Creditor Placed Insurance – CPI

CPI is a single or dual interest collateral protection program for lenders. It protects lenders against loss on automobiles or other personal property pledged as collateral, in cases where the borrower has failed to secure or maintain required insurance coverage. Through endorsement, the entire portfolio of loans is covered by CPI.

What does CPI cover?
  • Collateral Physical Damage – losses from theft or physical damage to repossessed collateral where the borrower has failed to secure and maintain required insurance coverage.
  • Waiver of Repossession – waives the requirement for the lender to repossess the collateral to submit a claim creating a dual interest program.
  • Actual Cash Value Waiver – increases the claim payment for total losses to be the loan balance rather than the Actual Cash Value of the vehicle.
  • Pro-Rata Coverage – allows return premium for cancellations to be calculated on a pro-rata basis.
CPI Programs

OIC Lender Services offers two policies, the first incorporates the most common types of endorsements into the policy and the second allows you flexibility to choose only the endorsements that fit your business needs.