When Emily pulls out of the car dealership lot in her new Lexus, she’s all smiles and feels on top of the world.
Fast forward a few months later when the reality of insurance and car payments set in, and things might not seem so dreamy. Emily decides she is no longer able to cover the insurance cost of her new ride.
Unfortunately, Emily’s problems now become the lender’s problem. And as a lender, you’re not dealing with just one Emily, but hundreds, potentially thousands, of Emilys, who operate everything from automobiles to watercraft.
Tracking or force placing insurance for all the Emilys within your consumer loan portfolio is no easy task. Annually, you must touch each loan to verify insurance is current and that the right limits are in place and follow up with a letter if they’re not. Sometimes you’re chasing down false alarms, where the borrower switched insurance providers but didn’t notify you.
Wouldn’t it be wonderful if your time wasn’t absorbed by all this busy work?
At Lenders Risk, our “LSI” (Lenders Single Interest) program improves efficiency and helps eliminate the busy work. LSI is a blanket insurance that protects the lender against any uninsured risk within their portfolio. So, no more tracking and no more force placing insurance. No more worrying about responding to an insurance lapse and tracking down borrowers.
From an administrative standpoint, the only actions required by the lender are reporting the total monthly loan volume and entering any claims – all of which is made convenient through our web platform. Our claims wizard enables you to see every step of the process, and lenders say they love our platform because it’s easy to use and available 24/7.
Basic protection under an LSI Policy includes:
“All Risk” Physical Damage (Damage to repossessed collateral)
Skip (Lender cannot locate the borrower or collateral)
Instrument non-filing E&O
Confiscation (Collateral repossessed by governmental agency)
“All Risk” Physical Damage following repossession
In addition to providing LSI, Lenders Risk is expanding its service footprint one step farther by now offering a Repossession and Remarketing program for consumer loans. By teaming up with national industry leaders in asset recovery and remarketing, we’re now able to help lending institutions operate more effectively and efficiently by allowing them to fully outsource their needs.
To learn more about our LSI insurance or obtain a quote, or to check out our new Repo and Remarketing Program,call 888-600-4436.