Auto Insurance Claims: liability as a lienholder, lienholder, insurance policy

Question
We want to sell a car to our daughter. We will be listed as the lienholder.  When a financial institution is listed as a lienholder they are not liable in the event of an accident.  Our daughter does not live with us but because she is our daughter are we legal liable in the event of an accident? This vehicle and transaction is in Florida.

Answer
Hi Cheri,

If your daughter is 18 or over then you are not liable for her actions under any circumstances. You can not be liable if you are listed as a lienholder. Just be sure you are listed as a lienholder on her insurance policy as well as the vehicle title. That way you will be notified if she lets her insurance lapse.

I hope this helps
Richard Hixenbaugh