Hey everyone,
I had my car totalled out in an accident that was not my fault. Their insurence handled the claim after a bunch of back and fourth of me trying to get different estimates to see if it could be saved. Long story short I recieved a check in the mail the other day from the lienholder due to an overpayment from the insurence paying off the loan on the car (I was continuing to make payments the entire time since it was recommended to me).
My main question is given all the above should I be worried about the insurence coming to me asking for that money back or is it just mine to spend? I originally was just not going to spend any of it for three or so months just to make sure if they did come after it I still had it and could pay it….
Thanks in advance for any information or help provided!
Question about insurence paying off lienholder.
byu/nubbinyou inInsurance
Posted by nubbinyou
1 Comment
The way you’ve described it you’re all good to use that money.
You just owed less than the car was worth. Insurance is meant to keep you whole for the total value of the loss. So if you owed $10k and the car was worth $14k. The lienholder gets their 10 back and you keep the remaining 4.