Geico Mechanical Breakdown Insurance vs Extended Warranty: Difference and Comparison

As most people own cars nowadays, it has become important to do proper insurance and maintain its warranty period. Insurance is made to provide coverage for car accidents and tragedies.


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Car warranty is different as they cover parts of the car that turn faulty or stop working. 

Key Takeaways

  1. GEICO Mechanical Breakdown Insurance covers repairs beyond a car’s factory warranty, while extended warranties are purchased separately from dealers.
  2. GEICO insurance policies are more affordable and flexible than extended warranties.
  3. Extended warranties often require repairs at specific dealerships, whereas GEICO allows policyholders to choose any licensed repair facility.

Geico Mechanical Breakdown Insurance vs Extended Warranty

MBI coverage is an insurance policy that covers the cost of mechanical breakdowns and is less expensive than an extended warranty. Extended warranties cover repairs beyond the original factory warranty but are more costly than MBI coverage.

Geico Mechanical Breakdown Insurance vs Extended Warranty

The Geico Mechanical Breakdown Insurance is short-formed as MBI. It is an insurance service for a car that covers all the basic policies and abides by the insurance policy rules.

MBI is done to protect the cars which carry out an accident, or other fails with less expenditure.

It is a practice of increasing a car’s warranty period,, which depends on the extra amount paid on the purchase of the new vehicle.

An extended warranty on a car covers only the automotive defects expected to come due to either poor artistry or any catch in manufacturing.

Comparison Table

Parameters of ComparisonGeico Mechanical Breakdown Insurance Extended Warranty
TypeGeico Mechanical Breakdown Insurance is an insurance policy on a car.An extended warranty policy covers all the warranty rules of a car until a specific period of time.
CoverageIt is based upon the reassembling of the car after an accident or other tragic incidents.Geico Mechanical Breakdown Insurance is claimed only when the driver does the fault. 
HappeningThe Geico Mechanical Breakdown Insurance is done due to a known cause that is unexpected.An extended warranty is made to keep the car under warranty for fixing expected problems.
FaultThe Extended warranty does not claim the driver’s faults but due to poor manufacturing of any part.An extended warranty is more expensive than Insurance like MBI.  
ExpensesThe Geico Mechanical Breakdown Insurance is less expensive than the Extended warranty.An extended warranty is more expensive than Insurances like MBI.  

What is Geico Mechanical Breakdown Insurance?

Geico Mechanical Breakdown Insurance is an insurance policy that car owners do to protect their cars from unwanted and significant expenses resulting from unexpected tragic incidents like accidents and tragic happenings related to fire, escape, etc.

The MBI insurance policy is also variable in amounts that are more affordable and reliable. It is a flexible insurance scheme that gets claimed only when an unexpected tragic event occurs.

The MBI insurance policy also asks for some amount yearly to renew the insurance claim.

Whenever the car malfunctions and leads to a severe accident, the Geico Mechanical Breakdown Insurance helps the owner save a lot on the car’s rework. However, the catch lies here. It does not always allow the owner.

The dependency is totally on the date of the car owner. Whenever a part of the car malfunctions or becomes faulty due to poor artistry or car manufacturing, the MBI insurance policy does not work.

In such cases, the owner has to make it well by paying extra to the company’s workplace. If the car’s expense exceeds the prementioned amount by the MBI, the company does not claim the insurance.   

What is an Extended Warranty?

An extended warranty is the practice of occupying an extension in the car’s warranty period.

Whenever a customer purchases a car, they get a warranty period in which the expected malfunctions are repaired and taken care of without paying the expenses.

For example, faulty parts can be used in a car during its manufacturing, or some wear and tear of the parts happen due to poor artistry and manufacturing defects.

The car’s known causes can be claimed without paying a single penny. This is how a warranty on a vehicle works. When discussing an Extended warranty, we can get more time on the car’s warranty.

The warranty can be claimed on a car even after the original warranty’s expiry.

This is how an Extended warranty works, but affording an Extended warranty on a car is more challenging because it demands significant expenses and proper criteria of the claim as decided by the brand itself.

The warranty claim also has a catch as they do not fix regular car parts like brake pads and tires. Extended warranty is offered by either third-party companies or the car brand itself.

Main Difference Between Geico Mechanical Breakdown Insurance and Extended Warranties

  1. The Geico Mechanical Breakdown Insurance covers several aspects like liability coverage, collision coverage, and other complex coverages, whereas an Extended warranty does not. 
  2. The Geico Mechanical Breakdown Insurance does not support claims over vehicle parts like engines, exhausts, and accessories whereas warranty or Extended warranty claims these.
  3. Geico Mechanical Breakdown Insurance is way more affordable than an Extended warranty whereas an Extended warranty charges huge deposits. 
  4. The Geico Mechanical Breakdown Insurance is more flexible whereas Extended warranty claims are strict and abiding. 
  5. The Geico Mechanical Breakdown Policy has a drawback as it works only when the car’s expense after mishappenings is under a margin given by the policy itself whereas an Extended warranty doesn’t. 
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