MBI terms and conditions

I. insuring agreement

Subject to the deductibles, exclusions and other limitations in this Policy, including the Coverage You elected, repairs (including parts and labor costs) will be provided as contained herein. We will either: (a) repair or replace covered Breakdowns or (b) reimburse You for the Vehicle’s repair or replacement of covered Breakdowns and repairs needed to a non-covered component caused by the Breakdown of a covered component.

 

II. definitions

  1. Branded Vehicle means a vehicle that has a valid certificate of title that indicates: (i) a salvage title, (ii) that the vehicle was stolen or (iii) that an insurance carrier insuring the vehicle determined that the physical damage to the vehicle exceeded the value of the vehicle.
  2. Commercial Use means any Breakdown on a vehicle used for racing, snowplowing, rental use, delivery purposes, hires or utilized in a business for profit, or by pulling a trailer weighing more than the manufacturer’s recommended limit.
  3. Coverages means the olive complete care Protection Plan (olive complete), olive powertrain plus Protection Plan (olive powertrain +) and the olive powertrain Protection Plan (olive powertrain).
  4. Effective Date means the date for which Your Policy will become effective for the selected Coverage.
  5. Eligible Repair Visit means a single visit to a dealer or other repair provider for service or repair of a Breakdown to the Vehicle covered by this Policy.
  6. Emergency Repair means necessary repair to an inoperable Vehicle at a dealer, when our offices are closed.
  7. Expiration Date means the date shown on the Declarations Page which will cause this Policy to expire even if the Expiration Mileage has not been reached.
  8. Expiration Mileage means the total number of miles up to which coverage is afforded by this Policy. When the Vehicle’s mileage as recorded on the Vehicle’s odometer reaches the Expiration Mileage specified in the Declarations Page, coverage shall cease unless the Expiration Date has been reached prior to the Expiration Mileage being reached.
  9. Mechanical Breakdown or Breakdown means a cessation of normal functioning of the Vehicle or components covered by this Policy that arise from defects in materials or workmanship or caused by wear and tear covered by this Policy.
  10. New Vehicle Limited Warranty means the manufacturer’s original limited bumper to bumper warranty covering a new Vehicle or the parts and components of the new Vehicle.
  11. Retail Value of the Vehicle means the retail value of the Vehicle at the time of repair or service, as determined by National Auto  Dealers’  Association  Guide “NADA”, taking  into consideration the location, mileage and condition of the Vehicle.
  12. Scheduled Maintenance Services means all scheduled maintenance services at the service intervals listed in the Scheduled Maintenance Guide for the Vehicle, including adherence to the normal or severe duty mileage and time requirements depending on vehicle usage.
  13. Signature Date means the date You signed the Application to this Policy.
  14. Vehicle means the vehicle identified in Item 3 of the Declarations Page.
  15. Vehicle Identification Number (VIN) means the seventeen alpha-numeric identifiers assigned to a motor vehicle by the manufacturer.
  16. We, Us, and Our means QBE Insurance Corporation, located at [One QBE Way, Sun Prairie, Wisconsin 53596].
  17. You and Your means the individual stated in Item 1 of the Declarations Page.

 

III. coverages

1) olive powertrain

If You elected the olive powertrain Protection Plan, the following items are covered: 

    1. Engine – Cylinder block and all internal lubricated parts, seals and gaskets, the cylinder heads, manifold (Exhaust and Intake), manifold and bolts, factory installed turbocharger/supercharger units, timing chain (gears or belt), flywheel, valve covers, oil pan, timing chain cover, oil pump, water pump, thermostat, thermostat housing. (EXCEPTIONS: CARBURETION AND FUEL INJECTION COMPONENTS ARE NOT COVERED).

      Transmission – Transmission case and all internal parts including torque converter and transfer case (all internal parts), seals and gaskets.

      Front-Wheel Drive – Final drive housing and Rear Axle Housing for AWD (including all internal parts), universal and constant velocity joints, front-wheel bearings, axle shafts, locking rings (four- wheel drive vehicles), seals and gaskets, automatic front locking hubs (four-wheel drive), rear wheel bearings.

      Rear-Wheel Drive – Drive axle housings and Front Axle Housing for 4X4 (including all internal parts), universal and constant velocity joints, rear-wheel bearings and retainers, axle shafts, seals and gaskets, driveshafts, front wheel bearings.

    2) olive powertrain plus

    If You elected the olive powertrain plus Protection Plan, the following items are covered:

      1. Engine – Cylinder block and all internal lubricated parts, seals and gaskets, the cylinder heads, manifold (Exhaust, Intake and bolts), factory installed turbocharger/supercharger units, timing chain (gears or belt), flywheel, valve covers, oil pan, timing chain cover, oil pump, water pump, thermostat, thermostat housing. Metal fuel lines, harmonic balancer and bolt, and diesel injector pump. (EXCEPTIONS: CARBURETION AND FUEL INJECTION COMPONENTS ARE NOT COVERED).

        Transmission – Transmission case, hose clamps, and hose o-ring seals, and all internal parts including torque converter and transfer case (all internal parts), seals and gaskets.

        Front-Wheel Drive – Final drive housing and Rear Axle Housing for AWD (including all Internal parts), universal and constant velocity joints, axle shafts, locking rings (four-wheel drive vehicles), seals and gaskets, automatic front locking hubs (four-wheel drive).

        Rear-Wheel Drive – Drive axle housings and Front Axle Housing for 4X4 (including all internal parts), universal and constant velocity joints, axle shafts, seals and gaskets, and driveshafts.

        Odometer & Speedometer – Odometer and speedometer including all cables and connectors.

        Steering – Power steering pump, cooler and metal lines, couplings, seals and gaskets, manual and power steering gear housing and all internal parts, including linkages, control valve, column lock (tilt wheel), pulley assembly for power steering pump, and the idler arm.

        Front Suspension – MacPherson struts, upper and lower control arms, stabilizer bar, linkage and bushings, tie rods, control arm shafts and bushings, upper and lower ball joints, kingpins and bushings, spindle and spindle supports. NOTE: This coverage includes only the items listed in this paragraph and does not include either front end alignments or wheel balancing, unless the repair to such items is required in conjunction with the repair of a Failure.

        Brakes – Master cylinder, calipers and wheel cylinders, combination valve, metal lines and fittings, power brake booster, backing plates, springs, clips and retainers, self-adjusters, parking brake linkage and cables, brake pedal shaft. NOTE: This coverage includes only the items listed in this paragraph and does not include brake drums, rotors, linings or pads, unless the repair to such items is required in conjunction with the repair of a covered Failure.

        Air Conditioning – Compressor, condenser, evaporator, A/C compressor head, A/C compressor clutch switch, A/C clutch and clutch bearings, compressor seals, pulley and field coil.

        Electrical – Alternator, starter motor, voltage regulator, manually operated electrical switches, ignition switch, wiper motors, electronic ignition module, radiator fan relay, fuel pump, starter motor solenoid, wiring harnesses (excluding spark plug wires), and electrical components of a heated backglass.

        Distributor assembly. NOTE: Heated backglass coverage is for electrical components only and does not include general glass damage or breakage.

      3) olive complete care

      If You elected the olive complete care Protection Plan, You have the olive powertrain plus and coverage for the following additional items:

        1. Engine – Cylinder block and all internal lubricated parts, seals and gaskets, the cylinder heads, manifold (Exhaust and Intake), manifold and bolts, factory installed turbocharger/supercharger units, timing chain (gears or belt), flywheel, valve covers, oil pan, timing chain cover, oil pump, water pump, thermostat, thermostat housing. Metal fuel lines, harmonic balancer and bolt, and diesel injector pump. Flywheel ring gear, diesel lift pump and gas and diesel fuel injectors.

          Transmission – Transmission case and all internal parts including torque converter and transfer case (all internal parts), seals and gaskets. Governor Assembly.

          Front-Wheel Drive – Final drive housing and Rear Axle Housing for AWD (including all Internal parts), universal and constant velocity joints, front-wheel bearings, axle shafts, locking rings (four-wheel drive vehicles), seals and gaskets, automatic front locking hubs (four-wheel drive), rear wheel bearings.

          Rear-Wheel Drive – Drive axle housings and Front Axle Housing for 4X4 (including all internal parts), universal and constant velocity joints, rear-wheel bearings and retainers, axle shafts, seals and gaskets, driveshafts, front-wheel bearings.

          Odometer & Speedometer Coverage is provided for both the odometer and speedometer, including all cables and connectors.

          Steering – Power steering pump, cooler and metal lines, couplings, seals and gaskets, manual and power steering gear housing and all internal parts, including linkages, control valve, column lock (tilt wheel), pulley assembly for power steering pump, and the idler arm.

          Suspension – MacPherson struts (front or rear), upper and lower control arms, stabilizer bar, linkage and bushings, tie rods, control arm shafts and bushings, upper and lower ball joints, kingpins and bushings, spindle and spindle supports. NOTE: This coverage includes only the items listed in this paragraph and does not include either front end alignments or wheel balancing, unless the repair to such items is required in conjunction with the repair of a Breakdown.

          Brakes – Master cylinder, calipers and wheel cylinders, combination valve, metal lines and fittings, power brake booster, backing plates, springs, clips and retainers, self-adjusters, parking brake linkage and cables, brake pedal shaft. NOTE: This coverage includes only the items listed in this paragraph and does not include brake drums, rotors, linings or pads, unless the repair to such items is required in conjunction with the repair of a covered Breakdown .

          Air Conditioning – Compressor, condenser, evaporator, A/C compressor head, A/C compressor clutch switch, A/C clutch and clutch bearings, compressor seals, pulley and field coil.

          Electrical – Alternator, starter motor, voltage regulator, manually operated electrical switches, ignition switch, wiper motors, electronic ignition module, radiator fan relay, fuel pump, starter motor solenoid, wiring harnesses (excluding spark plug wires), and electrical components of a heated backglass. Distributor assembly. NOTE: Heated backglass coverage is for electrical components only and does not include general glass damage or breakage.

          High Tech – Air conditioner accumulator, ETA pump hose assembly, anti-lock brake module and sensor, automatic temperature control, compass and thermometer read-out displays, distributor cap and rotor, electronic air suspension (switch-vacuum pump. control-assembly suspension air spring, spring & solenoid assembly front suspension, air spring solenoid, o-ring solenoid, left/right-front spring, dryer assembly, sensor-air level, air line protector, spring-load leveling, control module-air suspension, sensor right/left rear suspension leveling, air suspension quick connect, air line repair kit, switch-right/left rear suspension leveling, o-ring suspension air spring dryer, silencer-air suspension, wire assembly air suspension switch, front spring air suspension and rear spring air suspension), electronic instrument cluster (excluding the dash pad, clock, audio and visual equipment), fuel tank and lines, diesel injectors and lines, heater blower motor and core assembly, keyless entry system (excluding door handles), power seat motors, power window motors and regulators, power antenna, power door locks (excluding door handles and electronic key fobs), power door lock retainer clip, radiator, radiator fan, radiator fan clutch or motor, speed control, engine mounts, transmission vacuum module and mounts, and external transmission module.

          All Breakdowns are covered except for those items specifically excluded in Section V. EXCLUSIONS.

        4) additional coverages

          1. Towing Reimbursement
            If towing is necessary because a Breakdown occurs or services provided by Your Coverage are required, We will reimburse You for towing costs necessitated by damage up to $100 per Eligible Repair Visit.

            Rental Car Reimbursement
            You
            may be eligible for rental car reimbursement if: (i) the servicing or repair facility determines that the repair is: (a) covered under this Policy or (b) the Vehicle must be kept overnight by the repair facility because it was inoperable or would become inoperable if it was continued to be operated.

            If You meet the eligibility requirements set forth herein, We will reimburse You for vehicle rental charges You actually incur up to $35 per day (including tax) on all vehicles for up to five (5) days or until the repair is complete, whichever occurs first.

          IV. your responsibilities

          To obtain coverage or reimbursement under this Policy, You must: (i) properly operate the Vehicle and (ii) provide proof of Scheduled Maintenance Services. Proof of Scheduled Maintenance Services includes maintenance records that show mileage, date of maintenance service, VIN and the maintenance that was performed.

          Scheduled Maintenance Service requires periodic service checks based on mileage intervals and the make and model of Your Vehicle. Please review the Owner’s Guide for Your Scheduled Maintenance Service requirements that are provided to You at the time of vehicle purchase. If You perform Your own Scheduled Maintenance Services, You must maintain a log including date, mileage and description of each maintenance service and provide corresponding receipts for purchases of parts and fluids.

          V. exclusions

          The Policy does not provide coverage for:

          1. Repairs covered by manufacturer recalls, insurance or warranty;
          2. Service adjustments and cleaning not made with a covered repair and software upgrades;
          3. Repairs to any engine, transmission and final drive components for damages caused by an after-market turbocharger or supercharger, foreign objects, or other performance enhancing power train components including but not limited to racing parts or accessories;
          4. Repairs caused by loss of lubricants or fluids or contamination of oil, fluids or fuel and repairs caused by continued operation of the Vehicle after loss of lubricant or fluids or contamination of oil, fluids or fuel;
          5. Repairs caused by improper or unauthorized service providers, collisions or other physical damage to the Vehicle, unreasonable use (including driving over curbs, overloading, or using the Vehicle as a stationary power source), damage from fire or explosions, road hazards, other casualty losses, or losses due to negligence, racing or Breakdowns caused by: (a) alterations or modifications of the Vehicle , including the body, chassis, or components, after the Vehicle leaves the control of the manufacturer (any part or accessory that is not permanently affixed to the Vehicle at point of sale); (b) tampering with the Vehicle or the emissions systems and components; (c) the installation or use of any part not approved, certified or authorized by the Vehicle’s manufacturer or any repair caused by after-market (non-factory approved) PCM reprogramming; or (d) any part designated for “off-road only” that is not installed by the manufacturer, including, but not limited to, lift kits, oversized tires, aftermarket wheels that do not provide equivalent fit and function as the original equipment installed by the manufacturer, roll bars, cellular phones, alarm systems, automatic starting systems and performance-enhancing power train components;
          6. Damage caused by the environment and pollution, including airborne fallout, corrosion chemicals, tree sap, salt, hail, windstorm, lightning, freezing, flooding, earthquake, snow or ice;
          7. Damage caused by theft, vandalism, terrorism, riot or acts of war;
          8. Repairs caused by lack of required or recommended maintenance;
          9. Scheduled Maintenance Services;
          10. Commercial Use (see Definitions).
          11. Repairs needed to a covered part caused by the Breakdown of a non-covered part;
          12. Repairs to the Vehicle if the odometer Is altered, broken, repaired or replaced so that We cannot determine the actual mileage on the Vehicle;
          13. Loss of use of the Vehicle, loss of income, special or consequential damages, and personal expenses, such as motels, food, gas and mileage;
          14. Rental vehicle charges or fees such as mileage charges, drop-off fees, insurance, or gasoline;
          15. State or local taxes for Rental Car Reimbursement;
          16. Vehicles manufactured for sale outside the United States, District of Columbia or Canada;
          17. Repairs to the Vehicle performed outside of the United States, District of Columbia, or Canada;
          18. Repairs required as a result of operation outside the United States, District of Columbia, or Canada;
          19. Repairs made to the Vehicle that are required due to a condition that existed prior to the purchase or transfer of this Policy;
          20. Shop supplies and disposal of environmental wastes from the Vehicle or fuel used during the repair of Your Vehicle or storage fees;
          21. A Vehicle is excluded from coverage if, (1) the New Vehicle Limited Warranty for the Vehicle or specified component parts are voided, in whole or part, (2) the Vehicle is a Branded, Totaled or Salvaged Vehicle, or (3) if We cannot determine the VIN.
          22. Taxis, limousine/livery, vehicles used for competitive driving/racing/off-road use, all performance modified vehicles, and 4X2- equipped vehicles modified with 4X4 AWD capabilities. Police, fire, shuttles and tow trucks.
          23. Service adjustments and cleaning, batteries of all types and cables, belts, hoses, hose clamps, brakes {front hub, drums, shoes, linings, disc rotors, pads), manual transmission clutch disc, coolant, exhaust system (includes catalytic converter), filters, fluids, lubricants, lights (bulbs, sealed beam, lenses), spark plugs, spark plug wires, squeaks and rattles, tires, tune-ups, wheel balancing, wheel alignment, LED lights, shock absorbers and compressed natural gas/liquid propane fuel system conversion components are excluded from this Policy.
          24. Service adjustments fixed (non-moving) body parts, bumpers, door handles, glass, moldings, ornamentation, paint, rust, sheet metal, structural underbody framework, sideview mirrors (glass and housing), water leaks, wind noise, weather strips, wheels, wheel studs, wheel covers and ornaments, convertible  top,  fabric, liners, zippers, fasteners, buttons, carpets, dash pad, door, wiper blades and window handles, knobs, rearview mirror (glass and housing), trim and upholstery.
          25. Costs or expenses for the teardown, rental expense, inspection or diagnosis of Breakdowns not covered by this Policy.
          26. Any Mechanical Breakdown occurring prior to the Effective Date.

          VI. limit of liability

          We will pay up to the Retail Value of the Vehicle for all repairs for Coverages for each Eligible Repair Visit. We will also pay fair and reasonable parts cost and labor time and rates. The accumulation of all paid claims cannot exceed the Retail Value of the Vehicle.

          VII. deductible

          The deductible is the amount stated on the Declarations Page that You must pay for each Eligible Repair Visit, regardless of the number of Breakdowns to be repaired.

          VIII. general provisions

          1. Arbitration
            Please read this carefully. It affects Your rights. We and You agree to arbitrate all disputes and claims arising out of or relating to this Policy, or to any prior oral or written agreement between Us and You. Notwithstanding the foregoing, either party may bring an individual action in small claims court. This Policy evidences a transaction in interstate commerce, and thus the Federal Arbitration Act governs the interpretation and enforcement of this provision.

          If You decide to commence arbitration against Us, We will promptly reimburse You for Your payment of the filing fee. All issues are for the arbitrator to decide, including the scope of this arbitration clause, but the arbitrator is bound by the terms of this Policy.

          The arbitration shall be governed by the Commercial Dispute Resolution Procedures and the Supplementary Procedures for Consumer Related Disputes (collectively, “AAA Rules”) of the American Arbitration Association (“AAA”), as modified by this Policy, and shall be administered by the AAA. The AAA Rules are available at www.adr.org or by writing to Us.  Except as otherwise provided for herein, We will pay all AAA filing, administration and arbitrator fees for any arbitration initiated in accordance with the notice requirements above. If, however, the arbitrator finds that either the substance of Your claim or the relief sought in the Demand is improper or not warranted, as measured by the standards set forth in Federal Rule of Civil Procedure 11(b), then the payment of all such fees shall be governed by the AAA Rules. In such case, You agree to reimburse Us for all monies previously disbursed by it that are otherwise your obligation to pay under the AAA Rules. If the arbitrator grants relief to You that is equal to or greater than the value of Your Demand, We shall reimburse You for Your reasonable attorneys’ fees and expenses incurred for the arbitration. The arbitrator may make rulings and resolve disputes as to the payment and reimbursement of fees and expenses at any time during the proceeding and upon request from either party within fourteen (14) days of the arbitrator’s ruling on the merits.

          You agree that, by entering into this Policy, You and We are waiving the right to a trial by jury. Unless We and You agree otherwise, all hearings conducted as part of the arbitration shall take place in the county of your billing address. For claims of $10,000 or less, however, You have the exclusive right to choose whether the arbitrator will conduct an in-person hearing, a telephonic hearing, or a “desk” arbitration wherein the arbitration is conducted solely on the bases of documents submitted to this arbitrator. Punitive damages or damages based on federal statutory rights may be awarded to the same extent such damages would be available in court. The arbitrator may award injunctive relief only in favor of the individual party seeking relief and only to the extent necessary to provide relief warranted by that party’s individual claim.

          1. Fraud or Misrepresentation

          This Policy is issued in reliance upon the truth of all representations made by You. We will not pay a claim where You have made any misrepresentations, omissions, concealment of fact or made incorrect statements that were:

          i. Fraudulent; or

          ii. Material either to the acceptance of the risk or the hazard insured.

          1. Transferability

          You may transfer the remaining coverage of the Vehicle under this Policy, if You or the transferee of this Policy initiates the transfer process and provides the following items to Us, within thirty (30) days of the Vehicle sale:

          i. a statement of the mileage on the Vehicle at the time of transfer; and

          ii. the name, address and phone number of the transferee;

          You may not transfer coverage if the Vehicle becomes a Branded Vehicle or is repossessed. Transferred Agreements may not be cancelled by You.

          1. Policy Period: This Policy is effective on the Effective Date stated in the Declarations Page and, unless the Policy is canceled, expires on the Expiration Date or Expiration Mileage, whichever is reached first.
          1. Legal Action Against Us: No suit or action may be brought against Us unless there has been full compliance with all terms of this Policy.
          1. Right to Recover: If anything is paid under this Policy and You have the right to recover from another party, Your rights became subrogated to Us up to the amount paid. You must do whatever is necessary to enable Us to enforce these rights.
          1. No Benefit to Bailee: We do not cover, directly or indirectly, any person or organization transporting or holding property for a fee.
          1. Non-Renewal: We are under no obligation to renew this Policy. Once We choose to non-renew this Policy, or condition its renewal upon changes of limits or elimination of any Coverages, We shall mail or deliver written notice to You at least thirty (30) days before the end of the Policy Period. The notice of non-renewal or conditional renewal shall include the reason for non-renewal or conditional renewal, which may be based on Your involvement in an accident, a change in, or addition of, a Vehicle or an insured; a change in the location of the use or storage of the Vehicle, payment of claims filed by You or someone else, or other reasons that are both lawful and not unfairly discriminatory.
          1. Entire Policy: This Policy represents the entire agreement between You and Us. No person has the authority to change this Policy or to waive any provisions.
          1. Territory: This Policy applies to a Mechanical Breakdown occurring within the United States of America or Canada.

          IX. cancellation and provisions

          1. Cancellation: You may cancel this Policy by returning it to Us; or by notifying Us in writing when, at a future date, cancellation is to take effect.

            We may only cancel this Policy for the following reasons:

          a. Nonpayment of premium;

          b. Fraud by You;

          c. Material misrepresentation by You of Your safety record, annual miles driven in prior years, number of years of driving experience, record of prior automobile insurance claims, if any, or any other factor determined by the applicable regulatory authority to have a substantial relationship to the risk of loss;

          d. Your conviction for criminal activity which increases hazard(s) insured against;

          e. Gross negligent acts or omissions by You which substantially increase the hazards insured against; or

          f. Physical changes in the property causing it to be uninsurable.

            1. If We cancel due to nonpayment of premium, We will give you at least ten (10) days advance written notice. If We cancel because of fraud or material misrepresentation by You, We will give You at least twenty (20) days written notice. If We cancel for any other reason, We will give You at least thirty (30) days advance written notice. Notice of cancellation shall state the reason for cancellation. Proof of mailing will be sufficient proof of notice.

              The lienholder, if any, may cancel this Policy for nonpayment or if the Vehicle is declared a total loss or is repossessed by providing written notice of cancellation at least ten (10) days before the effective date of cancellation. If the policy is canceled for any of these reasons, any refunds will be issued to the lienholder on behalf of Your account.

              1. Refunds

              If We receive a written cancellation request, including a copy of Your Application and proof of payment on or before the 30th day from the Signature Date or Effective Date and no claims have been filed under this Policy, We will cancel this Policy and refund the premium You paid for this Policy.

              If We receive a written cancellation request, including a copy of Your Application and proof of payment after the 30th day or a claim has been filed at any time during the term of this Policy from the Signature Date or Effective Date, We will refund Your premium on a pro rata basis.

            X. where to go for repairs

            Unless You need an Emergency Repair, You may receive a repair facility recommendation from Us prior to initiating covered repairs to the Vehicle under this Policy by contacting Us. Although You are entitled to choose a vehicle repair facility, We may base our payment on the charges that would have been incurred had the vehicle been repaired at a repair facility recommended by Us. 

            If the Vehicle should need Emergency Repair and the Vehicle is inoperable, You may use other repair or service facilities if Our office is closed.

            To request reimbursement, You must provide a copy of the repair order and proof of payment to Us within ninety (90) days from the repair order open date or payment receipt date.

            Repairs will be made with authorized new or remanufactured parts or other products We authorize. We may inspect the Vehicle before performing any repairs and inspect parts that are repaired or replaced.