Insurance firm clears 30-year-old tow lien on South Florida driver

Jan Schill renewed her car registration in 2025 and discovered a lien attached to her tag. The charge stemmed from a tow company that recovered a 1992 Mercedes 300 Diesel from the bottom of a canal. That vehicle had been reported stolen more than three decades ago.

Schill, who was born and raised in South Florida, purchased the diesel vehicle in the early 1990s. She kept the car for two years before it disappeared from her driveway. The vehicle was never located during that initial period. Schill filed a claim with her insurance provider, surrendered the title, and received a check for the vehicle's value.

For over thirty years, the matter remained closed for Schill. In 2025, the sheriff's office contacted her to inform her that the car had been located in a canal. She told the officials the vehicle no longer belonged to her because she had transferred ownership to the insurance company when it was declared a total loss.

Months after the recovery, Schill attempted to renew her current vehicle's tags. The system flagged a lien placed by the tow company that pulled the 1992 Mercedes from the water. The tow firm claimed fees from Schill for the recovery work performed on a car she no longer owned.

Howard Finkelstein, a consumer advocate, reviewed the situation. He stated that the insurance company is responsible for the tow charges. When the insurer paid out the total loss claim, they became the legal owner of the vehicle. Therefore, the debt to the tow company belongs to the insurer, not the original driver.

Schill's insurance company received notice of the dispute. Within 24 hours of the report, the insurer sent a check to the tow company. The tow company then removed the lien from Schill's record. She was able to complete her registration renewal immediately after the hold was lifted.

Schill said the process was confusing and that she likely could not have resolved it without outside help. Finkelstein advised drivers to ask their insurance companies for written proof that the Department of Motor Vehicles was notified of a change in ownership after a total loss payment.