There is no difference in actual operation. The only difference is that some financial institutions that provide loans only give the insured a copy of the insurance policy for vehicles that are paid by installment. In addition, if you buy a car in full and the insurance company makes a claim, the claim will go to the customer, and the time for the customer to get the compensation is relatively short. In the case of loan, the insurance company pays the guarantee company first, and then pays the customer. It takes a relatively long time for the customer to get the payment.
Cars must be insured during the loan period. Cars are all mortgaged, and the car registration certificate will be mortgaged to the manufacturer's financial company. Therefore, during the repayment period, the owner belongs to the bank or financial company, and the consumer only has the right to use. If the owner can't repay, the finance company will auction or take back the car, and the owner can only get the motor vehicle registration certificate after the repayment is completed.
In addition, during the repayment period, the car must be fully insured, and the first beneficiaries are banks and financial companies. If the car is seriously damaged or scrapped, the insurance company will directly compensate the bank or financial company to fully guarantee the value of the car loan.
Motor vehicle insurance is a kind of means of transport insurance with the motor vehicle itself and its third party liability as the subject matter of insurance. Its insurance customers are mainly legal persons and individuals who own various motor vehicles; The subject matter of insurance is mainly various types of cars, but it also includes special vehicles such as trams, battery cars and motorcycles. Motor vehicles refer to automobiles, trams, battery cars, motorcycles, tractors, various special mechanical vehicles and special vehicles.
Further reading: How to buy insurance, which is good, and teach you how to avoid these "pits" of insurance.