Automobile Insurance Policy Decatur, Illinois IL

Reader’s Question:

I gave my friend a vehicle as my gift and it is under my name. There is a loan on the vehicle. My friend would like to purchase car insurance on it in Decatur Illinois and we are just wondering if it is possible for him to obtain car insurance if the vehicle is under my name?

Allan

Decatur, IL

It may not be easy for your friend to find car insurance carrier in Decatur Illinois that would insure the vehicle since he does not have insurable interest on the vehicle since he is not on the title or registration on the car. I suggest that you speak with your car insurance provider and see if your friend can purchase a car insurance policy under his name.

If your friend is able to find car insurance policy for the vehicle that is under your name, you may also speak with your lien holder and the Department of Motor Vehicle to be sure that you no longer need to continue the coverage on the automobile. The lien holder probably require that you are under the car insurance policy. The Department of Motor Vehicle to continue the coverage on the vehicle since it is registered under your name. The loan company and the Department of Motor Vehicle will be able to inform you if your friend may be able to purchase car insurance under his name if the vehicle is registered under your name only.

Update: Some insurance companies are beginning to allow the named insured is not the registered owner.

Tags: auto insurance