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2011-01-03 01:07:49
2011-01-03 01:07:49

Ordinarily, the lender will require, as part of the terms of the loan, that the vehicle be kept insured for physical damage, so as to protect the value of the collateral. Damage can be done even if the car is not driven, such as by fire, storm damage, or similar occurrences which could be covered by comprehensive coverage.

The loan documents will generally provide that in the event insurance is not maintained, the lender can secure physical damage coverage on the vehicle to protect its own interest. The cost of that "single interest" coverage is usually disproportionately high and will be added to the loan balance.


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Insurance is required by loan companies and many states if you have the vehicle registered. If you don't have a loan and you don't drive the car you should be able to drop the coverage. You may be able to get a waiver from the state if they want proof of insurance on a vehicle that isn't being driven but has valid plates.

If the car is registered, meaning that it has license plates, it must have liability insurance. If you hace a loan, the bank probably requires insurance. If it is just sitting on private property without tags, no insurance needed.

No. It cannot be driven on a public road. However, IF there is a loan on the car, the LENDER can require that it be insured until the loan is paid off.

Usually you can get a personal loan insurance from the bank you are taking the loan from, or from an insurance company. There are also several website throughout the web, where you can get loan insurance.

Do not know what you mean by 'insurance loan'?

If your lender requires you to have insurance during the loan period, then yes. Also. If you are driving , then yes. If the vehicle is not on the road being driven, then no. But, know that if you just drive the vehicle to your next door neighbor's house and you have an accident (collision), then you better have insurance or you could wind up having to pay a huge fine and/or have your lincese suspended and/or have your prospects for a future car insurance company require you to pay alot more for car insurance.

If the vehicle is/was encumbered by the original loan then it should be insured. If there is no insurance or the insurance does not cover theft the purchaser is still responsible for the full amount of the loan. The issue of the vehicle being stolen does not affect the legal responsibility of the buyer to honor the loan contract.

One can get a loan for life insurance from a few locations. There are a few banks that will allow you to take out a loan using your life insurance payout as collateral.

Loan insurance protects you in event of something happening. If you die, your relatives are not responsible for making loan payment. I highly suggest loan insurance to everyone who wishes to take out a loan.

Most Loans Have An Insurance On The Person The Loan Is Made Out To. Check This Out, Get A Copy Of The Contract. If There Is Life Insurance AOn The Person That You Cosigned For, Then The Loan Should Be Paid Off By Insurance On Loan GOOD LUCK

By co-signing the loan, they are guaranteeing that you will repay the loan. They do not need to be on the auto insurance policy, but it would be in their best interest.

Yes one can, but almost all companies providing financing will require you to obtain and have insurance with specified levels of coverage immediately after purchase (if not before even approving the loan) if you don't already have it to protect their investment. If you do not get the insurance required within their time limit, they have the right to call the loan and demand its full repayment or repossess the car.For example the CU I financed my first car with wanted proof that I had made at least an initial payment on insurance with $250 collision and $100 comprehensive coverage before even approving the loan.So while it can be done its rarely practical to do. Its really up to the lender.Of course, your state will still require either liability insurance or posting a bond for the car to be legally driven! But thats a separate issue from financing when you don't yet have insurance.

yes you can get a auto loan without a license but you can not get auto insurance with out one and you can't complete the loan closing without insurance.

They will not repossess a vehicle unless you have defaulted on the loan. Defaulting on the loan is being late with the payments. Call the lender and talk to them.

Your homeowners insurance in the United States must by law cover the value of the home being insured with no more than a 20% deviation. This may be more or less than the amount of your loan. No insurer will knowingly sell you a home insurance policy below the home value as such an insurance contract would be invalid. Homeowners insurance is for the home, not for the loan. You can purchase your homeowners insurance based on actual cash value of the home or on the replacement cost of the home. If you only want to insure a mortgage loan amount, that's what mortgage insurance is for.

The usual terms for a home equity loan are that the person takes out the loan using their home as insurance against the loan not being repaid. The loan can last any number of years depending upon its size and length agreed with the loaning company.

Yes, if the line of credit is a home equity line where the home is the collateral for the loan then you will have to prove that you have insurance on the home for the home equity loan. Any time you use collateral for a loan then part of the loan agreement will involve proof of insurance on the collateral.

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.

Contact the company that has your loan. They would love to help you get GAP insurance seeing as how you would being paying for something that benefits them as much or more than you.

Allianz is a servicer of business interruption insurance. If you have a small business loan, check with your loan provider as well to see if they can offer you this type of insurance.

Either insurance or the estate. Some lending institutions provide "credit life insurance" which pays off the loan. If that is not part of the loan, the estate will be required to sell assets to cover the loan.

If they gave you 16000 on the car, you would not need gap insurance since your loan amount is 12400.

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