Reasons For A Salvage Title
Have you purchased a vehicle with a salvage Certificate or Title? You have landed on the right page, if so. The Smog Stop’s aim is to inform you about everything you need to regarding salvage vehicles. Often times motorist are very confused when it comes salvage vehicles. Misinformation is constantly spread about salvage vehicles. This usually results from the sellers or backyard dealers telling the unsuspecting buyer anything they want to hear to make the sale. The guide below will help you determine the reason for the salvage title.
Top 5 Reasons A Vehicle Has A Salvage Title
- Vehicle was in a accident and the cost to repair the vehicle exceeded the actual cash value of the vehicle. They write the car off as a total loss.
- Vehicle was damaged by a natural disaster. For example, the vehicle was in a flood, hailstorm, or hurricane.
- The vehicle was stolen and then later recovered. These type of vehicles are written as a total loss by the insurance company, as well
- Vehicle was “Junked” by the registered owner. This happens when someone wants to end the lifespan of the motor vehicle.
- Vehicle was vandalized and the cost to repair the damage is in excess of the value of the vehicle.
Exploring these reasons in detail will help you understand be informed if you are going to purchase a vehicle with a salvage certificate. If you already own the vehicle this page will demonstrate the reason the insurance company decided to write your vehicle off as a total loss.
Salvaged Vehicle From Accident
Value of Vehicle
If you get in to an accident the odds of the insurance company actually repairing your vehicle depends on several factors. The first factor is the actual cash value of the motor vehicle. A good way to get an estimate of the actual cash value is to look at KBB.COM or NADA.COM and determine the value of the vehicle. Once you have the value, you can determine the next factor, the cost to repair.
Cost To Repair Vehicle
The cost to repair the vehicle is the amount the insurance company estimates it will take to repair your car. The insurance estimators estimate is often low because they can not see all the damage from just an inspection. Once the vehicle undergoes repairs supplemental claims are submitted to handle additional damage found by the auto body shop. If the cost to repair the vehicle gets to be about 70% of the vehicles value the insurance company will write the vehicle off as a total loss. This results in the vehicle being issued a salvage certificate. Once the salvage certificate is issued, the vehicle will need to be revived in order to be legally operated on a California Public Highway.
Salvaged Vehicle Was Damaged By A Natural Disaster
Certain areas of the countries as routinely effected by natural disasters, such as hurricanes, tornadoes, floods. Vehicles in these regions are often salvaged by the occurrence of the natural disaster. These vehicles often wind up in California and other states for resale by shady car dealers trying to make a buck. They often try to wipe the salvage titles clean by registering the vehicle in another state. If you come across a car for sale that has an out of state salvage certificate, you should do your homework before buying the salvaged vehicle.Salvaged Vehicle From Flooding
Salvaged Car From Flooding
Flooding can cause damage to a vehicle that can go unnoticed by the buyer. If you are looking at vehicle that has come from a state that has been in the news in the last few months because of extreme flooding or hurricanes, you might want to think twice about buying the salvaged car. A vehicle damaged by flood waters can cause severe electrical problems in the car that can be very costly and difficult to repair. These problems can be delayed because corrosion from water takes time to develop.
Vehicle Salvaged From Theft
If a motor vehicle has been stolen and the insurance company paid out on the theft claim, the vehicle will be written off as a total loss. If the vehicle is recovered then the vehicle will have a title branded salvage. If you are in the market for a salvage car and the reason for the salvage certificate is theft, it might not be a bad vehicle to purchase. Theft does not actually destroy the integrity of the vehicle or its systems. It is a good idea to verify that theft was the actual reason the vehicle was salvaged.
The term “Junk Vehicle” actually refers to the process of ending the life span of the motor vehicle with the California DMV. The motorist ensures that all fee’s are current within the Department of Motor Vehicles database and the DMV will issue a Junk Slip. This vehicle no longer accrues registration or penalties. If someone purchases this vehicle or the owner of the vehicle decided they want to put this vehicle back on the road, the vehicle will have a salvage title when it is resurrected.
Salvaged Vehicle Vandalized
Vehicles which are vandalized end up receiving a salvage title based on the cost to repair verses the actual cash value of the vehicle. Many times someone keys the paint on the vehicle and that alone can cause the vehicle to become salvaged. These are the best vehicles to purchase since you can see the damage that the vandal caused. The odds are in your favor that there is nothing mechanically or electrically wrong with the vehicle.