Who Gets the Check From the Insurance Company From Collateral Damage to Property?

Depending on who caused the accident, the insurance check could be made payable to several parties.

If your vehicle has been wrecked, you may want to know how you will get paid from the insurance company. The insurance check may be paid to several different parties depending on who caused the accident.

First-Party Payments

In you caused the accident, your insurance company has a right to pay who they need to in order to settle the claim. If you own your vehicle, the insurance company make may the check payable to you. Depending on your insurance policy, the repair shop may also be named on the insurance check.

Lenders

If your vehicle has a lienholder, the insurance check will probably be made payable to you and the lienholder. You must have your lienholder sign the check in order to pay the repair shop. Insurance companies will make the check payable to the lienholder also to protect the lienholder's interest in the vehicle.

Third-Party Payments

If someone, other than you, caused the accident, it is considered a third party payment. Since you have no obligation to the insurance company paying you, you will most likely receive the check made payable only to you.

References

• Insure: Car Insurance Claims: Who Gets the Claim-Payment Check?