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Can your car be repossessed if you do not maintain insurance coverage on the vehicle?
Wiki User
∙ 12y ago
An automotive loan usually contains a clause that says the loan recipient must maintain insurance on the car for the life of the loan. Usually, this includes not only the legal minimal liability insurance, but also theft, collision and fire insurance.
If you are in breach of the loan agreement, your car may be subject to repossession, depending upon the terms of your loan agreement.
Wiki User
∙ 12y ago
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Can your car get repossessed for not paying your insurance?
IF your loan contract specifies that you must maintain insurance covering the vehicle, the answer is YES. Just an echo of the previous answer, most major lenders require that the vehicle maintain full coverage insurance. It states in your finance agreement that the vehicle must remain insured or it can be repossessed.
Should you continue your insurance coverage for a car that was repossessed?
If it's no longer your vehicle, you don't need to insure it.
If you repossess your car do you have to continue insurance coverage on that vehicle?
I take it you mean, if your car IS repossessed. In that case, IF you dont plan to redeem it, NO. NO car, NO insurance. Once the lender repos the car, they are responsible for the insurance coverage.
You a leasing a car and a month ago you cancelled your insunce bc you weren't driving it anymore and was trying to save money for the wedding only to find out today that it was repossessed by your lea?
you are required under contract, that you sign to get your car, to maintain up to date full coverage insurance on your vehicle
Can a car be repossessed due to cancelled insurance in South Carolina?
You would have to read the specifics of your financing contract. Generally you are required to maintain liability and comprehensive insurance coverage, and if you fail to do so then you are in default on the contract. Sometimes the contract allows the lender to immediately force you to buy their insurance at an outrageous price. Once you are in default, the lender may repo the car.
Can a vehicle be repossessed by the lien holder for not having insurance in the State of Maine?
Yes, if the contract requires that the borrower carry insurance coverage. If the borrower fails to adhere to any of the requirements stated in the written agreement the contract is in default and the lender has the legal right to recover the vehicle.
Should you keep insurance on a repossessed vehicle?
Only if you intend to get it back.
What is the best insurance for a commercial vehicle?
The best insurance for a commercial vehicle is a comprehensive plan that provides not only liability coverage, but also includes coverage for cargo, and the vehicle itself.
Can you repo a car in VA for not having insurance?
Yes. All finance contracts have requirements for providing and maintaining Comprehensive and Collision coverage on a vehicle being financed under the contract. If you allow your insurance to cancel without providing replacement coverage, you have violated your contract and the vehicle will be repossessed.
Can your employer ask for your vehicle insurance to drive their vehicle?
Your personal auto coverage will not cover their vehicles. What they are probably asking for is to make sure you have coverage in case you drive your vehicle on errands or such for the company. If you go to the post office to get the company mail your personal auto insurance will be the primary insurance and then if they have an endorsement to their insurance called "hired and non-owned auto" it will provide secondary coverage over and above your coverage to protect them in case of an accident. Their coverage insists that you as the employee have primary insurance on your vehicle. Also note that the company insurance will not pay for damage to your vehicle.
Does auto insurance cover stolen cars?
Auto insurance will cover the theft of your vehicle if you maintain comprehensive coverage. Comprehensive coverage is generally sold in conjunction with collision coverage. However, unless there exists a lender that requires collision/comprehensive coverage, it is usually not mandated by law as it is considered "first-party" coverage (designed to protect the owner only). Comprehensive coverage also applies to the theft of belongings in the vehicle if they were permanently affixed to the vehicle. For example, if you have an after- market stereo system and sub-woofer that is stolen from your vehicle, it is covered under comprehensive coverage. However, if you leave your purse in the car and it is stolen, it is not covered because it is not permanently affixed to the vehicle.
What does collision coverage What does collision coverage?
In automobile insurance, collision coverage provides for repairing a vehicle when it is damaged due to the fault of the insured. Liability insurance provides for cost of repair of the OTHER vehicle if you damaged it.
