Auto and Car Insurance

Liability insurance on a financed vehicle.?

so back in July I got a used vehicle from the dealership I had just started working at. When it came time for proof of insurance I gave them my insurance card and thery made a copy and that was that. Well last week I was in an accident which totaled the car. Now I realize I was supposed to have full coverage on the financed vehicle, and the insurance refuses to take the blame. They never asked when we added the car to the policy if it was being financed or not, as well as the lender Chrysler Financial never verified that the vehicle had insurance at all. What do I do? I have a totaled car that can't even be sold for parts because I owe close to 7K on it, I am unable to drive it. Who's fault is this, no one verified that there was full coverage on the car, and I have to keep paying on it? should I get lawyer?

Public Comments

1. I think you are sunk. The requirement to have financing on the vehicle is Chrysler Financial's policy, not law. If they didn't have that policy and you didn't carry complete coverage, you would still have the same problem. Someone at CF could get in trouble for not making sure their policy was enforced but you still owe them the money.
2. THEY SHOULD HAVE NEVER LET YOU DRIVE THE VEHICLE OFF THE LOT WITHOUT PROOF OF FULL COVERAGE INSURANCE BUT THAT'S WATER UNDER THE BRIDGE NOW. AS FOR WHAT YOU CAN DO, WELL AT THIS POINT YOU HAVE NO OUTS AND GETTING A LAWYER WILL NOT WORK BECAUSE NO LAWYER CAN HELP YOU. TRY THIS AND SEE IF THEY CAN HELP YOU BECAUSE I THINK THAT AT THIS POINT YOU ARE STUCK. CHECK WITH THE BOARD OF INSURANCE WHICH IS ON LINE AND SEE IF THEY CAN HELP YOU.
3. This is not your insurance companies fault. You should have told them up front that the vehicle you are adding is financed and needs full coverage. You should have known you needed full coverage.
4. Well.... This is the part where they are going to tell you that you are supposed to read your contract..... Your monthly statements from the finance company likely had a section that said something about you maintaining full coverage. Per your contract with the insurance company - YOU, the named insured - are responsible for advising the insurance company of any new vehicles purchased within 30 days of the purchase. It doesn't sound like you actually added the car to the policy - you said you gave your insurance card to the dealership and that was that. They have to ask for your insurance card to prove you have insurance. A dealer doesn't know his head from a hole in the wall yet alone the difference between liability and full coverage. (Most people don't so you can't blame them) If you actually added the vehicle to the policy - the insurance company needs to know who the owner is. If you were making payments on the car - you are not technically the owner. Sooooo - they would have had to ask that........ Sounds like you are between a rock and a hard place. Even if the vehicle is totaled you are likely going to have to keep paying the lein holder...because you signed a contract saying you would pay them "x" dollars..........no matter what. Sucks. I don't envy you. good luck, though. ~jifr!
5. Just out of curiosity, do you have a local insurance agent or do you go on-line to get your insurance? The first thing we do when a person adds or substitutes a vehicle is ask "Is there a lien on the car and do you need "full coverage?" The F&I guy at your dealership should have gone over the paperwork with you at time of sale, but, you might have had your mind on other plans. Looks like you've got a car that you can turn into a "work of art!" Bottom line - YOUR fault....you shoulda KNOW better! Good luck and I hope this helps!
6. I belive the onus is on you. It's like trying to blame a person who sold you a record player that doesn't play CD's. You should know full and well what is needed before you even picked the vehicle up. Sure it would have been nice if someone would have told you but they are not obligated to and if anyone should have told you it should have been your insurance company
7. Why should they verify the coverage. I'll bet if you read the fine print on your paperwork, you'll see that you agreed to maintain full coverage on the vehicle at all times, and with a specific deductible limit. Why is this their fault?