Auto Insurance Claims: claim question, double payee

Question
i filed a claim after an accident. The accident was my fault. I have full coverage. The front bumper fell off and i started having radiator issues, but i had that issue before and got it  fixed. So they gave me 500 for the damage,which i was upset about since i thought it would be more. But that's not the issue, so i received my check which had my name and my dealer's name. I was told we both would have to sign. once i went to dealer to have them sign they told me they wouldn't sign it until car was fixed. Is this how it's suppose to be. And if so i don't know what they would considered "fixed"? I thought the insurance money was suppose to be to fix it.Could you explain what's going on.

Answer
Julie,

  Okay, so this situation occurs when you still have a loan out on your vehicle.  Essentially, if your vehicle is not completely paid for, then both you and your lienholder have a financial interest in the vehicle.  Most insurance policies have a "loss payee" clause which pretty much means that damage payments are made payable to both you and the "loss payee" (dealer).  So additionally, you likely have a deductible which was taken out of the damage estimate.  

  
  In most cases, it is a requirement in your vehicle loan agreement that you use the proceeds from the insurance company to fix your vehicle, so the lienholder (dealer) has a right to require proof that the vehicle is repaired.  Normally, a body shop will go ahead and do the repair if you'll get the shop and the lienholder in touch with each other.  The dealer will agree to sign the check if the shop agrees to repair the vehicle.  Simply find you a good shop that you feel comfortable with and work out the cost with them.  They may be able to repair your vehicle for less than you think and could save you some of your deductible.

I hope this helps.  Information is always free at Petty Details, LLC!