You are at Road America, winding out 4th gear. BANG. A cloud of white smoke blinds the guy behind you. You pull over. Your engine block has a window in it. A replacement engine is $25,000. You call your track insurance. They say, “Did you hit anything?” You say, “No.” They say, “Claim denied.”
Key Takeaways
- Accidents Only: Insurance covers “unexpected physical damage” caused by a collision, fire, or theft. It does not cover you over-revving your engine.
- The “Resulting Damage” grey area: If your engine blows, spills oil, and then you spin into a wall, the wall damage is covered. The engine is still not covered.
- Money Shift: If you shift from 5th to 2nd and blow the transmission, that is operator error/mechanical failure. Not covered.
- Maintenance is on you: Track driving stresses parts. Insurance is not a warranty.
The “Why” (The Trap): The Mechanical Breakdown Exclusion
Every auto policy has this. It is designed to prevent you from making the insurer pay for your worn-out parts.
The Clause:
“We do not cover loss due to mechanical or electrical breakdown, failure, or breakage.”
This is absolute. There is no “Mechanical Sympathy” rider.
The Investigation: The “Resulting Loss” Argument
I asked a senior claims adjuster how they handle the “Bang-Spin-Crash” scenario.
- Scenario: Rod throws -> Oil on tires -> Car hits wall.
- The Adjuster’s View: “We will pay to fix the bodywork, the suspension, and the paint damaged by the wall. We will not pay for the engine block. We will deduct the cost of the engine from the settlement.”
- The Fight: You have to prove what broke before the crash vs. what broke during the crash. This requires teardowns and forensic mechanics.
Comparison Table: What is Covered?
| Event | Covered? | Explanation |
| Hit Wall | Yes | Collision |
| Money Shift (blown engine) | No | Mechanical Breakdown |
| Wheel falls off (hub failure) | No (Hub) / Yes (Body damage) | The part that failed is excluded; resulting damage is covered. |
| Debris hits radiator | Yes | External object collision |
[IMAGE: Photo of a piston rod sticking out of an engine block with a red “X” over it]
Step-by-Step Action Plan
- Don’t File a Claim for a Blown Motor: You will just create a “zero pay” claim record that might hurt your ability to get insurance later.
- Separate the Damages: If you crash because of a mechanical failure, be prepared to pay for the mechanical part yourself.
- Check Manufacturer Warranties: Some cars (Camaro SS 1LE, certain Hyundais) kept their warranty for track use in previous years. Check if your 2026 model has “Track Warranty” coverage from the factory.
- Install Data Loggers: If you didn’t over-rev, but the engine blew and caused a crash, data logs can prove it wasn’t driver abuse (though the engine still isn’t covered, it helps the “resulting damage” claim).
FAQ
Does any insurance cover blown engines?
Some niche “Mechanical Breakdown Insurance” (MBI) exists, but almost all exclude “competitive driving” or “track use.”
What if a rock hit my radiator and cooked the engine?
This is the one exception. If you can prove an external object (rock) caused the leak, and you stopped immediately, you might get coverage. If you kept driving until it seized, they will deny it for “failure to protect property.”