Even if you’re still making payments and not driving the vehicle, lienholders typically want to ensure the vehicle is protected. If the vehicle is parked and a windstorm knocks a tree onto it, lenders want the damage to be fixed and covered under insurance.
You can reach out directly to your lender to find out what they require. If they don’t have any insurance requirements, you should be fine to register it as non operational and remove the insurance. If they do, you’ll need to follow them as you signed a contract when purchasing your vehicle.”