Drivers who own their cars free of any loan obligation typically receive a check in their own name, says Loretta Worters, a spokesperson for the Insurance Information Institute. Â  "If you own your vehicle outright, then your insurer should make out a check in your name," Worters says. "The insurance company will likely ask you for proof of ownership before they issue the check." Drivers who have a car loan face a more complicated situation. "If you don't own the car free and clear, the check will likely be made out in both your name and the (name of the) lienholder or the body shop," Worters says. Sometimes, the body shop will be the only name on the check, she adds. Insurers include the repair shop's name on the check to reduce fraud and guarantee that you repair the car, Worters says. There are circumstances â particularly when another driver is at fault in an accident â in which someone else's insurance company will issue the check. Drivers in this situation are likely to receive a check in their name only, even if they have a car loan. Melanie Musson, insurance expert and writer with freeadvice.com, says the check recipient varies by insurer and state.Â  âUsually, the car insurance company will make the check out to the body shop to simplify the process. This is not always the case, though. Sometimes the insurance company makes the check out to the vehicle owner so the owner can pay the body shop,â Musson says.Â  Musson adds that an insurer will contact the driver directly to discuss a settlement if the car is a total loss.Â âFrom there, you can negotiate the settlement offer if you believe their offer is not fair. In the end, the check will be made out to the vehicle owner,â Musson says.Â