Posted on Thursday, September 18, 2025
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by Outside Contributor
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0 Comments
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Sponsored By: Mercury Protect
Hello AMAC Members,
The cost of car ownership is changing, and I want to share a critical trend that directly impacts your finances. As the General Manager of Mercury Mechanical Protection, my 41 years in this industry have shown me that the days of inexpensive repairs are behind us. The numbers don’t lie.
The Financial Impact: A Clear Trend in Repair Costs
In just the last few years, the average severity of a repair claim has almost doubled. In 2019, that average was just under $1,000. Today, it’s approaching $2,000. This increase isn’t random; it’s a direct result of the sophisticated technology now integrated into every modern vehicle. When a single component like a front-facing camera fails, the repair can cost thousands of dollars due to the specialized labor and equipment required to recalibrate the entire system.
Protecting Your Investment with VSCs and MBI
Given these escalating costs, protecting your vehicle with a Vehicle Service Contract (VSC) or Mechanical Breakdown Insurance (MBI) is no longer an option, it’s a financial necessity.
- A VSC is a contract between the VSC provider and you that covers the cost of parts and labor for covered breakdowns, allowing you to avoid sudden, budget-breaking expenses. Offered to residents outside of California.
- An MBI is a regulated insurance product that provides a similar layer of protection to a VSC and is subject to the same oversight as other insurance products, offering a reliable safeguard against unforeseen repair costs. Offered to residents of California only.
By securing a VSC or MBI, you replace the risk of a single, massive repair bill with a predictable monthly payment. At Mercury Protect, we’ve created a flexible plan to help you budget for these costs and protect your investment for years to come. Read: Our Claims Experience
By Jim Donaldson, General Manager of Mercury Mechanical Protection
Read full article here