by winniechamberlain » Fri Feb 20, 2009 04:54 pm
we are lein holders on an auto involved in accident...our customer not at fault...other parties ins (State Farm) paid the claim directly to our customer...she did not have repairs done...we now have possession of the car...but State Farm says they do not have to make the check payable to protect our interest due to a 3rd party claim...told me to fax thm a statue showing they have to protect lien holders interest....
loosing out in texas
loosing out in texas
Posted: Wed Jul 22, 2009 05:52 am Post Subject:
If I am into an accident but never let my lien holder know about it, how would they go about then in perfecting the lien to get the claim check directed to them?
Am I obligated to inform my lien holder about accidents so that they can get their portion paid?
Posted: Wed Jul 22, 2009 01:24 pm Post Subject:
If I am into an accident but never let my lien holder know about it, how would they go about then in perfecting the lien to get the claim check directed to them
When you buy a vehicle your lien holder puts your own carrier on notice of the lien right then and there. If you're filing with a 3rd party carrier, they won't have been put on notice ahead of time.Am I obligated to inform my lien holder about accidents so that they can get their portion paid?
You'd have to read your contract with the lien holder.The only time this is going to matter is if you stop making payments to your lien holder. Otherwise they won't really care.
Posted: Thu Jul 23, 2009 03:53 pm Post Subject:
The 530A Loss Payable Clause (issued in Texas) is added by endorsement to the PAP when an insured lists a loss payee (aka lienholder) on an automobile insurance application. This is a separate endorsement than the Additional Insured endorsement, as they trigger different coverages.
The 530A Loss Payable Clause states "Loss or damage under Coverage for Damage to Your Auto shall be paid as interest may appear to you and the loss payee shown in the declarations or in this endorsement..."
In addition, the endorsement states the insurer will provide an advance notice of cancellation to the loss payee as they give to the insured.
Therefore, in 1st party claims where this endorsement has been attached, the insurer will pay the loss payee, as their interest applies to the vehicle.
In most cases, the lienholder will require proof they have been added to the policy as this is typically a provision included in the contract to purchase the vehicle. In the event the lienholder receives a cancellation notice, most lienholders will force place insurance on the loan to ensure their interests are protected.
The Additional Insured endorsement is used to trigger liability coverages. It is typically included when a vehicle is leased as the lessor is financially responsible for damages caused by the vehicle since they are still the titled owner.
On a side note - Texas hasn't issued nor renewed an LRA (Local Recording agent) license for many years. An agent's license in Texas is now referred to as a General Lines license and has been for some time.
Posted: Fri Jun 03, 2011 09:56 am Post Subject: eURNBOMzWpQxJiNku
Lien holder right.. Slap-up :)
Posted: Sat Jan 04, 2014 01:37 pm Post Subject: My lien holder & my car accident
I had a car accident, I was hit from behind sustain injuries, my car is being repair by the insured that hit me and I am in therapy . I get a call from my insurance co. saying that my lien holder has filed a claim on my ins. co. and all so stated they has repoed my car. I am current on my car payment and my car is being repaired by a place of my choice. can they repo my car. what rights do they have to repo. my car? I never received a contract after purchasing the car.
Posted: Sat Jan 04, 2014 03:24 pm Post Subject:
can they repo my car. what rights do they have to repo. my car
This is not an insurance question, you should have posted a new thread and you should call your lien holder and discuss _why_ they repo'ed your car first. Since you don't even know _why_... you can't go any further.
Posted: Mon Jun 15, 2015 05:25 pm Post Subject: To Lien or not to Lien
Someone hit my truck at a convenient store and they gave me all the information I needed to file with their insurance company. The problem is my lien holder is in Las Vegas Nevada and I am in Texas. The other parties insurance is in Waco, they made out the check to myself and claimed they HAD to add the lien holder on the check and now my lien holder will not endorse the check for me to take to a shop. Can I get the insurer that was at fault to re-issue a check to myself? Thank you in advance for your great insight!! :)
Posted: Mon Jun 15, 2015 05:29 pm Post Subject:
If you wanted to press the issue you could probably argue that they have no obligation to add the lienholder so they should not. However, they can simply not change the check. The real problem is why you cannot simply work with your lienholder to get the check cashed and the vehicle repaired.
Posted: Mon Jun 15, 2015 05:31 pm Post Subject:
I requested for them to endorse the check and send it to me so I can take my vehicle to get repaired and they said that is not an option.
Posted: Mon Jun 15, 2015 05:37 pm Post Subject:
Usually lienholder require proof that repairs were done. Find out from them how to do this. You probably just need to have it repaired and then the shop can send confirmation. The lienholder will then endorse the check.
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