an estimate. Lastly, a physical inspection of the vehicle may also be required depending on the issue claimed. This can take up to 24 hours. My time is valuable and I don't want the hassle (again my opinion) of dealing with that. All that being said, MBI might very well be the right option for others.

Regarding my warranty - I purchased a 7 year, 75,000 mile extended warranty with zero deductible. I never keep a vehicle longer than that, nor put on that much mileage. I negotiated and did not pay the asking price - I never do (everything is negotiable). I didn't pay much more than I'd be paying for MBI over 7 years. I should note that my father is in the automotive industry, so I know the in and outs of how dealers, warranties, etc. work and how to negotiate to my advantage.

 

[ExitLeft]

I have Geico and for $17.53 per 6 months I opted for the Mechanical Breakdown Insurance on my JLUR. That’s less than $3 per month. It’s worth the $3 gamble for me. We’ll see what happens should I ever need to use it.
I’ve had a Geico for the past 15 years because, quite frankly, no one can beat their pricing, I’ve had 4 accident claims in those 15 years (one my fault) and have had no problems with their claims department at all. Each claim was handled quickly and professionally.

 

[jespey]

I have family in the insurance business and they all have told me to stay as far away from Geico as possible. Sure they are cheap but if you have a claim you'll find out why. Their claim service is apparently horrible. I can only imagine it's even worse on a repair contract especially if you have to pay for the service then wait to be re-reimbursed. I'd much rather have leverage on the dealer in that situation by having purchased a warranty through them at the time I bought the vehicle. That scenario (with Toyota anyway) wen't flawless for me when my 4runner's 4wd actuator went out. I'd research online with the BBB and others and make your own determination.

I had USAA auto insurance for years, but when we added our 16yo son to the policy, their rates more than doubled. Shopped around and Geico charged less with our son on the policy than USAA did with just us on the policy. We had an at fault claim (the son’s) and they fixed the car with no hassle, they did it right, no problems and they never raised our rates. We’ve had two glass claims on our BMW and yes our 2020JLUS, seamless, OEM windshields, done right and timely. I will have no hesitation adding $17 per six months for each of our 2020 JLUs with Geico.

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