 TITLE: What to Do Once You Pay Off Your Car CONTENT: Look Into Different Insurance Coverage Options\n----------------------------------------------\nOne advantage of paying off your car loan is that you may be able to get a better rate on your car insurance. First, notify your insurance company that you've paid off the loan so they can remove the other lien holder (lender) from your policy.\nLenders often require that you carry a minimum level of insurance so that if any damage were to occur, their collateral and investment (the car) would be sufficiently protected. Once your car is paid in full, there are no longer lien holders and you may be able to contact your insurance company to see if it can reduce your coverage or offer you a better rate. END