What You Need to Know About Collateral Protection Insurance Companies
If you are the owner or operator of a car dealership or auto finance company, you likely face problems with uninsured borrowers. When these drivers get into auto accidents, your business suffers in a few ways. The customer usually stops paying on the loan, which will eventually result in having to pick up the vehicle. […]
What is Lender Placed Insurance?
Despite its importance, many drivers in the United States do not have auto insurance. When a borrower leaves a dealership, they might have car insurance at that moment, but due to difficulties in payment, they could end up allowing it to lapse leaving the lender’s collateral unprotected. Auto insurance prices have skyrocketed making it more […]
What is Collateral Protection Insurance?
Collateral Protection Insurance (CPI) is insurance used by lienholders to protect themselves from financial loss. CPI is also known as force-placed insurance because this type of insurance is not sold to a customer, however, it can be placed on a vehicle when the borrower does not have physical damage (comprehensive and collision) coverage.
What is Collateral Protection Insurance? Why Every Auto Dealership Lender Should Have It
One of the main concerns for an auto dealership lender is risk management in the auto insurance industry. The responsibility of the borrower is not always guaranteed, but with Collateral Protection Insurance, lenders can mitigate that risk and help borrowers take more responsibility for the amount they are taking from a lender. Collateral Protection Insurance is […]
How CPI Can Positively Impact Auto Lending Margins and Reduce Risk
In today’s market, auto lenders are battling to maintain profitability and growth. Finance companies, banks and other lending groups are all competing for consumer auto loans. In this economic climate, it is imperative that lenders protect their bottom line by minimizing losses.One initiative that lenders can take to help minimize losses and protect their profitability […]
How to Use Lender Placed Insurance
In the United States, many drivers on the road do not have auto insurance. They may come into your dealership or financial lending institution with insurance, but then let it lapse due to difficulties paying or because they never intended to carry insurance on the vehicle in the first place. Over the past 5 years, […]
What is Collateral Protection Insurance?
As an auto finance company or BHPH car dealer, one of your main concerns is risk management in the auto insurance industry. The responsibility of the borrower is not always guaranteed. But with Collateral Protection Insurance, or CPI, we can help mitigate that risk and help borrowers feel more responsible for the amount they are borrowing […]