How do I handle insurance etc. when selling a vehicle by owner?
Question:
Answer:
NEVER EVER cover strangers on your insurance (even close relatives and friends are very risky)! Your tag should come off and your insurance be cancelled before the car goes anywhere. He needs to provide current proof of insurance (most policies provide for temporary coverage of new vehicles) or NO SALE.
Any other way and you're likely to take it in the shorts.
The minute you sign the bill of sale, the car is no longer insured.
You would cancell your insurance as soon as it is sold ( next working day) The buyer is resposnible to get his own insurance. The buyer is responsbile to title, register and pay the sales tax
Sounds fishy to me. No on letting the buyer leave with your insurance in effect.
You need to remove responsibility from the car and the papers need to be notarized befor you release the car. The notary can help with paperwork if you can find one. There are a few in the phone book who are private agents and work out of their homes.
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