Question

Am I covered if I insure the vehicle but I'm not listed on the vehicle

Our car was purchased in SC, but it's registered to someone who lives in IL. The dealership here sent all the paperwork to her, she signed it, and we got the car. We carry insurance on it, but I'm worried since we are the listed drivers and she's never even set foot in this state that in the event of an accident we won't be covered even if we have insurance.

Apr 19, 2018 Charleston, SC

Answer
Ava Lynch

Apr 19, 2018

These situations can be a bit tricky when it comes to coverage for insurance. Insurance companies will tell you that you need "Insurable Interest" in what you are insuring. This is to say you have possession and use the vehicle. Since you own the vehicle, that's not the issue here. The issue has to do with the registration. I would definitely recommend getting the vehicle registered in your name and your state. This will help alleviate any issues in terms of future claims and claims payouts. Your insurance might not pay out to the lien on the account if it is financed to the vehicle owner. You can update the registration information to it's current information through your state DMV's website.

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