Property Recovery in Florida and the Southeast
The collateral recovery business is an untapped market in today's overburdened consumer market. Banks and lending companies need reliable repossession agents. This is a job that is customarily outsourced, as lenders do not wish to repossess vehicles themselves.
Understanding Repo Insurance
- Most Financial Institutions will require you to carry at least 1 Million Dollars of Liability Coverage
- Many will require you to be bonded
Repo Insurance Insurance Agents, at Ocala Insurance in Florida, will explain in simple to understand terms how to protect your collateral recovery business and carry the coverages that will be required by the financial institutes who will be hiring you. In Florida, new auto recovery businesses will have access to many options that only well established businesses usually have.
here are some of the basics:
- Commercial General Liability
General Liability is also called "premises liability". It is used to cover Property Damage or Bodily Injury claims that take place at the premises of the recovery specialist.
- Garage Liability
With some repo insurance carriers this coverage may be included with the General Liability policy. This is the most important part of the insurance because it covers claims occurring during the actual, physical repossession process. Be sure that this section also covers all operations necessary or incidental to a repossession business (including Wrongful Repossession).
- Garagekeepers Liability
Garagekeepers Liability refers to the coverage for damage or loss of the recovered collateral while in the custody and possession of the repo agent. This addresses physical damage like theft, vandalism, and fire.
- On Hook Coverage
The On Hook Coverage covers such events as the recovered vehicle being damaged while in transit.
- Drive Away Coverage
Sometimes, the repo agent will simply drive the car away instead of towing it. In these cases Drive Away Coverage addresses the libility to the repossed vehicle and any damage it might cause while under the control of the recovery agent.
- Personal Injury Coverage
This covers claims such as; wrongful entry, false arrest, detention or imprisonment, malicious prosecution, and oral or written publications that libel, slander, or violate rights of private occupancy.
- Commercial Truck Coverage
This is commercial coverage on the actual tow truck itself.
- Personal Effects Coverage
Since the repo agent is removing property from the debtor, there's always the probability that the debtor could claim that private property contained in the collateral at the time it was recovered is now missing.This coverage responds to that type of claim.
- Dishonesty Bond
A Dishonesty Bond, also known as a fidelity bond is a form of insurance protection that covers policyholders for losses that they incur as a result of fraudulent acts by specified individuals. It usually insures a business for losses caused by the dishonest acts of its employees. (courtesy of Wikipedia)