I was found not liable, the damages are estimated at 6k. I have no time to drop it off to a shop of my choice so I asked for a check for the amount of damage caused so I can go when I have time. They are saying they can’t write me a check for the damages because I’m paying the car off???
Got rear ended, looking to get paid but can’t?
byu/sonic72391 inInsurance
Posted by sonic72391
6 Comments
If you have a lienholder then if they issue a check it has to have you and the lienholder on it. You can ask if they can issue it that way, but you will have to figure out how to use it with the lienholder on it. You can ask your lienholder the best route to take.
Are you financing? If so, the money belongs to the finance company, not you. When it comes to insurance, it’s not your car until you’ve paid it off.
Obviously, the finance company wants the car repaired so it still serves as adequate collateral. If it’s not getting repaired, you’re not getting the money. The insurance company will pay the shop, and they might write a check to the lien holder, but they’re not going to give one directly to you.
If they do that, you could always pocket the funds without getting the car fixed, and the finance company is faced with having a loan with significantly devalued collateral.
Your lienholders is an additional insured in your vehicle until it’s paid off.
They require insurance for cases specifically like this. Unrepaired would decrease the value of their collateral. your car.
Depends if you own the title or not
You have to take it to a body shop. Thats how it works
You drop it off, and get it fixed. Any money paid out either goes to a body shop or the lien holder, once the lien is satisfied you would get the balance, if any.
The at fault insurance should pay for a rental if you ask, and most reputable body shops can arrange for the rental to be dropped there or get you a ride to the rental place.
It’s also very possible the damage will cost more than the initial estimate. The body shop knows how to deal with this, and will take care of it. If you take a check today for $6k, and go to a shop next month and it costs $10k you’re out of luck. If you take it to a shop now, and have then deal with insurance they will deal with overages, and negotiation.