Do I Need Car Insurance To Apply For A Title Loan?

Does Your Car Have To Be Insured To Get A Title Loan?

Do you need car insurance to get a title loan? The short answer to this question is no, although some lenders may require it. Generally, yes, your car will need minimum liability coverage as required by your state of residence to qualify for a title loan.

Why Do You Need Insurance For A Title Loan?

You may ask yourself why you would need insurance to get a title loan since the car is the collateral for the loan. But, that explains exactly why you need car insurance to get a title loan. Because if something happens to the car, you are still responsible to pay the lender back, even if your car is totaled. Some title lenders may require more than just the minimum legally required liability insurance as well.

Some title lenders may require an applicant to have collision coverage in case the vehicle gets damaged or destroyed in an accident. They may also require an applicant to have comprehensive as well – in case it gets stolen or damaged due to theft or vandalism, or even a natural disaster. That helps them better protect their asset in case something disastrous happens, or you don’t repay the loan.

The fact that your car is the collateral for the title loan shows exactly why you need insurance coverage for a title loan. That may make it harder for some applicants to qualify, but insurance is important, and not just for title loans. Car insurance is also there to protect you and provide help if something goes wrong or if something happens to your car. This leads to the next point about affordable and quality insurance coverage for your car.

If You Need Car Insurance, Max Cash Can Get You Covered!

If you need car insurance or just better coverage or a better rate, Max Cash can help. Through Max Cash, you can find rates and coverage from multiple companies. We have multiple partners so if you meet the right criteria, you can find the type of car insurance that is right for you.

We currently have partnerships with three different insurance providers. Shopping around at different companies for different rates can become a hassle. That’s why Max Cash has made it easy to get quotes from multiple companies in just minutes. If you don’t know where to start, you can start right here, and we can take care of the comparison for you.

Max Cash has partnered with a few different car insurance providers, so you can start comparing rates and get the right insurance coverage for you today!

It’s as easy as 1,2,3. You can apply in just minutes. Then, receive your quote(s). All you have to do after that is secure your new rate online and start saving if you meet the right criteria. Here is what you’ll need to get started.

A Guide To Comparing Car Insurance Quotes

In the world of car insurance, there is no one size fits all quote that will work for every vehicle owner. But, it is helpful to have multiple quotes offered to you, so you can compare them.

Make Sure You Have Needed Information Ready:

You can gather necessary personal information and have it ready before you apply for a car insurance quote! You will need the following:

  • Personal Information – This includes things like your address, place of employment, your driver’s license, marital status, and age, as well as other factors.
  • Vehicle Information – You will definitely need to include information about the current mileage, date of purchase for the vehicle, current registration, and VIN or Vehicle Identification Number.
  • Your Driving History Information – You will have to provide information on any accident claims, traffic violations, or tickets within the past five years.

Have an Understanding Of What Type of Coverage You Need And Want:

Each state determines the exact type of minimal insurance coverage, and this will depend on your state of residence. You can assume that most states will require liability coverage at a minimum for your automobile. Some states may require you to have PIP (commonly known as personal injury protection coverage), medical payments coverage, or underinsured/uninsured motorist coverage. Other than those legal minimums, different levels of coverage exist for you to choose from. This depends entirely on your individual wants and your budget. We will explain the different types of coverage below.

Liability Coverage:

Most states require some form of liability insurance, also known as car liability insurance or car insurance. This type of liability insurance is required by law to drive on public roads for most car owners. This legally required coverage provides for damage or injuries you may cause to another person or to property while operating a motor vehicle. Note that this liability insurance only covers damages or injuries that you cause. It does not cover injuries to you or damages to your vehicle. If you want coverage for those eventualities, you may need to add additional coverage like collision or comprehensive car insurance.

Collision Coverage:

This coverage can help pay for damages to your vehicle in the event of an accident. Damages like this can include that caused by collisions with other cars, as well as any damages resulting from what’s known as single-car accidents. These accidents cover incidents such as hitting a tree, a pole, or another incident that didn’t involve another accident or person.

Comprehensive Coverage:

This type of car insurance provides protection for damages that happen to your vehicle not caused by a collision or accident, like those examples listed above. It can include a very wide range of potential events, hence the name comprehensive. Some examples include theft, vandalism, natural disasters and storms, falling objects, or even animal damage like hitting or being hit by a deer. Some insurers refer to this as “other than collision” coverage. Much like collision coverage, comprehensive insurance coverage more typically gets sold as an option, since most states don’t require it. These last two coverages typically are separate from legally required liability insurance. Again, that only covers damages you cause in an accident to protect you and the other party legally and financially.

Now that you understand the different types of coverage, you can compare quotes from our partners. With the information listed above and knowing what type of coverage you want, comparing quotes efficiently will be a breeze. So start here and find the car insurance you need right now.

Max Cash Gets You The Max Cash For Your Title Loan, Always!

Not only do we provide car insurance through our partners, but we can get you a title loan today! We have the experience and knowledge to make your application experience a breeze.5 You can get your funds through a check or deposited in your account in as little as 24 hours. With just one application, you can get offers from our many partners and find the loan that works best for your situation. At Max Cash, we work to get you the max cash, always!

By Jordan Radcliff

Jordan is a writer for Max Cash who covers a wide range of topics, including personal loans, credit scores, and side hustles.