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Registering and Insuring Auction Cars in Maryland 

Date: 10/16/2015 |Category: Car Auctions, Car Insurance

Buying cars at auction is a great way to find some cars for far less than what you might pay through traditional means. However, you will often find that vehicles offered through the auctions have salvage titles, and they will need to go through certain processes before they can receive a new title and be allowed on the roads in Maryland.

If you are considering buying auction vehicles that have these titles, it is important to know the process that’s expected of you after you have one of the cars or trucks. It’s a relatively simple procedure, but you need to be sure you have everything in order.

Getting Your Vehicle on the Road

When you have car with a salvage title, you are not permitted to operate them on the roads of Maryland. You need to make sure that you first repair the vehicle and make sure it is safe to operate and that all of the damage has been fixed.

It’s always a good option to go through a professional mechanic or garage to complete the repairs, as they have the experience needed to ensure proper repairs. During the repair, make sure that you keep all of the receipts and bills of sale for the components used in the process.

After the vehicle is rebuilt, it has to be submitted to a salvage inspection. The state police will conduct this inspection. You can make an appointment for the inspection through any of the field offices in Maryland. The current fee for the inspection is $25, but this could change. Always check the most recent fees for inspections, titles, and registration before you make any appointments so you know how much you will be spending.

You will need to have the vehicle towed to the inspection site. You also need to have your driver’s license and salvage certificate with you. The inspectors will determine whether the vehicle is ready to operate on the road. If it is, they will let you know and provide you with a pass stamp. Then you can go through the regular process of getting the title and registration for the vehicle.

This last part of the process will require that you include the salvage certificate, which will have the inspection stamp on it, an Application for Certificate of Title that you completed, the safety inspection certificate, bill of sale that indicates the vehicle price, and the odometer reading. In addition, you will need to show proof of insurance at this time. You can then get the title. Currently, the fee for a title in the state is $100.

How Do You Get Insurance?

Many in Maryland who buy car auction vehicles worry about getting insurance for their vehicles. After you go through the rebuilding process, you should not have any trouble when it comes to getting liability insurance. Most companies will offer this limited type of coverage, and that may be all that you feel the vehicle warrants since you likely got it for a low price.

However, others may want to have higher levels of insurance such as collision and comprehensive. It tends to be more difficult to get this type of insurance, though, since insurance companies have trouble calculating the value of rebuilt vehicles.

Some companies will provide the coverage, though, so you should make it a point to look for insurance companies that offer these policies even before you buy car auction vehicles. This way, you know where you can get insurance when the time comes.

Buying cars at auction has the potential to save you some money, and it could be a great option for many residents in Maryland. As long as you know the repairs the vehicle will need, so you can make sure the purchase is worth it, and you are willing to go through the steps need to get the car back on the road, it can be a good choice.

Find information on Rebuilt Title Laws for Other US States. Explore our Vehicle Auctions, as well as finding more information about How These Auctions Work.

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