As a lienholder, your retail installment sales contract mandates customers to maintain Comprehensive & Collision coverage throughout the loan term. However, an alternative to this requirement is offering a Debt Cancellation Contract (DCC) for purchase at the time of sale. By having a DCC, if a customer experiences a total loss, the lienholder cancels their loan balance entirely.

It's important to note that a DCC cannot be sold alongside traditional Comprehensive & Collision or Full Coverage insurance. Customers who opt for DCC still need to obtain separate liability coverage to meet state requirements. DCC is a reinsured product that has historically generated significant underwriting profit.

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To determine if a Debt Cancellation program is available in your state, we encourage you to get in touch with one of our product specialists. They will be able to provide more information and assist you with the implementation of a DCC program.