Does State Farm Offer Mechanical Breakdown Insurance?
Last Updated on February 5, 2026
State Farm is one of the biggest auto insurers in the U.S.—but as of January 2026, it does not offer mechanical breakdown insurance (MBI) as an auto policy add-on.
MBI is sometimes described as “car repair insurance.” It helps pay for certain sudden, unexpected mechanical or electrical failures on eligible vehicles, and it can feel similar to an car extended warranty—but it’s typically regulated and billed like insurance when offered by an insurer.
Quick tip: Before buying any “extended warranty” or service contract, compare it to your factory warranty and read exclusions carefully—many plans won’t cover wear, maintenance, or pre-existing issues.
- No MBI Add-On at State Farm: State Farm does not currently offer mechanical breakdown insurance as an auto policy endorsement.
- MBI Is for Sudden Failures: Mechanical breakdown coverage is designed for unexpected mechanical or electrical failures—not routine maintenance or wear items.
- Roadside Help Isn’t Repair Coverage: Roadside assistance can pay for towing and minor disablement services, but it won’t cover major repair bills like an engine replacement.
- Alternatives Exist: If you want repair protection, consider insurers that offer MBI, a carefully vetted service contract, or a dedicated repair savings fund.
- State Farm Does Not Offer Mechanical Breakdown Insurance
- Mechanical Breakdown Insurance vs. Warranties and Roadside Assistance
- What Mechanical Breakdown Insurance Typically Covers
- What Mechanical Breakdown Insurance Usually Excludes
- Mechanical Breakdown Insurance Options for State Farm Customers
- How Much Does Mechanical Breakdown Insurance Cost?
- Does My Vehicle Qualify for Mechanical Breakdown Insurance?
- Which Companies Offer Mechanical Breakdown Insurance?
- Final Word on State Farm and Mechanical Breakdown Insurance
- FAQs on State Farm Mechanical Breakdown Insurance
State Farm Does Not Offer Mechanical Breakdown Insurance
Some insurers sell MBI as an optional endorsement. State Farm’s published auto coverage options focus on standard protections (liability, comprehensive, collision) and common add-ons (like rental reimbursement and roadside assistance), but MBI is not listed as a State Farm auto coverage option on its consumer-facing materials. (You can review State Farm’s auto coverage options directly on State Farm’s website.)
Important note: State Farm does sell “equipment breakdown” coverage in some home and business policies, but that’s different from auto mechanical breakdown insurance.
If you want a dedicated repair plan for mechanical failures, you’ll generally need to look at (1) a different insurer that offers MBI, (2) a dealership/manufacturer extended service contract, or (3) a reputable third-party vehicle service contract provider.
Mechanical Breakdown Insurance vs. Warranties and Roadside Assistance
MBI can be easy to confuse with warranties and roadside assistance. Here’s the practical difference when you’re deciding what to buy.
| Product | What It Helps With | Typical “Gotchas” to Watch |
|---|---|---|
| Mechanical Breakdown Insurance (MBI) | Covered repairs after a sudden mechanical/electrical failure (often on newer, low-mileage vehicles). | Strict eligibility; exclusions for maintenance, wear, misuse, and pre-existing issues; prior authorization rules may apply. |
| Factory Warranty | Manufacturer defects and certain failures for a set time/mileage. | Coverage varies by system; normal wear/maintenance usually excluded; may require dealer service for some repairs. |
| Extended Warranty / Service Contract | Paid protection beyond the factory warranty, often with tiered plans. | Rules and claims handling vary widely by seller; exclusions can be broad; always read cancellation/refund terms. |
| Roadside Assistance | Towing and minor services (jump start, tire change, lockout, fuel delivery). | Does not pay for major repairs like an engine or transmission replacement. |
If you’re looking for help with repairs (not a tow), start with our deep dive on mechanical breakdown insurance.
What Mechanical Breakdown Insurance Typically Covers
Coverage varies by company and plan, but MBI usually focuses on major mechanical and electrical systems—think of the expensive stuff that can fail unexpectedly.
- Engine and internal components
- Transmission and drivetrain
- Steering and suspension components (as defined by the plan)
- Cooling system components
- Electrical system and onboard computers (plan-defined)
MBI claims work more like insurance than a prepaid maintenance plan: you report the breakdown, follow the plan’s repair/authorization process, pay your deductible, and the plan pays the covered portion of the repair.
What Mechanical Breakdown Insurance Usually Excludes
MBI is not designed for predictable costs. In general, it won’t pay for wear and tear or routine maintenance. If a breakdown is tied to neglect—like ignoring an oil change interval—it may be denied. (For maintenance timing questions, see our guide on oil life percentages.)
| Common Exclusion Category | Examples | Why It’s Usually Excluded |
|---|---|---|
| Routine Maintenance | Fluids, tune-ups, oil changes, scheduled services | Predictable ownership costs |
| Wear Items | Tires, brake pads, wiper blades, filters | Expected to wear out over time |
| Cosmetic/Trim | Glass chips, upholstery, exterior trim | Not a mechanical/electrical “failure” |
| Neglect or Misuse | Damage tied to poor maintenance, overheating, contamination | Preventable causes are typically excluded |
| Pre-Existing Problems | Issues present before the coverage started | Prevents buying coverage after symptoms appear |
Mechanical Breakdown Insurance Options for State Farm Customers
If you’re insured with State Farm and want protection against unexpected repair bills, here are the most practical paths.
Switch to an Insurer That Offers MBI
Some carriers sell true mechanical breakdown insurance (often with strict vehicle eligibility). If your car is newer and you want an insurer-managed repair benefit, shopping carriers may be the cleanest solution.
Add Roadside Assistance for Breakdowns
State Farm doesn’t offer MBI, but you can consider State Farm Emergency Road Service for towing and minor disablement help. It won’t pay for a transmission replacement, but it may reduce the stress and surprise cost of situations like towing after a breakdown.
Use a Third-Party Vehicle Service Contract
Some third-party providers sell vehicle service contracts that can resemble extended warranties. If you’re comparing vendors, read the contract carefully—especially exclusions, repair authorization rules, and cancellation/refund terms. If you’re researching this route, our CarShield review is a good starting point.
Buy a Dealer or Manufacturer Extended Service Contract
Dealers and manufacturers often sell extended service contracts (commonly called “extended warranties”) that can continue protection after the factory warranty ends. These contracts can vary dramatically in value depending on what’s covered, the repair network, and how claims are handled.
Self-Insure With a Repair Fund
If you prefer control and flexibility, you can self-insure for repairs by setting aside a fixed amount monthly. This approach avoids claim rules and exclusions—but it also means you’re responsible for any large repair that hits before you’ve saved enough.
How Much Does Mechanical Breakdown Insurance Cost?
There isn’t one “standard price” for MBI. Premium depends on your vehicle, location, coverage term, and deductible. Some insurers describe MBI as a small add-on premium per policy period, while others price it more like a separate protection plan.
Deductibles are easier to compare than premiums. For example, GEICO lists a $250 deductible for covered losses on its MBI page, while Progressive’s mechanical breakdown coverage materials describe deductible options that can range from $100 to $1,000, depending on the vehicle and plan.
Does My Vehicle Qualify for Mechanical Breakdown Insurance?
State Farm doesn’t offer MBI, so eligibility isn’t an option with State Farm. But if you’re shopping MBI elsewhere, most programs focus on newer vehicles because older vehicles are more likely to need repairs.
Eligibility rules vary by company. As one clear example, GEICO’s published rules say MBI is available for new or leased cars under 15 months old with fewer than 15,000 miles, and you generally need to be the first owner. Other programs may have different age/mileage limits, may require certain coverages (like comprehensive and collision), or may be offered as a service contract instead of regulated insurance.
Which Companies Offer Mechanical Breakdown Insurance?
“Mechanical breakdown insurance” isn’t sold by every insurer, and availability can be regional. Here are two well-known starting points with InsurancePanda guides:
Some insurers and auto clubs also offer “mechanical protection,” “vehicle protection,” or “extended vehicle care” products that may be service contracts rather than insurance—so it’s worth confirming what you’re buying and how it’s regulated in your state.
Final Word on State Farm and Mechanical Breakdown Insurance
State Farm does not currently market mechanical breakdown insurance as an auto policy add-on. If you want repair coverage for unexpected mechanical failures, your best alternatives are to shop carriers that offer MBI, buy a carefully reviewed service contract, or build a dedicated repair fund.
If you’re trying to figure out whether a breakdown would be covered under a typical auto policy, start here: does car insurance cover mechanical repairs?
For questions about your State Farm policy options, endorsements, or roadside add-ons, you can contact State Farm directly. Coverage rules and availability can vary by state and by policy form.
