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If you have full coverage and your vehicle get stolen and the insurance would pay the blue book value do you have to pay for the rest of the loan?
Wiki User
∙ 19y ago
You are responsible for the difference in what the car is worth,(Insurance Payment) and the balance of the loan. Insist the insurance pay you the NADA retail value of the car, not the Blue Book value.
Wiki User
∙ 19y ago
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What happens to your title loan if your vehicle is stolen and wrecked?
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...
Does a insurance company have to pay for your stolen car if you have full coverage ins?
If by Full Coverage, you mean you also purchased Physical Damage, aka damage or loss of your vehicle and the car was confirmed stolen, preferrably via police report, the company will typically pay Actual Cash Value for your car, less your deductible.
What do you do if it costs more to fix a wrecked automobile than the vehicle is worth?
If you have physical damage coverage on your policy and the cost to repair the vehicle is more than the value of the vehicle then the insurance company will total the vehicle. In the case of a total loss, the insurance company will pay you the actual cash value of the vehicle less any deductible you have. On all insurance policies, where you have physical damage coverage, the insurance company has the option to repair the vehicle, pay the actual cash value of the vehicle, or replace the vehicle. Companies never replace the vehicle.
What does gap insurance in Virginia do?
It is different from regular insurance because it covers you for the difference between your car's value, and what you owe on it if you have an accident that totals the car, or the vehicle is stolen. If you are making payments on the vehicle, and you owe more than its value, your GAP insurance will cover the difference.
If a vehicle has 'full coverage' and is stolen how much will the insurance company pay out?
if it is recovered and repairable they will pay to repair less your comp deductible, if not recovered they will pay the actual cash value of the vehicle less your comp deduct, also sales tax (or credit) title/licensing fees etc......
If your car is stolen how does the insurance know the value of car?
The year of the vehicle maybe low blue book and your upgrade Receipts.
If you have full coverage how much will your insurance company pay you for your stolen car?
Most insurance companies will only pay the blue book value of the car at the time that it was stolen. Check the Kelley Blue Book or the National Automobile Dealers Association for approximate values.
What does gap auto insurance cover?
Physical damage coverage on an auto policy says that the insurance company has the option of paying to repair, replace, or pay the actual cash value of the vehicle. In the case where the damage to a vehicle's cost to repair is more than the ACV of the vehicle the vehicle is totalled and the company will pay the ACV of the vehicle. Sometimes when you buy a new vehicle without much or any downpayment you quickly get "upside down" in the loan. As the value of the car depreciates, the loan balance doesn't fall nearly as fast. For the first couple of years you owe more than the value of the vehicle. The insurance company has nothing to do with auto loan. GAP insurance was created to cover the difference in the ACV of the vehicle and the loan payoff. You can buy GAP insurance from the finance company or bank that financed the vehicle or from your insurance company. Purchasing from the insurance is much less expensive and you can drop the coverage once the loan balance falls below the value of the vehicle.
When to drop full coverage car insurance?
You should only drop the physical damage part of your insurance if your vehicle is paid for in full and when you no longer would need help replacing or repairing the vehicle if a claim occurs. Also you could say that when the price of the physical damage coverage exceeds the benefit of replacing the value of the vehicle.
Can insurance cover more than the used car is valued at Example Paid cash 22500 for vehicle with ttl it came to about 24000 Insurance is saying they can only cover 21200?
Insurance will pay to repair, replace, or pay the actual cash value of the vehicle at the option of the insurance company. On a new vehicle that is financed I always recommend that the client purchase GAP coverage. GAP coverage pays the difference in the actual cash value of the vehicle and the balance of the loan or lease payoff. This is a good idea especially in the first year or so after the vehicle is purchased. The first year a new vehicle depreciates so much that the GAP coverage can really help out. The cost of GAP insurance from you insurance company is much less than purchasing it from the dealer.
Could you denied full coverage from your insurance company base on the age of your car?
Of course. Most insurance companies will not write physical damage coverage on vehicles over 15 or 20 years old. The reason for this is the wide discrepancy in the value of the vehicle of that age. Many companies will write coverage on an antique basis where you get an appraisal from an expert and that way you and the insurance company agree up front as to the value of the vehicle. This way they can also have a way of accurately rating the risk.
How to Determine If You Need More Than Liability Auto Insurance?
Buying your own auto insurance can be a confusing and intimidating process. While it might seem like something that should be straightforward, there are actually a lot of things to take into consideration when purchasing car insurance. An auto insurance policy can actually include several different types of insurance that protect you in different situations. If you follow the steps laid out here, you should have a thorough understanding of the different types of auto insurance available and what you need to protect yourself. • First, understand what car insurance is. The type of auto insurance most states require is known as liability auto insurance. This insurance protects you from any damages you inflict on persons and property. For example, if you get into a car accident, this insurance would cover damages to the other person’s vehicle, the other person’s medical bills, and would cover you if the person you hit sued you (up to the maximum value of the policy). • While liability coverage forms the core of your auto insurance coverage, there are other types of auto insurance as well. Collision coverage protects your investment in your vehicle if you are the cause of an accident. If you have an expensive vehicle or have an outstanding car loan on a vehicle, it may make sense or even be a requirement to purchase collision coverage for that auto. • There is also a type of coverage known as “comprehensive” or sometimes “other than collision”. This type of coverage basically covers other things that could happen to your vehicle – including having it stolen. Again, depending on where you live and whether or not you have an outstanding car loan, this coverage may be appropriate. • Many insurance companies also offer a number of specialty coverages, such as tow insurance, rental car insurance and so on. Carefully consider the cost of these services versus the cost of the coverage and the likelihood that you’ll use it. Purchasing your own car insurance can be a confusing process. How much and what coverage do you need? Most states require drivers to carry liability insurance, but what about the other types of coverage? Depending on your own driving habits, the age and value of your vehicle, the cost of coverage, and whether or not you have any outstanding car loans, you may want to consider purchasing additional coverage for your vehicle.
