I suppose a warranty for motor repair is the same as an insurance policy for body damage. If repair costs more than car value, than its totaled. But, none expects a motor replacement for $4k.
Why mini won’t honor a new motor is beyond me.
The factory warranty is 4 years/50,000 miles, after that it is up to the owner or extended warranty company. Extended warranty companies have the option of using remanufactured or used parts if it is noted in the contract.
I have seen a few cases where the repair cost was more than the value of the vehicle and the extended warranty company choose to pay the customer the value of the car instead of repairing it.
I suspect Nevada has “hit the nail on the head”. Unfortunately.
Michelle, I’m sorry to hear of your families plight. Sometimes even with the best of care stuff just happens. Sincere best to you and yours.
Sometimes even with the best of care stuff just happens.
And sometimes a car that begs to be flogged…is.
;-]
Hopefully the next car is a used Toyota Corolla, for example, versus another used Mini Cooper
At least don’t get another car that is on CR’s “used cars to avoid” list 
Consumer Report 2015 Used Car Guide shows the Mini’s engine to be a trouble-spot in 2009. Owners report much less than normal reliability for the engine-major and engine-minor categories.