Law & Legal Issues
Repossession
Insurance
Auto Insurance Claims

If a car was wrecked just before it was to be repossessed is it legal to collect the insurance claim and then turn the vehicle over to the bank?

303132

Top Answer
User Avatar
Wiki User
Answered
2015-07-15 19:50:08
2015-07-15 19:50:08

You can collect it if you want, because the lienholder is going to charge you for not having insurance for as many months as they can, and the amount of what it will cost to get the vehicle repaired. I say give them the check, you will owe less.

001
๐Ÿ™
0
๐Ÿคจ
0
๐Ÿ˜ฎ
0
๐Ÿ˜‚
0

Related Questions


Of course not! It wasn't stolen or wrecked, it was taken from you for failure to pay on the loan!Be sure to cancel the insurance.

Since you have a loan you should be required by the lender to have full coverage insurance which will pay you the value of the vehicle. With out insurance you are still responsible for repaying the loan no matter what happens to your vehicle. It is not the lenders fault your car was stolen and wrecked...

Drivers are required to have insurance. If you wreck your vehicle, the insurance company will pay for it. If you are driving without insurance in a vehicle that is not paid for, you still are obligated to repay the money you borrowed to buy the car. It is not the bank's fault that you wrecked the vehicle.

In order to collect on your own insurance you should have reported the car stolen or at least filed a police report that the person who wrecked it took the car without your permission. That is a serious offense. If you don't have that type of coverage then you must sue the person who wrecked it.In order to collect on your own insurance you should have reported the car stolen or at least filed a police report that the person who wrecked it took the car without your permission. That is a serious offense. If you don't have that type of coverage then you must sue the person who wrecked it.In order to collect on your own insurance you should have reported the car stolen or at least filed a police report that the person who wrecked it took the car without your permission. That is a serious offense. If you don't have that type of coverage then you must sue the person who wrecked it.In order to collect on your own insurance you should have reported the car stolen or at least filed a police report that the person who wrecked it took the car without your permission. That is a serious offense. If you don't have that type of coverage then you must sue the person who wrecked it.

The same as a purchased truck that has been wrecked. You will have been required to insure the vehicle. Contact the insurance company and file a claim. An adjustor will determine if the vehicle should be repaired or totaled.

Whomever the car is titled to. You will have to sign the title over to the insurance company since they essentially bought the wrecked car from you.

That would be a particularly bad plan if you hope to keep a good credit score. The bank would have required you to have enough insurance on the vehicle to cover the replacement. If you didn't, you are financially responsible for every dime that is outstanding on the loan. If the truck is wrecked, the difference between the debt and the value is your responsibility.

Yes, unless the amount of the loan was covered by the insurance.

AnswerAfter it's Repaired, it's called a " Salvaged Rebuilt Vehicle". before it's repaired it's called a total wrecked vehicle. Most insurers will not provide insurance for a total wrecked vehicle unless proven that the vehicle was prematurely declared a total loss.This would not apply to cars being rebuilt from the ground up, such as classics

NO, That's what car insurance is for.

its when 70% of a vehicle has either been damaged or wrecked, and insurance has classified it as a total loss. in some rare cases the salvage title could be issued to a stolen vehicle

The Recked Vehicle is rockhoppers ship

If you are willing to charge this driver with auto theft it probably will. If not, the insurance company will assume you are giving him permission after the fact.

If it costs more to fix the vehicle than the insurance is willing to pay, you buy a new or used vehicle. Your old vehicle is considered "totalled."

they should as long as the permit holder had a licensed driver with him. now, it would help if that person was on the policy.

Yes, you are still responsible for the loan no matter what happens to the car, hopefully the insurance payout covers what you still owe on it.

When a vehicle covered by insurance gets wrecked, the insurance company looks at how much it will cost to repair. If repairing the bike costs more than it is worth, then the insurance company declares it totaled and pays for a replacement.

If you buy a car, lend it to a friend and it get wrecked then you have to get it reposessed with a bk. What can the creditor do if the car is wrecked? Even after the bk can you be charged for missing or broken parts?

Totaled vehicles which have been rebuilt generally have a "salvaged vehicle" title, or whatever it's called in your state. Vehicles with a salvaged vehicle title are by definition, not as valuable as the same vehicle with a clean title. If the vehicle is subsequently in another collision, the insurance company will not pay as much since the loss was not as great. Insurance companies only need to pay you for the actual value of the vehicle.

Unfortunately if you do not have comprehensive insurance on your vehicle, there is no way to get it retroactive, or after you get in an accident. If it was the other driver's fault then their insurance should pay for your repairs.

yes. at least on my insurance company's web site. So see if yours has a website to do this. If you wrecked the car yesterday they won't backdate a policy today.

Then they will repossess the wrecked vehicle, sell it for what they can get, apply that to the loan balance, and you will be responsible for the balance on the loan. They will sue you in court to get it and will win. Now if you continue to make the loan payments, then none of this will happen. Did you not have insurance on this vehicle?


Copyright ยฉ 2020 Multiply Media, LLC. All Rights Reserved. The material on this site can not be reproduced, distributed, transmitted, cached or otherwise used, except with prior written permission of Multiply.