Covid, auto insurance and not using cars

[Anonymous]

Hey all, some of you know I'm currently in active ch7, just awaiting DC (fingers crossed). I am re-affirming 2 auto loans and letting 1 go. After I filed my wife was laid off due to COVID, so shes not been commutting and I've been working remotely since 4/1. Since we only go up to the store, bank, post office, ie general errands, we've been using the 1 car were not keeping. 

The 2 we are not using and haven't been for awhile, I figured we should just keep wear & tear, miles, etc  off. I haven't asked my attorney yet, but the credit union does require a "storage request" before making the change. I was thinking of calling the CU's (2 different) and asking if I can pull all auto insurance coverages Except "Other Than Collision/Comprehensive" which will cover the car for fire, theft, vandlism, hail, etc which both cars are in the garage. Will this raise any redflags do you think? We'd save probably $100 monthly for however long this takes to get back to the office daily and my wife to work again. In whish case obviously we'll have full coveratge to legally drive it. 

[FireMedic1]

As long as your car is registered in the state where you live, you'll be required to maintain the minimum amount of coverage required by your state, which is typically at least liability coverage. But you may be able to drop additional coverage you're not using, like roadside assistance or collision coverage. Best bet ask your lawyer.

[Scupra]

Most states will allow you to “deinsure” the vehicle if you submit a form that says you aren’t driving. Check with your motor vehicle services

[Anonymous]

It sounds like the question is not so much what the state requires, rather what the lender requires. Call the lender(s) and ask if you can downgrade/remove insurance for the unused vehicles. Some lenders will force place insurance upon notification of the cancellation/change by the insurance company. In that event, you may pay even more than what you're paying now. 

[Anonymous]

Thanks everyone, yeah the State of Michigan is ok with cars in storage. It's very common in the winter months were the Corvette and other "summer only" type cars are taken down to "Comprehensive only" so if there's a lien or not fire, theft, vandlism, wind, hail, etc are covered. I just say Corvette because we have like the top 5 per capita of Corvette owners worldwide I think 4 out of 100 people here own one lol. 

To avoid force placed the lender sometimes needs to approve before the endorsement on the insuracne takes place. I'm just curiuos if that may flag something with the CU that I've reaffirmed a car, since the case is still active. My attorney didn't seem to think it was a flag or something to be concerned with. But just going through all of this, I don't want any flags coming up to save $100 a month on insurance costs. 

I mean flags like the CU attorney questions it and tells the trustee, but again my attorney didn't seem to think it would come up. So I just have to sleep a bit more on it. 

I need to fix the end of my driveway and won't be driving one of the reaffirmed cars until that is done, so I may just ask that CU (reaffirmed) if I can put it in storage for the next few months. 

Thanks all.