Recently my car dealership took possession of my car for not having insurance can they do that?

Question

Recently my car dealership took possession of my car for not having insurance can they do that?

Answer 1

Yes. Read your contract. You agreed to carry full coverage insurance until the vehicle was paid off or turned in (if a lease). They are protecting their investment in case of an accident.

Answer 2

You bet your butt they can. What if the car as tottalled ? You would simply quit making payments and its ugly. You HAVE to have insurance .................

Answer 3

If you finance a car from a dealership, you are required to have full coverage insurance. If you get in to an accident and your car is totalled, then the car dealership is basically screwed because you are unlikely to keep making payments on a car that you can't drive anymore.  That's why you have to show proof of insurance to the car dealership after you buy the car.  If you get insurance coverage, you should be able to get the car back.

If you would like to look in to getting auto insurance in order to get your car back, the website below is really helpful because it allows you to compare quotes for all of the companies in your area for free so you can get the cheapest rate possible.

Good Luck!

Answer 4

Yep, it is required by you to carry full coverage on the vehicle or face repossession.  If someone wrecks a car and has no insurance on it, the odds of them not paying on it increase. Now go get insurance and get your car back.

Answer 5

Whether the car is a lease or a purchase doesn't matter, as the lien holder requires insurance on the vehicle in case of an accident.  If the car is totaled without insurance, you would still be responsible for the remaining balance left on the contract.   In Florida, a person driving a vehicle without proof of insurance on it can have their driver's license suspended.

When I changed insurance companies, the old one notified the DMV and I had to show proof of having a new insurance company.  Fortunately, I was able do it via Internet and within three days, I receive a thank you card from the DMV and it stated no further action would be needed.

Answer 6

Yup.I am assuming it was a lease.  Didn't you read your lease carefully?

BTW, those of us who pay up the ying yang for car insurance get screwed by people like you!

Answer 7

If you paid for the car in full, no, although it is still illegal to drive a car without liability insurance.

If the car is either (a) leased or (b) financed through the dealership, yes.  The lease or financing contract you signed would have contained a provision saying that you agree to have full coverage (including comprehensive and collision) on the car.

Answer 8

Sure looks like it, don't it?

Answer 9

they took your car and you didnt ask them if they could? LOL

they sure can