Adding a Lien Holder to Your Auto Insurance: A Step-by-Step Guide

Each state will have different requirements to add a lien holder to your insurance when you refinance or modify your car loan. However, all insurance companies will require this as well as all lien holders, so you must go through the process no matter where you live. Your local DMV will have updated information on how to complete this in your immediate area. Generally, the process is:

1. Get your lien holder's information including account numbers, mailing address and fax and phone numbers.
2. Contact your insurance company and ask to add a lien holder to your policy.
3. Tell your carrier the requirements your new lien holder has for insurance company. If your current policy does not meet these requirements, you may have to add coverage in order to add the lien holder.
4. Have the insurance company provide written acknowledgement to the lien holder that you have satisfied the requirement. You may ask for a confirmation this has been done in writing for your own records.
5. Contact your new lien holder to make sure your insurance company has filed the necessary paperwork. You should also give the lien holder your insurance company's phone number and other information so the company may independently follow up with any questions or problems.