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[arkhamguy123]

So I’m an Uber driver, and I got into a very bad car wreck 2 nights ago. Extremely rainy conditions, car came to an immediate and sudden stop in the middle of the flowing service road, reaction time and inertia failed me. (No parties were even mildly injured) I try not to panic but I’m thinking of the financial toll with the car. And Uber is currently my sole source of income so the pressure is on.

I call my insurance company and they sadly inform me for whatever reason I do not have collision or comprehensive, only liability, so I’m on my own, ie, fucked financially as the wreck is very bad and the car is almost totaled. You might now be thinking, “Arkhamguy123, it’s easy, just get the other persons liability insurance to pay for it”. But unfortunately it was a rear end with no dash cam or security footage so it’s highly likely I will be ruled at fault. Which is fair enough.

You might have also had the idea that Uber has their own insurance, and this is correct except they don’t cover collision/comprehensive unless your personal insurance does. And the last bet would be to call a salvage yard and get this shit trashed for cash and go from there. So I call a million car buyers and salvage shops (my insurance agent recommended this as well) and they all won’t take it as I’m still financing it and don’t have the title, I still owe 10k on it up to 2028. So I’m at a complete loss and basically defeated as I feel like I’m just screwed. And no I don’t have gap insurance I don’t think.

Any help or advice at all would be appreciated at this point.

 

[nush]

If you car is your livelihood, don't cheap out on the insurance is what I'm getting from this as a life lesson.

I don't know about car insurance in America or wherever so can't advise. Just buy a beater car for Uber, run it into the ground and repeat until you've paid off the wrecked car.

 

[EviLore]

Usually you're required to have full insurance on a car that you're still financing, for this very reason. Guess that's not the case where you live though. Tough situation.

 

[arkhamguy123]

Usually you're required to have full insurance on a car that you're still financing, for this very reason. Guess that's not the case where you live though. Tough situation.

Yeah that’s what my older more knowledgeable friends said. People seem to be baffled AAA signed off on a policy to me with no collision or comprehensive. I think that’s where my error comes in because I assumed like you it was required so didn’t check all my coverages

 

[arkhamguy123]

If you car is your livelihood, don't cheap out on the insurance is what I'm getting from this as a life lesson.

I don't know about car insurance in America or wherever so can't advise. Just buy a beater car for Uber, run it into the ground and repeat until you've paid off the wrecked car.

Might do that except with a rental for $240 a week

 

[EviLore]

Yeah that’s what my older more knowledgeable friends said. People seem to be baffled AAA signed off on a policy to me with no collision or comprehensive. I think that’s where my error comes in because I assumed like you it was required so didn’t check all my coverages

Might be worth investigating what happened there in case the lack of coverage is someone else's fault.

 

[BlackTron]

I hope you are not THAT underwater on the financing of the car

 

[arkhamguy123]

I hope you are not THAT underwater on the financing of the car

Bought in 2022, up in 2028, 10k left almost on the dot

 

[Straight Edge]

Totaling a financed car with no collision coverage? Yeah, you're kinda fucked.

 

[arkhamguy123]

Totaling a financed car with no collision coverage? Yeah, you're kinda fucked.

Time to buy some lottery scratch offs

 

[BlackTron]

Bought in 2022, up in 2028, 10k left almost on the dot

Fuck.

 

[arkhamguy123]

Fuck.

Yeah man

 

[Meicyn]

Yeah that’s what my older more knowledgeable friends said. People seem to be baffled AAA signed off on a policy to me with no collision or comprehensive. I think that’s where my error comes in because I assumed like you it was required so didn’t check all my coverages

Did you change your insurance policy at any point after the purchase of the vehicle, or was this the policy obtained with the purchase of the vehicle?

 

[poppabk]

I hope you are not THAT underwater on the financing of the car

? He wouldn't be underwater if it wasn't just turned into scrap.

 

[BlackTron]

? He wouldn't be underwater if it wasn't just turned into scrap.

The point is that he actually is underwater. Which sucks.

 

[arkhamguy123]

Did you change your insurance policy at any point after the purchase of the vehicle, or was this the policy obtained with the purchase of the vehicle?

Changed thrice since purchase. Ive been to geico to all state back to geico and now at AAA where im fucked with their minimal coverage

 

[arkhamguy123]

? He wouldn't be underwater if it wasn't just turned into scrap.

You can’t bro. They need a title, which just means paid off. That was the first move I tried and then I was like fuck I’m screwed

 

[bender]

Might be worth investigating what happened there in case the lack of coverage is someone else's fault.

It will fall back on him as acquiring and keeping a minimum level of coverage is almost assuredly written into the financing contract.

 

[Meicyn]

Changed thrice since purchase. Ive been to geico to all state back to geico and now at AAA where im fucked with their minimal coverage

Well, shit. To be honest, your lien holder was within their right to repossess your vehicle at any point since you were technically in violation of the contract.

FWIW, app-based employment now qualifies for unemployment. If you have issues getting back on your feet, it’s an avenue to temporarily consider and buy you more time. There is no shame in using it honestly.

 

[Straight Edge]

are you sure its a total loss? did the airbags go off? Does it start?

 

[arkhamguy123]

It will fall back on him as acquiring and keeping a minimum level of coverage is almost assuredly written into the financing contract.

I’ve been advised to keep the finance company in the dark for probably exactly what you just said

Though in my state I learned solely having liability *IS* the minimal coverage

 

[arkhamguy123]

are you sure its a total loss? did the airbags go off? Does it start?

It starts. Airbags did go off. I’m almost of the mind to get an estimator out here. I wrote it off as I deemed it would be too expensive but now it’s lookin like any repair couldn’t be more than 10k + a new car. Leaving it the cheapest, simplest option just to see

 

[poppabk]

It starts. Airbags did go off. I’m almost if the mind to get an estimator out here. I wrote it off as I deemed it would be too expensive but now it’s lookin like any repair couldn’t be more than 10k + a new car. Leaving it the cheapest, simplest option just to see

Airbags are like $2k a piece. Hence why people steal them.

 

[arkhamguy123]

Airbags are like $2k a piece. Hence why people steal them.

Here’s the total damage everyone

 

[bender]

I’ve been advised to keep the finance company in the dark for probably exactly what you just said

Though in my state I learned solely having liability *IS* the minimal coverage

The State's minimum coverage has nothing to do with the financer. The reason the financer requires full coverages is exactly for the situation you are in.

 

[arkhamguy123]

The State's minimum coverage has nothing to do with the financer. The reason the financer requires full coverages is exactly for the situation you are in.

I see what you’re saying

 

[SpiceRacz]

Yea I'm not sure how you can finance on a vehicle and not be required to carry full coverage. Unless maybe you refi'd on it with a personal loan. What state are you in?

 

[SJRB]

Yeah there's not much you can do at this point. The car is totaled and you have no insurance.

You could sell the wreck to a junk dealer or secondhand dealer but other than that it's over.

 

[Bitmap Frogs]

Get a beater or rent, although be careful with mileage on rent contracts.

You need to keep working, you need to keep paying, if the finance company gets wind that you didn't have proper insurance it might not be good for you.

 

[bender]

I see what you’re saying

The State's requirement protects others from damages you might do. The financer's requirement is protecting the value of the loan (the vehicle).

It's a tough situation but you've owned the mistake of the accident and the coverage snafu.

The good news is that no one is hurt. And I know this doesn't sound like good news, but it's "only" $10,000". So it could be worse.

I'd call the financer and explain the situation. See what the next steps are to determine what value if any is still left in the vehicle. I'd also inquire of prequalifying for a loan with the possibility of rolling in the outstanding debt from your crashed vehicle. That might be a long shot and come with much higher interests rates as you now have more unsecured debt and broke the rules of the contract you signed with them. Hopefully you haven't missed payments. Mistakes happen. Ownership and accountability are important.

 

[arkhamguy123]

Yea I'm not sure how you can finance on a vehicle and not be required to carry full coverage. Unless maybe you refi'd on it with a personal loan. What state are you in?

Texas

 

[arkhamguy123]

Get a beater or rent, although be careful with mileage on rent contracts.

You need to keep working, you need to keep paying, if the finance company gets wind that you didn't have proper insurance it might not be good for you.

Yeah Uber offers rental discounts. I could get one for $240 a week and do extra hours to break even. Sucks but might be my only play for now

 

[nush]

Here’s the total damage everyone

 

[Meicyn]

You could sell the wreck to a junk dealer or secondhand dealer but other than that it's over.

The problem is that he would have to provide the title, which the lien holder possesses.

 

[cormack12]

Here’s the total damage everyone

If its the radiators etc. gone at the front then you're not in a good place. Foes that wheel still turn/run or has the arch collapsed on it? Did you drive under a trailer or something?

Have you asked any garages for damage assessment and repair prices?

 

[arkhamguy123]

If its the radiators etc. gone at the front then you're not in a good place. Foes that wheel still turn/run or has the arch collapsed on it? Did you drive under a trailer or something?

Have you asked any garages for damage assessment and repair prices?

I see. And no but I’m thinking of getting a free estimate just to have a more informed assessment of options

 

[RavageX]

*Missed a couple of details! Sorry.

That is definitely a terrible situation.

Assessment is a good idea, hard to tell from that picture for me.

 

[Thaedolus]

Sorry OP, I’ll add to the chorus: whoever is your financing company/bank was negligent not ensuring your insurance was comprehensive. Not sure if there’s a play there. I know with the car I just bought our credit union required proof of comprehensive insurance within 30 days. I still have it on my truck even though we paid it off in 6 months because a moving $35,000 or whatever it is now asset isn’t something I’m wanting to lose in a split second.

 

[SpiceRacz]

Texas

I'm pretty sure your lender still requires that you carry full coverage regardless of what state you're in. I would double check with your insurance company and your insurance card.

 

[Rival]

Stop making payments on the car. Let them repossess it.

 

[JohnnyPhats]

I don’t get this. You have to have full coverage on a financed vehicle. I don’t know of ANY lender that would allow only liability. They check these things. So you either started with the correct kind of insurance and knocked it down to liability only or something. There’s no way. They will repo for not having the correct financial responsibility. I ain’t trying to be mean, but you’re fucked here.

 

[arkhamguy123]

Stop making payments on the car. Let them repossess it.

What repercussions to me come from that

 

[Putonahappyface]

I'm glad you and the over party walked away from the collision with no injuries! From that photo it looks like one hell of a crash. Your situation sounds like the stuff of nightmares and precisely why I've insurance for every eventuality.

My mum was a taxi driver and my stepfather is a taxi driver, so I can appreciate this is your livelihood. Fingers crossed you can get yourself out of this mess!

 

[arkhamguy123]

I don’t get this. You have to have full coverage on a financed vehicle. I don’t know of ANY lender that would allow only liability. They check these things. So you either started with the correct kind of insurance and knocked it down to liability only or something. There’s no way. They will repo for not having the correct financial responsibility. I ain’t trying to be mean, but you’re fucked here.

Nobody contacted me and I’ve had this policy since august last year.

 

[JohnnyPhats]

Nobody contacted me and I’ve had this policy since august last year.

That’s strange. And it does suck. Unfortunately, you are completely responsible here.

 

[MrA]

What repercussions to me come from that

Your credit score will suck for several years, they might try to garnish earnings,

 

[Rival]

What repercussions to me come from that.

Your credit would suck. Buy a new car before you stop paying on the old one.

 

[StreetsofBeige]

Always buy complete home and car insurance folks.

I get it. As long as nothng bad happens you can save $100s or $1000s a year. But all it takes is one bad incident and youre toast.

 

[nush]

What repercussions to me come from that

It’ll fuck your credit rating for a while but you’ll be able to build it up again over time.

 

[arkhamguy123]

Always buy complete home and car insurance folks.

I get it. As long as nothng bad happens you can save $100s or $1000s a year. But all it takes is one bad incident and youre toast.

Learned my lesson didn’t I