Legal Question in Insurance Law in Arizona

Auto insurance

What are an insurance company's obligation's when insuring a vehicle that has a bank lien against it? I know they verify the insured's DMV record. Are they also required to search the VIN for liens?

Basically, should a person be able to obtain liability insurance only when a car has a loan against it?


Asked on 3/26/08, 7:11 pm

1 Answer from Attorneys
James Jenkins Jenkins Law Center PLC

Re: Auto insurance

It's hard to ascertain what you are getting at here. Obviously you can purchase insurance for a car that does not have a lien on it and is free and clear. In fact, it is required by law that you do so. If you drive without insurance you are violating the law. I do not know that an insurance company is required to search for a lien. Why do you ask this? Perhaps you could re-submit your question more clearly. Thanks.

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Answered on 3/26/08, 8:50 pm


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