Collateral Protection Insurance

***EFFECTIVE - Wednesday, July 9, 2025***

If we do not have verification of coverage by July 9, 2025, we will enact this coverage. To avoid this coverage and charge, please provide an active insurance policy that meets following guidelines:

  • $500 maximum deductible for comprehensive and collision coverage.
  • Customer has to be named insured, not just a driver.
  • Ray's Motor Sales listed as lienholder or loss payee.
  • No Excluded Drivers on the policy.

Email policy with coverages to matt@raysmotorsales.com. You can stay on this policy to satisfy comp/collision requirement as long as you would like, it may be better option for you. You are still required to keep state requird coverages, this policy does not satisfy state requirements. 

See info and pricing below, and call 863-676-6321 with any questions.

What is Collateral Protection Insurance (CPI)?

Collateral Protection Insurance—also known as CPI, force-placed insurance, or lender-placed insurance—is a type of insurance that may be added to your vehicle loan if you do not keep valid full coverage insurance as required by your retail installment contract. When you finance a vehicle through us, your contract requires you to maintain comprehensive and collision coverage with Ray’s Motor Sales listed as the lienholder. This protects both you and the dealership in case the vehicle is damaged or totaled.

If we are unable to verify that you have your own insurance, we may add a CPI policy to your account. This policy only protects the vehicle and our interest in it—it does not provide liability coverage or meet state insurance requirements. Because this policy is added to your loan balance, it may increase your monthly payment. If you've been directed to this page, we've either received notice from your insurance company that you do not have appropriate coverages, or we have not been able to verify coverage at all.

If CPI is added and you later provide proof of valid coverage, we may be able to remove the charge going forward.

To satisfy the requirements of the Retail Installment Contract, we have added CPI to your account. The monthly cost of this coverage is $130. Here's how it would breakdown for you depending on your payment schedule:

Monthly payment: $130
Bi-weekly payment: $60
Semi-monthly payment: $65

You can keep this coverage as long as you would like to satisfy the comprehensive and collision requirement, but this does not satisfy state insurance requirements. You would still be responsible for that.

If you do have an active insurance policy that contains comprehensive & collision coverage, you may email that info to us and we will remove the CPI coverage. The policy must meet the following requirements:

  • $500 maximum deductible for comprehensive and collision coverage.
  • Customer has to be named insured, not just a driver.
  • Ray's Motor Sales listed as lienholder or loss payee.
  • No Excluded Drivers on the policy.

Please send proof of coverage to matt@raysmotorsales.com

As always, feel free to call us at 863-676-6321 with any questions.