- First of all, you need to know “Three names of insurance”
- Applying for financial car insurance: Explanation in Q&A format
- Summary of points to note when purchasing financial car insurance
- Summary
First of all, you need to know “Three names of insurance”
SBI Insurance・Mitsui Direct Sompo Insurance・Aioi Nissay Dowa InsuranceAccording to public information such as , there are three names that appear on car insurance.
① Contractor
A person who signs a contract with an insurance company and pays insurance premiums. You don’t necessarily have to be a car owner.
② Named insured person
The person who primarily drives the vehicle. The most important name in which the scope of compensation is determined based on this person.
③ Vehicle owner
The person listed in the owner column of the vehicle inspection certificate. Sometimes it is a loan company or credit company. This is a problem for financial vehicles.
Applying for financial car insurance: Explanation in Q&A format
According to an explanation from SBI Insurance, “Some insurance companies do not allow car insurance if the owner of the car is someone other than your spouse or relative.” If the loan company is the owner, some insurance companies may refuse to underwrite the property.
There are some insurance companies that allow you to join, but even in those cases,Vehicle owner declaration requiredFalse declarations can lead to non-payment of insurance benefits.
Compulsory automobile liability insurance is attached to the vehicle, so it can be transferred even to a finance car. However, according to information from SBI Insurance, it is recommended that you change the name on your compulsory automobile liability insurance, and by changing your name, you will receive renewal notices correctly.
According to an explanation from Mitsui Direct Sompo Insurance, “The person who receives the vehicle insurance money (insurance money for damage to the contracted vehicle) is the vehicle owner.” In other words,In the case of a financed car, the loan company (owner) may receive the vehicle insurance proceeds.There is.
Even if you lose your car in an accident, there is a possibility that the insurance money will be paid to the loan company and you will never get it back.
According to information from SBI Insurance, “Generally, it is not possible to inherit a friend’s auto insurance policy or class.” You cannot simply use the grade that the original owner of the finance car had. A new contract is required.
Summary of points to note when purchasing financial car insurance
Things to check before purchasing insurance
- Check the owner of the vehicle inspection certificate:If the owner is a loan company or credit company, prior consultation with the insurance company is required.
- Honestly report the owner’s situation to the insurance company:False declaration risks invalidation. Check if it can be accepted
- Check the beneficiary of vehicle insurance benefits: Understand in advance the possibility that the owner (loan company) will receive the loan.
- Check the outlook for name change: Understand if and when you can change the name after the loan is paid off.
- Consider not buying a finance car in the first place: Comprehensive judgment of insurance complexity and risk
Summary
- Automobile insurance may be available even if the owner, policyholder, and named insured are different.
- However, some insurance companies may refuse to accept the insurance (for example, if the owner is not a relative)
- Vehicle insurance proceeds may be received by the vehicle owner (loan company)
- The grade (non-fleet grade) cannot be inherited from the original owner.
- False declaration by the owner will result in non-payment of insurance claims. Be sure to report honestly
- Even before insurance, there remains the risk of repossession of the financed vehicle itself and the inability to change the name.
