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Can I Insure Salvage Cars in Illinois from an Online Auction?

By Mike Richards Updated: 04/07/2020 Posted: 10/15/2015

An online car auction can be a fantastic place to buy vehicles that you would not be able to afford otherwise. The prices tend to be on the very low end. This is one of the main reasons that so many people from Illinois are interested in buying from an online auto auction.

Also, it allows them to find a wider variety of vehicles than they might be able to locate in their geographical area. Online car auctions typically have vehicles from all over the country, and people like the added variety it offers. However, a large number of vehicles available are actually salvage titles. This is not necessarily a bad thing, though.

Vehicles that suffer from damage that causes the repairs to cost more than the value of the vehicle will often be declared salvage cars. They will receive a salvage title, and they will not be allowed on the road. In order to register the vehicle, the owner will have to use a licensed rebuilder to repair the vehicle and make it road ready once again. When this happens, they will be able to get a rebuilt title through the state of Illinois. At that point, they can register, insure, and drive the vehicle.

After the vehicle is rebuilt, it will also need to pass an inspection at an Illinois Department of Transportation Safety Testing Lane. The vehicle also needs to pass a salvage vehicle inspection by the Illinois State Police, who will look for any indication that the vehicle, or parts of the vehicle, may have been stolen. The check will include the public VIN, transmission number, stickers, frame number, engine number, and the body number. If they find that any part of the vehicle has been stolen, they will take it as evidence.

Currently the inspection fee is $94 and the re-titling fee is $95, and they will need to be paid by money order or check. Keep in mind that the prices are subject to change, so when you are taking the salvage cars from an online auto auction in for inspection, you should check for the latest fees.

Several inspection stations are available throughout the state, and they require appointments. Remember that the vehicle needs to go through the safety testing lane before it receives this inspection by the state police.

Getting Insurance for Salvage Cars from an Online Auction

After your vehicle is rebuilt and you are getting your new title, you need to make sure you have insurance. Getting liability insurance tends to be quite easy, and most insurance companies will have no problem providing you with this basic insurance. It only covers the damage that you do to other vehicles.

However, getting full coverage on a rebuilt title tends to be more difficult. Many insurance companies say they don’t want to take the risk. However, that’s not the case with all of the insurance companies out there.

Some will provide coverage. You just need to shop around and look at the different options that are available. Also, make sure you get quotes from several companies. The cost should not be more than the insurance that you would have for other vehicles of the same make and model in most cases.

Is It Worth the Time and Money?

This is one of the big questions consumers in Illinois ask about buying from an online auction. The answer is that it depends. Most of the time, it is entirely worth your while, as long as you buy wisely. This means that you need to look at the condition of the vehicle and have an idea of the type of damage it has and the amount that it would cost to fix.

If it is less than what you would pay for a vehicle with a normal title, then it could well be worth your time. Research the vehicle to understand what it has to offer and what repairs you will need to make. Talk with a licensed rebuilder and then see what type of potential costs is has associated with it.

When you consider just how much you will be able to save on the price of the vehicle you buy through the online car auction, it may be your best option. 

Read more on the official Procedures in This State, or on Rebuilt Title Laws for Other US States. Explore our Vehicle Auctions and find info on Buying With Us.