Vendor's Single Interest is a blanket insurance policy that allows you to easily protect your entire collateralized loan portfolio. Instead of having to track the coverage of each individual borrower and make phone calls if there is a lapse, you can relax knowing every loan in your portfolio is protected. With VSI insurance, if a repossessed vehicle is uninsured and damaged, you can have the peace of mind that you won’t be at risk. Plus, skip coverage under the Vendor's Single Interest policy protects you when vehicle collateral is lost due to skip by the borrower.
In short, VSI insurance offers comprehensive, blanket protection for your entire portfolio of auto and consumer loans. You can choose which coverages you would like, but most Vendors Single Interest insurance covers the following:
This comprehensive coverage of all consumer loan collateral includes the option to cover commercial equipment and vehicles.
The peace of mind offered by Vendors Single Interest is clearly its biggest benefit. You will know that all the collateral in consumer or auto loan portfolio will be protected. In addition to the peace of mind, VSI insurance relieves you of a lot of your daily tasks so you can focus on more important things. With VSI, you no longer have to worry about the huge administrative burden tracking and following up with each individual loan requires.
With Vendors Single Interest insurance, a simple monthly premium report is all that is required. No need to transfer borrower personal information on all your loans. What’s more, the small premium charge on new loan originations can often be added to the loan amount financed without affecting the APR (in many states). With Vendor Single Interest, you can give your loan portfolio the protection you need to increase recoveries and decrease losses.
For over 60 years, Lee & Mason has been providing the solutions you require to better serve your customer while reducing your own risk. To learn more about our Vendors Single Interest insurance, contact us now.