Plugging Profit Holes: Using Insurance Coverage to Protect Auto Lender Profitability

First published in Westlaw Journal (formerly Andrews Litigation Reporter)
April 12, 2011

Although there has been significant reporting on the turmoil that has affected the auto loan industry over the past three years, there has not been much discussion about how auto lenders can use various types of insurance to protect against losses and lawsuits that have been, or may yet be, caused by that turmoil.¹

This article briefly summarizes the various types of insurance and some of the coverage issues that may arise. The article also briefly discusses steps that auto lenders can take to put themselves in good position to access insurance if and when the need arises.²

INSURANCE FOR LENDER LIABILITY AND OTHER LAWSUITS