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Judge Roybeanbag

Car title transfer/insurance question

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A couple years ago my wife and I bought a car and ended up "giving" it to our oldest, who was going to college at the time.  So the car note is in our name, and she is listed on our insurance.  A couple months ago she got married and moved into an apartment with her husband.   We'd like to officially give her the car, and get her off of our insurance since technically she is not living in our household anymore and may not be covered by our policy.  However she can't get her own policy on the car, because it's financed in our name at 0% through Mazda Capital Credit (Chase Bank), and she can't insure a car if her name isn't on the title.  As I see it current options are:

a) Try to have her name added to the title  - not sure if this is possible, and wait times to get customer service at Chase are like 2 hours, so have not gotten an answer

b)  If she and her husband buy a new car, have the dealership apply the trade-in for this one toward the new car, which would be financed in their name.  Not sure if this is possible either.

c) Pay the car off and transfer the title to her - don't like this option because it's financed at 0 percent, and I'd rather not fork over $9K in cash.

Any suggestions on what the best option is, or alternatives?  I like option a the best but don't know if it is even workable.

 

 

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1 hour ago, Judge Roybeanbag said:

A couple years ago my wife and I bought a car and ended up "giving" it to our oldest, who was going to college at the time.  So the car note is in our name, and she is listed on our insurance.  A couple months ago she got married and moved into an apartment with her husband.   We'd like to officially give her the car, and get her off of our insurance since technically she is not living in our household anymore and may not be covered by our policy.  However she can't get her own policy on the car, because it's financed in our name at 0% through Mazda Capital Credit (Chase Bank), and she can't insure a car if her name isn't on the title.  As I see it current options are:

a) Try to have her name added to the title  - not sure if this is possible, and wait times to get customer service at Chase are like 2 hours, so have not gotten an answer

b)  If she and her husband buy a new car, have the dealership apply the trade-in for this one toward the new car, which would be financed in their name.  Not sure if this is possible either.

c) Pay the car off and transfer the title to her - don't like this option because it's financed at 0 percent, and I'd rather not fork over $9K in cash.

Any suggestions on what the best option is, or alternatives?  I like option a the best but don't know if it is even workable.

 

 

You can get it insured. I took over the payments on my Mom's car, my name was not on the note, but I had it insured in my name. I just had to have her listed as a driver on the policy, it didn't cost any extra to do so.

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8 minutes ago, DallasHorn26 said:

You can get it insured. I took over the payments on my Mom's car, my name was not on the note, but I had it insured in my name. I just had to have her listed as a driver on the policy, it didn't cost any extra to do so.

What company was this through, if you don’t mind me asking?

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It's really easy to xfer the title to your daughter just requires the notarized gift form that the state has and whatever the $10-20 the state charges. Your leinholder will usually allow you to switch it over but at 0% they may tell you to pound sand. On the lending side it seems like insurance companies allow non titled as the sole policyholder about 20% of the time.

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Thanks.  Agreed on the pounding sand part, which is why refinancing might be a non-starter.  If it weren’t at 0 maybe, but if they refi at 1% I might as well just pay it off since I would barely make that in the bank anyway.

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this idea will be a stretch and will require you to have clear documented information from your insurance agent that will probably try and tell you what I am saying is false (which the laws may have changed from many years ago), but here goes

generally "liability" insurance covers "the damage you do to others property while driving".....note that does not state any lack of coverage for OTHERS PROPERTY that you also happen to be driving

back when I was in college (many many many moons ago) a friend had an S-10 pickup that he had damaged running into a sign in a parking lot while drunk and he was slowly repairing it, but had liability insurance still on it......he was driving his roommates 20th Anniversary Trans Am to go pick said friend up from class and rear ended a Mazda.....there was no damage to the Mazda, but the Trans Am was a bit messed up on one front quarter panel

he was able to have the $1,200 in damages paid by his liability insurance on his S-10 because he did damage to "others property" while driving.....it did not matter that he was the driver of the others property...and yes it was made clear to his insurance carrier that he was the driver of the Trans Am

so if you really get in a bind my advice is buy a $100 car in your daughters name and get liability insurance on it and then at least there is coverage on the Mazda and on your daughter in general for any accident

I would not be surprised if things have not changed so again you would need to talk to your agent and I would also not be surprised if the agent said there would not be coverage even if he was not telling the truth....because if you think about it a parent could have a nice Mercedes or BMW or any other expensive car that would have high insurance for their kid (living at home or not) and instead of having the kid on that policy they could just buy a pile of shit and park it any old where and get liability only with a high coverage and let the kid drive the nice car and basically have full coverage on it

now some will say "no that would not work because the policy on the Mercedes or BMW would require the kid to be on the policy because of living under the same roof".......but again it is not the parents policy (with the kid not on it and thus the other drivers in the house coverage exclusion if not on the poilcy) that is coming in to cover the Mercedes or BMW.....it is the KIDS liability policy that is coming into play.....which could be from a totally different company

and I think on Live PD just the other night there was some stupid bitch with no insurance driving and they ended up letting her  passenger drive off with both of them because he had insurance on another vehicle in his name and thus was "insured".....but in that case if you watch Live PD enough those fucking cops let people drive off with no insurance and no license and no inspection all the time because they feel sorry for them or they are almost home or they have some kids (in no child seat) in the car

 

but I do know that 100% my friends liability insurance on his S-10 covered the damages he did while driving his roommates Trans Am and his insurance carrier know he was driving the Trams Am and they were roommates....there was not even a hassle about it at all

and yes I realize buying a $100 pile of shit and insuring it and making sure what I said above still holds true is a major hassle, but it is a lot less of a hassle vs wrecking a nice car with no insurance coverage at all especially no liability and no full coverage with a note left to pay would suck as well....so I offer that as a near last resort that I am about 99% would work.....but again make sure your agent knows the deal 100% and they will probably say I am wrong....but I know in the past it did work 100%

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BF there are typically exclusions for "Regular and frequent use" of family and household members.  If it was a one time instance then it MIGHT go through in claims but if they determine you are driving a roommates car MWF of each week to work, it is highly likely that coverage would end up being excluded.  

 

Your getting into claims theory and agents have no business interpreting what a Claims Adjuster will do.  Back in my day we taught all agents to advise the decisions are ultimately up to the claims adjusters after all facts are investigated.  Agents can get into hot water for saying something is covered when they usually have no idea.  

 

Get the title transferred is the main point.  You want to avoid a grey area in Claims.  

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23 hours ago, Judge Roybeanbag said:

A couple years ago my wife and I bought a car and ended up "giving" it to our oldest, who was going to college at the time.  So the car note is in our name, and she is listed on our insurance.  A couple months ago she got married and moved into an apartment with her husband.   We'd like to officially give her the car, and get her off of our insurance since technically she is not living in our household anymore and may not be covered by our policy.  However she can't get her own policy on the car, because it's financed in our name at 0% through Mazda Capital Credit (Chase Bank), and she can't insure a car if her name isn't on the title.  As I see it current options are:

a) Try to have her name added to the title  - not sure if this is possible, and wait times to get customer service at Chase are like 2 hours, so have not gotten an answer

b)  If she and her husband buy a new car, have the dealership apply the trade-in for this one toward the new car, which would be financed in their name.  Not sure if this is possible either.

c) Pay the car off and transfer the title to her - don't like this option because it's financed at 0 percent, and I'd rather not fork over $9K in cash.

Any suggestions on what the best option is, or alternatives?  I like option a the best but don't know if it is even workable.

 

 

Judge, your main objective is having the title changed to your daughter's name. She should no longer be on your auto (and umbrella) policy. You can continue making the payments. I don't think Chase cares whose name is on the check.

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4 hours ago, T’Boo Ted Marshall said:

BF there are typically exclusions for "Regular and frequent use" of family and household members.  If it was a one time instance then it MIGHT go through in claims but if they determine you are driving a roommates car MWF of each week to work, it is highly likely that coverage would end up being excluded.  

 

Your getting into claims theory and agents have no business interpreting what a Claims Adjuster will do.  Back in my day we taught all agents to advise the decisions are ultimately up to the claims adjusters after all facts are investigated.  Agents can get into hot water for saying something is covered when they usually have no idea.  

 

Get the title transferred is the main point.  You want to avoid a grey area in Claims.  

reading up on that you are almost certainly 100% correct they would find a way to exclude it based on the amount of use

I am surprised my friend did not get more questions about that, but it was a long while back and he really did not drive the roommates car all that often

I was only offering that as a very very last resort over not having anything because obviously it would be a pain in the ass to do and the insurance would probably find every way possible to exclude coverage

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