Bankruptcy and Car Insurance

Brucelee41042

I have a friend that is desperate need of a new car. So he went to a sub-prime lender through a dealership and got an OK car with a high interest rate. Obviously he needs insurance, and wants the cheapest option.

So, right now, he is under his mother, and his rates were cheaper....obviously. Well, his mother is filing bankruptcy. So is it possible for her to add this car to the insurance without co-signing the loan and title? And if that is possible... when she files bankruptcy, will the insurance be dropped?

Just kinda wondering

EDIT: He has a DUI as well... a quick quote on Geico gave him a monthly rate of somewhere like $350 a month...

GothicLargo

That's several questions bundled into one. Regarding the car and insurance, that's a question for his mother and him to discuss with their agent because the rules on it will vary between companies. Some will let a parent extend their policy to include a vehicle owned by an insured dependent, some won't. I was able to add my car to my parent's policy back in college but that was some time ago.

The DUI mark will probably factor into the equation, and obviously it's going to factor into what kind of rate he can get independently.

Backstop

All of that depends on the insurance company's requirements, they don;t all do business the same way. For example, Company P will insure any combination of people and cars at one address and don;t care which car is in who's name, while Company L freaks right out if the cars are not in the main insured person's name and requires a separate policy once a kid turns 25.

Your friend's mother should shop around for an insurance policy with the son included and make it clear to the quoting person that the car/loan is in his name. I would recommend talking to someone rather than trying to handle this through the Web, it will actually be quicker. A human will be able to triage, whereas a Web form won't let you enter this information until way at the end after you;'ve already told them all this personal information. . If you go to a website that quotes insurance call their number and talk to someone.

Deebaser

$350 a month for full coverage and a DUI is hella cheap.

Backstop

For NYC it is, but the OP doesn't say where. It's pretty expensive for, say, Nebraska or New Hampster.

brainstorm21

Hello from 2019, we also still have problems with insurance

Iruka

If you have a problem, make your own thread and stop bumping old ones.