Insurance and loan lienholders...

[Tekdemon]

So per se you were in a rather nasty accident, and you had a lien on your title from where you got your loan. What exactly goes on with your repair!?

I remember seeing in the contract for PeopleFirst.com something about how all insurance payouts are supposed to go to them first...

What do I do?

[IownAmaxima]

I was in an accident (someone hit me). I took it to get an estimate, the other guy's insurance demanded to inspect it so I brought it to them... they ultimately agreed with my first quote and sent me a check, made out in my name... NOT the bank's.

The check should be made out to YOU.

[Tekdemon]

I hear that's how it works if it's the other person's insurance, but right now I don't know whose insurance is paying what because there was more than 1 other vehicle involved, so god knows how the companies are going to divide up the responsibility or whatever...

Since my ins. co has my lienholder info, I think any payouts from MY ins. co. would be a problem, whereas any payouts from the other vehicles would probably be made out to me...ugh the headaches...

And I looked online and supposedly there are some nightmares where ins. co's claimed they paid your lienholder but your lienholder claims they never got paid...*shudder*

[IownAmaxima]

Unless you're trying to do something shady, like make a lot of money off the accident by getting quotes for thousands more than the actual damage, you really shouldn't worry.

You can always call your insurance company anonymously as a "prospective customer" and ask exactly what they'd do in this exact situation. They'll never know it's you and you'll see what the whole process is going to be.

[todaCspec]

Originally posted by IownAmaxima
Unless you're trying to do something shady, like make a lot of money off the accident by getting quotes for thousands more than the actual damage, you really shouldn't worry.

You can always call your insurance company anonymously as a "prospective customer" and ask exactly what they'd do in this exact situation. They'll never know it's you and you'll see what the whole process is going to be.


That is probably why the rest of us end up paying higher premiums than others.

[Tekdemon]

Originally posted by todaCspec

That is probably why the rest of us end up paying higher premiums than others.

Well, I hope you're not insinuating that I'm a fraud or something. I'm just worried that the loan company will get paid off and then I'll have to come up with another $7000 out of my pocket to repair my car myself!

But I guess I shouldn't worry too much, although I'm going to go fire sale all my stuff on ebay just in case I have to offset what the loan company takes. I tallied it up and I own about $1000 worth of stuff I could sell on ebay...pissy

[IownAmaxima]

HOLD ON!! Slow down a little.

I think you're forgetting something... the bank (loan company) technically OWNS your car so it's in their best interests to get it fixed. If they take the check and don't fix your car, then you default on the loan, they're actually going to lose that money and then some. It's not a chance most loan companies are willing to take. They're going to fix your car... don't worry. I think you're letting a few horror stories get you riled up.

If you want to feel better about the whole process, see if the garage that fixes your car will deal with the insurance company and/or bank directly. That way the check goes to the bank and the bank has to pay the garage, not you, so you won't have to have any out-of-pocket. It might work.

todaCspec, I'm not suggesting he defraud anyone. I'm suggesting he call the insurance company to find out what the process is. I did it when I had my accident and it made me feel better knowing (anonymously) what my insurance company SAID they would do and then getting to see what they ACTUALLY did. It was close but not exactly the same. It also made the whole process a little less stressful.

If someone plans to defraud the insurance company I hope they burn in hell. But knowing your insurance company's rules so they can't leave parts out and make you pay when you're not supposed to is just smart business.