I am looking to purchase a new vehicle in the near future and I am unable to afford the high costs for Comprehensive and Collision Insurance of a newer model vehicle at this time. I was hoping that there would be a way that I could only maintain liability until I am able to afford full-coverage.
2007-06-22 12:11:23 · 5 answers · asked by derek1540 1 in Cars & Transportation ➔ Insurance & Registration
Only if you pay cash for the vehicle. Banks and financial institutions require this in the event that you wreck the vehicle. Sorry cannot be done
2007-06-22 12:17:34 · answer #1 · answered by Pengy 7 · 0⤊ 0⤋
No. Finance companies require that you carry full coverage because they are part owners of your car and they want to be certain in the event of an accident that the repairs will be made. They have a vested interest as the vehicle is their collateral.
Just an fyi, I see lots of people buy new cars with full coverage and let the policy lapse shortly after just so they can buy a new car. Then they get in an accident, and they're sued by either the other driver or the lender. Not a pretty sight just so one can drive a new car they can't really afford. I highly recommend either waiting or looking into a newer vehicle with less expensive rates (a used 4-door sedan with a high safety rating). Then you'll have the best of everything-a newer car, affordable insurance, and a vehicle with a higher resale value.
2007-06-23 07:49:03 · answer #2 · answered by Hoorayforthat 3 · 0⤊ 0⤋
in simple terms out of interest, do you have a community coverage agent or do you flow on line to get your coverage? the 1st element we do whilst a individual provides or substitutes a vehicle is ask "Is there a lien on the vehicle and do you elect "finished coverage?" The F&I guy at your dealership could have long previous over the workplace work with you at time of sale, yet, think approximately had your concepts on different plans. seems such as you have have been given a motor vehicle which you will substitute right into a "paintings of paintings!" final analysis - YOUR fault....you shoulda comprehend extra effective! solid success and that i desire this helps!
2016-10-18 10:06:33 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Sorry to say but I don't think that is possible. I don't think it is the insurance companies to blame wither, it is the car dearship and the financing institution. The reason that they want to make you have comprehensive and collision insurance is to protect their investment. Since you are borrowing money to pay for the car, they have a stake in the car, and want to ensure it holds its value and thus their investment holds its value.
2007-06-22 12:17:30 · answer #4 · answered by Anonymous · 1⤊ 0⤋
Nope. Full coverage is a requirement. If you DON'T buy it yourself, the bank or finance company will cover the car with their own policy, but it won't cover your liability and you'll have to pay extra for the coverage they provide.
2007-06-22 13:11:17 · answer #5 · answered by Resident Heretic 7 · 0⤊ 0⤋