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When your car is repossessed when do you cancel your insurance coverage?
Wiki User
∙ 13y ago
The same day that you determine you aren't getting it back. It would be wise to wait until then because if the bank repo'd it to kinda just remind you that being 3 payments behind isn't a good thing, you might get it back and then you don't have to go through the whole insurance application process again.
AnswerYeah for sure do not cancel anything until it is no longer in your name either. I'd wait until the title transfer is complete as well. AnswerYou should cancel your insurance the moment your car is repossessed.The moment the car is hooked up(as the above two repo morons will tell you)it is no longer your car.So if you would like to cover someone elses vehicle with your insurance you go right ahead but you are wasting your money and your insurance coverage.Dishonest repo guys(like the above two scumbags) want you to keep the insurance on the vehicle so if they damage the car or steal stuff from it it will go on your insurance.ANSWER Amendment:
Never cancel an insurance policy until you have a new policy in place. If you do it will cost you more in the long run. Insurance companies are looking for loyalty and longevity without lapse in coverage. Sometimes you can possibly suspend, cancel or reduce coverage but never cancel it.
The moment the vehicle is repossessed does not release you from the contract agreement. Read it. In most cases until the vehicle is transferred out of your name via the title of ownership, you must maintain physical damage coverage or they can force place it and take the premium out of the proceeds.
Reduce to minimum but don't cancel it.
Wiki User
∙ 13y ago
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When a car is repossessed what do you do with the insurance?
When a car has been repossessed the person paying the insurance should cancel it.
What do you do about your car insurance once your car is repossessed?
Cancel your policy.
Should you cancel the car insurance on a repossessed car in NJ?
yes
Should you cancel the car insurance on a repossessed car in Florida?
Yes of course you should!
Can a car be repossessed because of no collision insurance when standard insurance was active on the car?
If your contract requires full coverage and you do not have full coverage, you are in violation of the contract.
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.
Will insurance pay for a repossessed car?
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.
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.
Can a car be repossessed for not having tags?
No, only when you are required to have full coverage insurance and you dont, and the obvious that you do not make a payment.
Can a loan company in California have your car repossessed if you haven't been able to carry car insurance?
YES, if you are in DEFAULT of the contract (NO ins. coverage) they can repo.
If your car has been repossessed are you required to continue insurance and for how long?
Once your car is repossessed, it is covered by the repo companys and the lenders VERY expensive ins. No need for you to maintain coverage UNLESS you plan on redeeming it ASAP.
In Pennsylvania can you immediately cancel your car insurance if the car is repossessed?
if you don't plan on getting it back that is what to do. but most insurers in pa are notifying pa that you canceled insurance ant they suspend your plate for 90 days.
