0800 288 654

MBI Terms and Conditions

  • Motorlife Mechanical Breakdown Insurance Policy (Motorlife Standard, Motorlife Plus & Motorlife Green Hybrid).


  • Your Cover

  • Your vehicle is covered for the reasonable cost of repairing or replacing the actual breakdown of mechanical components due to a sudden and unforeseen event during normal use. We agree to insure you subject to the terms, conditions & exclusions contained in the policy during the Period of Insurance (shown on the Policy Schedule) for which you have paid the premium. For any Roadside Assistance needs please phone 0800 288 654.


  • Claims Limits

  • You may make more than one claim during the Period of Cover, subject always to the following limits:

  • a) no single claim shall exceed the Maximum Claim Limit shown on your Policy Schedule; and
  • b) the total amount payable for all claims during any one Period of Cover shall not exceed the Maximum Cover shown on your Policy Schedule.


  • Cooling off Period

  • You can cancel this Policy within 5 business days after the date you purchased the Policy by giving us notice of cancellation. In addition, if we have failed to comply with our disclosure requirements relating to this Policy, you may cancel at any time. In any case where you are entitled to cancel this Policy, you can give us notice of cancellation in writing by telephone, post or email. Upon receipt within the 5- business day cooling off period, we will provide you with a full refund of the premium you have paid.


  • What is Mechanical Breakdown Insurance?

  • Mechanical Breakdown Insurance (MBI), is a Policy to assist You with paying for the reasonable cost of repairs to your car in the event of an unforeseen mechanical or electrical failure to the maximum value of the policy which you have chosen.

  • This policy has been written so that you can understand what is covered, what your obligations are, and the procedure to be followed if a breakdown occurs. We would ask that you read this document carefully, and contact us if you have any questions.

  • Beneficial Insurance Limited (Company) will pay the insured. Subject to the exclusions terms and conditions mentioned in the Policy. The Benefits up to the Maximum Cover if an Insured event occurs during the Period of Cover.

  • Please note this is not a vehicle maintenance warranty.


  • Servicing Requirements

  • The vehicle must be regularly serviced. The servicing requirements are –

  • • 1st Service must be completed within 5,000kms, from the date of purchase or the commencement date of your policy or 3 months (whichever is sooner).
  • • All subsequent services must be completed yearly or every 10,000kms (whichever is sooner).
  • • All services must be completed by an MTA Authorised Service Centre or other repair workshop approved by Motorlife; the vehicle at all times must have a current registration & warrant of fitness as well as being insured.
  • • Important note; if you have not completed the required services for your vehicle within the time frames specified above, this will invalidate your policy.
  • • All receipts and documentation of the services must be kept, and will be required to be provided in the event of any claim.


  • Period of Cover

  • The cover is for a term that you have selected ranging from 12 months to 36 months in length, the policy length is determined by the age of the car is no more than 19 years or the number of kilometres which the car has travelled being no more than 250,000 prior to the start date of this policy.

  • The cover is for the term specified in your Policy Schedule.

  • If this policy is being added to a loan to purchase a motor vehicle, you may wish to elect that the premiums for the term of this policy are added to the loan balance and then the premium would be paid in full.

  • The Company reserves the right to terminate this Policy by advising you in writing upon 21 days’ notice.

  • Where the Company terminates the Policy, it will refund any unused Premium for the remaining term of the Policy, if any.

  • You can cancel the Policy at the end of the cover period.


  • Benefits

  • • 24/7 Nationwide Roadside Assistance
  • • 10 years cover on Lithium-ion EV batteries
  • • Away from home package if your car breaks down
  • • Reimbursement of Warrant of Fitness costs for the life of the policy.
  • • No additional premium loadings or exclusions if your car is being used as an Uber or Tax
  • • 6 Free Tows per year

  • The Roadside Assistance breakdown service provides the following benefits –

  • • Towing - if the vehicle is unable to be driven, we may arrange for it to be towed to the nearest Approved MTA repairer’s repair facility, or other repair workshop approved by Motorlife. Towing any further distance will be paid for by you.
  • • Flat Battery - Assistance will be sent out to help restart your battery. If the existing battery no longer functions adequately and a new battery is required, you will need to pay the cost of the new battery and the removal of the existing one.
  • • Lockout Service - We will arrange for a person to assist you in obtaining access to your vehicle, should you accidentally lock yourself out. This will not apply if you lose your keys at your normal place or residence or work.
  • • Change of flay tyres - We will arrange for a support person to assist you in changing a flat tyre. If no road-worthy tyres are available at the time, the vehicle will be towed to the nearest facility at your cost.
  • • Out of fuel - If your vehicle runs out of fuel, we will arrange for fuel to be delivered to you at the site of the breakdown at your cost.

  • If the vehicle suffers a mechanical breakdown during the period of cover, the following benefits are provided once the claim has been approved by Motorlife.

  • Car Rental Option (this option is only available if you do not choose the away from home package).

  • Payment of reasonable costs (including GST) incurred by you to hire a substitute vehicle (similar in all material respects to the Vehicle) for your usual transport requirements while your vehicle is being recovered, repaired, or having parts replaced, for up to 5 days to a maximum claim value of $500.00.

  • Away from Home Package

  • In the unfortunate event of a mechanical breakdown, where the vehicle is out of action for more than 24 hours and the breakdown happens more than 100 kilometers from your usual place of residence, and if you don’t select the Car Rental Option, you will be entitled to select from one of the options below after approval from Beneficial Insurance Limited – Motorlife to;

  • • The costs of overnight accommodation of up to 5 nights with a claim limit of $500.00 per annum or;
  • • The costs of moving the Vehicle to your usual place of residence or another location specified by you to a maximum value of $250.00


  • Changing your Plan

  • You can, at the time of renewal, apply in writing to increase or decrease the Benefits of the Policy by up-grading or down-grading the Plan. Any such increase or decrease will only be effective if approved by the Company in writing.


  • Renewal of Cover

  • The Policy will be automatically renewed for 12 months from the date of Renewal. You will have a period of 5 business days to request in writing that you wish to cancel the Policy.

  • A renewal advice will be sent to the your last known email address before the Renewal Date including an updated Policy Schedule (Updated Schedule) and Policy Wording. The renewal of any policy is at the sole discretion of the Company.

  • Any adjustments to the Premium, Details of Cover or Terms of Cover will be advised to you on the Updated Schedule and Policy Wording.

  • You are responsible for ensuring that all Policy details and contact details are correct including details relating to you and your driving record.


  • Conditions

  • The obligations of the company and payment of any Benefit under the Policy are conditional upon -

  • • You have paid to the Company the Premium on or before the due date for payment. If a Premium payment is not paid by the due date, the policy will lapse 7 days after the due date. No Benefits will be paid if a claim is received after a Policy has lapsed. In the event that the Policy lapses you the Insured can apply to have the Policy reinstated subject to the Company’s discretion, which could include proof of your driving history, new terms and conditions, new exclusions being imposed, and no claim being assessed or paid for the period that the Policy was lapsed.
  • • You will need to pay the policy Excess which you have chosen to the Approved Repairer.
  • • The Vehicle not being a Non-Qualifying Vehicle (unless approved by Motorlife)
  • • You ensure that you fully disclose all Material information at the time of making the initial application, at the time of the policy renewal or at any time during the Policy term if a Material event or information relating to such events arises. In the event it is found that any information has been withheld the Company has the right to deem the Policy void and not meet any lodged claims.
  • • None of the exclusions listed in the Exclusions section below are applicable.
  • • Any work covered by a Benefit being undertaken by an Approved Repairer.

  • The Vehicle

  • • The 1st service must be completed within 5,000km or 3 months (whichever comes sooner) following the Start Date of your Policy and thereafter a yearly service or every 10,000km (whichever comes sooner) by an MTA Authorised Service Centre or other repair workshop approved by Motorlife.
  • • At all times your car must have a current Warrant of Fitness and Registration.
  • • You must advise the Company of any changes to the Vehicle, including make, model, year, registration number and odometer reading.
  • • In the event of a claim or information provided to the Company is fraudulent, dishonest misleading or untrue this Policy will be cancelled and you forfeit entitlements to all Benefits which would otherwise have been payable under your Policy. The Company reserves the right to claim Premiums paid to cover the Company’s costs.
  • • Your Policy will need to continue for the full Policy Term once a claim has been paid.


  • Exclusions

  • The obligations of the Company and payment of any Benefit, will not apply if a claim arises due to or occurs as a result of –

  • • any repair or replacement which the Company has not previously authorised in writing.
  • • routine maintenance, servicing, parts replacement and repairs.
  • • any repair covered by any other insurance policy, warranty or guarantee.
  • • the vehicle being used for any business purposes, hire or reward unless approved by Motorlife (including, without limitation, as a taxi service, driving school or for commercial delivery).
  • • the weight of the vehicle at any time exceeding 3,500kg.
  • • the vehicle is in any way modified from its manufacturer’s standard specifications unless such modifications, have been approved by the Company in writing beforehand.
  • • any replacement or repair covered by a Vehicle manufacturer’s warranty or recall.
  • • any vehicle for which the vehicle manufacturer does provide a warranty.
  • • use of the vehicle for any competitive or sporting purpose, whether legal, sanctioned or otherwise, including (without limitation) road racing, rallying, drag racing, circuit racing, or an unauthorised exhibition of speed or acceleration (also known as boy racing).
  • • any vehicle involvement in an accident.
  • • any damage occurring or arising as a result of the application of force, weather, intrusion of water, fire, natural disaster. Infestation by insects or rodents, rock slides, stone strike, corrosion, rust or natural deterioration of any materials used in the manufacture of the Vehicle (including perishing).
  • • any fault of repair which existed at the Commencement Date or Renewal Date as applicable.
  • • any repair or replacement of any parts that are worn or any damage, fault, repair caused by worn out parts.
  • • any repairs arising as a result of consequence of careless, reckless or negligent driving or willful damage.
  • • any replacement or repair to batteries, except electrical batteries, to exhaust systems, chassis, tyres, the cosmetic appearance of the Vehicle (including paint and finishing), glass, struts, shock absorbers, seat movement mechanisms, brake shoe linings, disk pads, cam- belts, other items requiring regular servicing, air bags and air suspension systems, clutch, sunroofs, global positioning systems, fuel tanks, remote controls, trim, upholstery, communication systems, programming or reprogramming of the infotainment systems, catalytic converters, mountings, blubs, keys, sparks plugs, seals, gaskets, bearings, oils and filters, all hoses, fluids including incorrect fueling and consumables used in connection with the Vehicle.
  • • any items requiring regular servicing, scanning or diagnostics to determine the cause of the fault and repairs during routine maintenance and tuning including Warrant of Fitness and Certificate of Fitness.
  • • cam belts and any belts or chains, exhaust systems, chassis component, shock absorbers, airbags, and air suspension systems, clutch, and all associated components.
  • • any repairs that are either caused by, or are a result of, the owner not following the recommended servicing guidelines of the vehicle manufacturer in relation to any vehicle part.
  • • Lithium-ion battery replacement due to the reduced life-cycle. The Lithium-ion battery is only covered for sudden and unforeseen failure.
  • • Any loss or damage or legal liability whatsoever directly or indirectly caused by or arising from;
  • • any occurrence consequent upon war and related risks, fire, earthquake, volcanic activity, tsunami or another seismic event.
  • • War, invasion, acts of a foreign enemy, terrorism or hostilities (whether war is declared or not). Revolution, insurrection, military or usurped power or confiscation or nationalism or requisition or destruction or damage to property by or under the order of any government, public or local authority.
  • • Any cars which have been previously written off in New Zealand or any other country, even if they have been recertified in New Zealand to be roadworthy.


  • Claims Process

  • To make a claim for reimbursement of a Benefit covered under the Policy (subject to the Terms and Conditions, Exclusions contained in your Policy Schedule) You will need to contact the Company via email claims@motorlife.co.nz and a claim form will be emailed to you.

  • A claim form can also be downloaded directly from our website, www.motorlife.co.nz. Or you can contact Motorlife on 0800-288-654 and a claim form will be sent to you.

  • In order for the Company to assess your claim, we will require a duly completed a claim form, as well as copies of all relevant supporting documents.

  • You will be required to provide at your own expense all relevant information as requested by the Company.

  • In order for us to assess the claim and to make a decision, in particular you will be required to provide an up-to-date odometer reading together with the vehicle servicing history along with details of any changes to the Vehicle, since the Commencement or Renewal date or your last advice as appropriate.

  • You, will then need to drive the Vehicle to an MTA Approved Repairer. If the Vehicle requires towing due to the nature of the event, it will be at your cost (unless this is covered by your Policy).

  • The approved MTA repairer will provide an initial assessment of the work required, and the reason if it is able to be determined of the cause.

  • The Company will then be able to make an initial assessment, to see if the work is required and the reason for the fault falls within the Policy Terms & Conditions, Exclusions.

  • If you are unsure whether or not the work is covered under your policy, please feel free to contact the Company at any time.

  • The approved MTA repairer must contact the Company and advise of the work required to repair the Vehicle before any work commences. The company will need to provide approval of any and all work to be completed.

  • Once the company is satisfied that the advised work is covered by your Policy, we will advise the Approved MTA Repairer to proceed with the work.

  • The Approved MTA Repairer may, if they see fit, use reconditioned or used, as well as new parts.

  • In the event that you are covered with another insurance provider or manufacturers warrantee in addition to this Policy Cover, the cover provided under this Policy will be excluded.

  • In the event there is a disagreement between the Company and you in regards to the claim, the claim may be referred to an independent adjudicator as agreed by both parties who will act as an arbitrator. The cost for this arbitration will be at the expense of the party who is found to be at fault.

  • For each unrelated breakdown, the excess amount shown on your policy schedule will be deducted from the amount of the claim.

  • Any payment of monies for the repair of this Vehicle by the Company, will only be paid directly to the approved MTA Repairer once the work has been completed and the vehicle is then roadworthy.


  • Servicing

  • You are required to keep your vehicle serviced, as per the terms listed below, by an MTA Approved Repairer or other repair workshop approved by Motorlife to ensure the cover under this policy remains in place.

  • The following items must be checked and attended to, as per your schedule outlined under ‘Conditions i’

  • Engine, oil and oil filter, all fluid levels, air filter, all belts replaced as necessary (not cambelts which must be replaced as specified by the vehicle manufacture), cooling systems including inhibitor and hoses, turbo oil feed, automatic transmission, braking system including break fluid, air conditioning, steering and suspension systems.

  • The cost of servicing is at your expense, you are required to keep all servicing invoices and receipts as we will require them when assessing a claim.


  • Specific Hybrid Vehicle Conditions Cover

  • Motorlife will contribute towards the repair or replacement of factory-fitted lithium-ion batteries for sudden and unforeseen failure only.

  • Exclusions

  • Any damage related to charging the lithium-ion battery caused by incorrect charging or where the manufacture’s recommendation are not followed.

  • Lithium-ion battery replacement due to reduced life cycle or end of useful life.

  • Motorlife will contribute towards the repair or replacement of factory-fitted, lithium-ion batteries as follows –

  • • Up to 2 years from Year of Manufacture: $10,000
  • • Up to 4 years from Year of Manufacture: $6,000
  • • Up to 6 years from Year of Manufacture: $5,000
  • • Up to 8 years from Year of Manufacture: $4,000
  • • Up to 10 years from Year of Manufacture: $2,500
  • • Over 10 years from Year of Manufacture: $NIL


  • Definitions

  • Approved Repairer(s) means an authorised MTA Repair or other repair workshop approved by Motorlife.

  • Benefit(s) means a benefit provided under your Policy.

  • Commencement Date means the date set out in the Policy Schedule.

  • Company, us, or we means Beneficial Insurance Limited or its division, Motorlife.

  • Excess means the amount set out in the Appendix unless such other amount is specified in your Policy Schedule.

  • Full Premium Due means the Premium due on a Policy for any given year determined by the Company, excluding any Premium discounts applied (if any).

  • GST means goods and services tax payable under the Goods and Services Tax Act 1985.

  • Insured or you means the person(s) referred to in the Policy Schedule.

  • Insured Event means the sudden or unexpected mechanical failure of the Vehicle, and for Roadside Assistance includes you the insured losing access to your vehicle.

  • Material means any information that would have influenced, the judgement of a prudent provider in fixing the premium or in determining that we / you would have taken or continued the risk upon substantially the same terms.

  • Maximum Claim Limit means the maximum amount of cover under the policy which you have chosen, as set out in the Policy Wording unless such other amounts are specified in your Policy Schedule.

  • Maximum Cover means the amount specified in the Policy Schedule.

  • Non-Qualifying Vehicles means the following types of vehicles - Alfa Romeo, Aston Martin, Audi RS, R8 A8, S8, Austin, Bentley, BMW, M3, M5, M6, 7 Series, Caterham, Daimler, Dodge Viper, Ferrari, FPV, Honda, NSX, HSV, Jensen, Lada, Lamborghini, Lancia, Lotus, Maserati, Mayback, Mazda RX8, Mazda Diesel, CX5, CX7, CX9, McLaren, Morgan, Nissan GTR, Rolls Royce, TVR, Tesla, Rotary powered vehicles.

  • Period of Cover means the period referred to in the Policy Schedule, from the Commencement Date to the
  • Renewal Date.

  • Policy means the Policy Schedule & Policy Wording.

  • Policy Schedule means the schedule the Company issues to you the insured, outlining the full details of cover provided under the Policy & the Policy Wording.

  • Premium(s) means the amount set out in the Policy Schedule for you to pay.

  • Renewal Date means that date referred to in the Policy Schedule.

  • Start Date means the date set out in the Policy Schedule.

  • Vehicle means the Motor Vehicle ordinarily driven by you, which is insured under this Policy.

  • Regulatory Information and Financial Strength Rating

  • All licensed insurers are required to have a financial strength rating from a rating agency authorised for this purpose by the Reserve Bank of New Zealand. Beneficial Insurance Limited has been rated B++ Outlook Stable by AM Best Company. The AM Best company financial strength rating scale is as follows:

  • Secure: A++, A+ (Superior) A, A- (Excellent) B++, B+ (Good)

  • Vulnerable: B, B- (Fair) C++, C+ (Marginal) C, C- (Weak) D (Poor) E (Under Regulatory Supervision)
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