Legal Question in Bankruptcy in Maryland

Keeping Auto Insurance on Surrendered Vehicles

My bankruptcy has been discharged and the creditor for my surrendered vehicle cannot pick up the vehicle for another 6 to 7 months. Are we required to keep insurance on this vehicle even though the bankruptcy was discharged and just because the creditor doesn't have time to pick the vehicle up? We would like to return the tags and drop the insurance. We don't have alot of money (we are bankrupt for a reason) to continue paying for this insurance.


Asked on 3/17/04, 12:20 pm

1 Answer from Attorneys
Daniel Press Chung & Press, P.C.

Re: Keeping Auto Insurance on Surrendered Vehicles

If you surrender the tags (and park it off the street), the MVA will not require insurance. But you should let the secured creditor know that you are cancelling the insurance so that they can insure it if they want, or come get it. Or, alternatively, if they have a local office, just deliver the car to them (and let them know, and document it).

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Answered on 3/22/04, 1:22 pm


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