Blanket Vehicle Single Interest
Blanket Vehicle Single Interest Plan
Minimizes the Lender’s exposure to losses resulting from a borrower’s failure to acquire and maintain adequate physical damage insurance on vehicles.
No insurance monitoring is necessary; the only requirement is
that your original loan documents contain a provision requiring borrowers to provide required insurance coverage.
Only the interests of the Lender are protected, no protection is provided for the borrower.
All Risk Physical Damage
This coverage is the basic, required coverage. Vehicle collateral is protected against direct loss resulting from all risk physical damage perils. The way it works is simple. If a vehicle is damaged and the borrower defaults and the Lender is forced to repossess, the company pays the lesser of:
cost of repairs, actual cash value or loan balance.
Instrument Non-filing Insurance
Provides protection in situations where the Lender has unintentionally not recorded or filed the instrument on non-title vehicles or errors on titles occur, such as inadvertently failing to record your lien on the title.
Confiscation & Skip
If the Lender cannot locate the borrower, co-borrower, guarantor or the vehicle, or if the vehicle is confiscated by a law enforcement agency, the Lender is protected.
Coverage After Repossession
This coverage provides all risk physical damage for a period of 60 days while repossessions are held by the Lender for resale.
Conditions Precedent to Liability
In order to establish an eligible claim, four basic conditions must be met:
- Customer has defaulted on payments.
- Lender has repossessed the vehicle(s) or established an eligible claim under optional coverage indicating proof that a professional effort was made to repossess within 90 days of delinquency.
- Lender’s interest has been impaired. A covered loss reduces the value of vehicle to less than net pay off of loan.
- There is no other valid insurance in force.
For more information contact us at 763-512-1950 or fill out the form on this page.