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  • What are the various reasons that a vehicle gets a Salvage Title?

    Contrary to popular belief, the vehicle with a salvage title has not always been in a collision. Rather there are some other events in a vehicle’s history that can lead to salvage title designation either under state law or insurance carrier policy.

    Flood Damage: Flood-damaged vehicles are not always designated as a salvaged. Some states will use a special designation for flood damage while others simply include flood damage under the general category of “salvage title.”

    Hail Damage: Hail damage can range from a few dings to severe damage to a vehicle’s exterior. Some states have a specific “hail damage” designation or treat severe hail damage as a precondition for a salvage title.

    Theft Recovery: When a vehicle has been stolen the insurance company will reimburse the owner for its replacement value after a certain period. If the vehicle is eventually recovered, the insurance company will likely sell it to a salvager. Some states will then issue a salvage title for the car.

    States that issue a salvage title after a car has been stolen include: Arizona, Florida, Georgia, Illinois, Maryland, Minnesota, New Jersey, New Mexico, New York, Oklahoma and Oregon.

    Repairable After Damage: The most common example involves a car with severe damage which can be repaired and made operable again. In these cases, the state will allow the vehicle to be repaired, on the condition that the title is labeled as “salvaged.”