Auto Insurance Claims: Auto Comprehensive Payment/Claim, auto collisions, rental coverage

Question
Hello!!!!!!!
I live in Maine and a tree limb fell on my 2003 Navigator. Within two days the insurance CO send over an appraiser who unbeknown to me inspected my car and I unexpectedly received a check in the mail along with the copy of the estimate. The problem is that check for repairing the car in the amount of $3,100.00 was written out to both my husband, myself AND the bank (lien holder). I cannot deposit this check into my account (in CA) and when I called the bank they said I would have to mail them the check, along with the estimate, take the car to the shop and when it was finished the shop would have to mail them the receipt for repairs done and then they would mail the check to the shop. I called the insurance CO and they said that anything over $2,500.00 had to (1) include the lien holder or (2) they could mail the check directly to the shop made out solely to the shop. I feel as I am obligated to do something I may not want to.  I wanted to deposit the check and pay with my cc to get miles, but I cannot do so. What if I do not wish to fix my car or if I want to have my neighbor do it for much less, or if the shop would fix it for less then the written estimate? Do I not have the right to choose what I want to do?...this is not a total loss where the lien holder's name has to be written in order to may sure the bank is paid... (In all honesty, in my opinion, the only thing I can see needing fixing is the aero-foil which is about $300.00) Finally my policy has $50 a day rental coverage and the insurance co appraiser estimated 8 days to repair the car. Can I choose loss of use instead of renting a car, and if so can it be for the $50 per day on my policy or does it have to be the standard $20-22 loss of use for auto collisions.  I am so frustrated with this and would truly appreciate your input.  THANKS.

Answer
Hi Gabriela,

Your insurance company is required to protect the interests of your lienholder. Unfortunately there is nothing you can do about this. You can either send the check to the lienholder as you described or you can select a body shop and have the insurance company re-issue the check payable to the body shop. Since you have a loan on the vehicle it must be repaired in order to maintain it's value for the lienholder.

I hope this helps
Richard Hixenbaugh