When borrowing money for a vehicle,who is typically the lien holder and loss payee on the insurance?

Question

Quizplus · Accepted Answer

The lending financial institution is typically listed as the lien holder on the title of the vehicle and has a financial interest in the car until the loan is paid off. As such, they are also listed as the loss payee on the insurance policy, meaning that in the event of an accident, any insurance payout will go directly to the lender to help pay off the loan.

When Borrowing Money for a Vehicle,who Is Typically the Lien