Just an FYI

I have read threads on this forum that indicated a truck owner's auto insurance covered the repair costs for their 6.0 engine.

I contacted my insurance agent and requested that he verify/clarify the scope of coverage for my auto insurance policy.

Below are my questions and the insurance agent's answers . . .


Regarding insurance policy xxxxxx, will such insurance cover engine damage caused by:

(1) bad diesel fuel purchased from a gas station;

ANSWER: (“Other Than Collision” (Comp) coverage under the auto policy would generally cover this accidental damage)


(2) a mechanic or Ford dealership doing bad work;

ANSWER: (Accidental damage would generally be covered, however, poor workmanship/repairs would not.)


(3) unintentional acts of a third party regardless of the method (bad gas, bad work, etc.); and

ANSWER: (Same as #2)


(4) intentional acts of a third party such as intentionally pouring something into the gas tank to cause damage.

(This type of damage would generally fall under the vandalism peril of “Other Than Collision” coverage. Intentional damage by anyone who qualifies as an insured under the policy generally would not be covered.)


Insurance Agent further stated: If you have “Collision” and “Other Than Collision” coverage on your vehicles, I am not aware of any available endorsements that would offer broader coverage for the damage listed above.

I have one more question pending to be answered and will present same when I have the answer.


Thus, based on the above,

(1) if one gets bad fuel from a gas station such will be covered by "other than collision" coverage.

(2) if an "enemy" (ex-wife, girl friend's ex boyfriend, etc) or simply a prankster pours water or "bad fuel" in your gas tank and it kills your injectors, the repairs will be covered by "other than collision" coverage.

(3) if a mechanic damages your engine via an "accident", and not simply poor workmanship, the repairs are covered by insurance.

(4) damage caused by poor workmanship is not covered by insurance

Just an FYI

 

I generally agree with all of the above
Under number two in regarding an "accident" by the repair technician....
I think you mean if he is in a accident driving the vehicle while in his care, custody, and control?
His dealership or repair shop should have their own "garage-keepers" coverage for that. Your personal insurance would cover that and then subrogate the garage to recoup their expenditure and your deductible.
What other example of a mechanics "accidental damage" are you referring to?
I'm trying to figure out a scenario that would describe, as all reputable garages would generally have their own primary policy....
Just wondering...

 

I asked the insurance agent to explain that point a little better by asking an additional question.

If a mechanic was replacing an injector and somehow something (like a nut) accidentally falls into the cylinder without mechanic's knowledge and damages the engine, is it covered?

Insurance agent said the cost of repairing the damage caused by the nut would be covered but the cost of replacing the injector (the original issue) would not be covered.

The insurance company would look to the mechanic to reimburse the insurance company.

 

Hmmm... that's very interesting.
I would think if that event was documented it would all be on the garage/dealer for their screw-up

FYI I've been an ins. agent for 32 years and my agency has never experienced the example you have just described.... in my experience the dealership just eats their mistake

 

Would Monty's question's start a clue report on him?

 

A flag may be raised . One would hope that , after asking these questions , one was not in a position to need the use of their insurance policy for it's intended purpose .

 

Yes, I understand insurance companies.

Such is why I asked these questions NOW while my truck is running perfectly.

Too late once one is having issues.

 

When my engine was being repaired, there was a truck there that was having engine work done because the local Ford dealership somehow dropped a nut in one cylinder while doing a head gasket repair.

The nut wrapped a valve, crack the head and put a crack in the piston.

I told the mechanic to have the guy check with his auto insurance company to see if they would cover it. I have no idea if the mechanic ever said anything or what the result was.

Such is why I asked that particular question.

All that said, all insurances policies and companies are not the same so one would be well advised to check with their insurance companies BEFORE they need the insurance.

 

Most good insurance companies will cover if someone pours something into the fuel tank. I know this because after replacing three and on the forth fuel pump in under 600 miles I had the ford dealer drop the tank. I had it towed each time. It all started in las vegas in velay parking. Had it fixed there, then had it fixed three times at home. I call my insurance agent and had him check with ford. They covered the tows and repairs to the inside of the tank and pumps. I am a 39 year customer but that shouldn't matter. This truck has the 7.3L diesel.

 

Yes, any claim submission to an insurance company, be there $0 dollars paid out or whatever paid out will result in the claim being reported in the CLUE system.

For those not in the insurance game, the CLUE system is a claims information system that 99.9% of all insurance companies use to log in claims reports.

So say you are shopping another carrier, they can immediately look at your prior claims history.... unfortunately thats the way it is.... everyone shares the claims histories with each other....

 

How long do claims stay in the CLUE history?

Josh

 

I have not filed an insurance claim since around 1991.

 

Not quite sure of that one..... but there are a couple of things to point out:
Companies all charge differently for accidents and/or violations.

Some penalize you more than another for chargeable accidents, the length of time they surcharge for violations, etc... everyone is different.

Now, did you know that in most EVERY state (except CA) that your CREDIT history can also affect your rate... yes, believe it or not. And I am glad I sell in CA....

some companies even will surcharge you for a tow claim.... or your rates could change for even having something on there that wasn't even your fault

The industry has changed, and in my opinion, NOT for the better

I am glad I'm retiring in a couple years...

 

Thanks. My rates are ore than cheap, but my neighbor was driving drunk and hit my Ford Taurus and totaled it in Spring 2011. I mostly dealt with his insurance but mine was involved as well.

Josh

 

Some interesting things we learned on our insurance and what stays or the law allows to stay in CLUE:

One summer we had a gal pass out and fall off a horse we were selling, in our arena -- she was life-flighted out (that's a $25k ride just there). She was ok but we told our insurance, which shortly after said they don't insure livestock (I guess we slipped through a crack), but their policy does not say that, so they said we were insured for now and if they or we didn't hear from the Lady or her representative in a month they'd close the case. Never did...

Then: we had a 12 year old fridge develop a crack in the icemaker fill/water dispenser valve. $27k claim. Insurance Co. asked if I kept the valve (I did) and they wanted it. We then get a letter saying they are going after the manufacturer and if successful, we'll get our deductable back (we think: yeah, right). 6 weeks later we get a check for a grand from our insurance...

A couple months after the fridge leak a major storm hits and we have a leak in the house, insurance fixes most.

when our policy comes up for renewal a few months later they ask if we still own horses (yes we do) and says we can't renew you...

We figure we are soooo screwed with 3 events in a little over 6 months (we've used insurance like once in our lives prior). So we start looking for another ins. co. and we tell the 1st two our story (their gonna' find out anyway, right?).

Turns out there is not a single claim in CLUE! What we figure out: event #1 got pulled (we don't know why) since there was no claim. New ins. co. says claim number 2 was erased since Ins. was compensated in full by fridge maker, and claim number 3 could not legally be in CLUE (turns out it was declared a natural disaster for the area by the Governor), and therefore not legal to hold over our heads (that's what new agent tells us).

I'm still paranoid about anything to do with insurance or liability

Anyway: good topic and sorry for the long story, but it is an odd stroke of luck (for us) I thought I'd share...