Salvage title question

[intrepid27]

So in 2021 My truck was hit by another driver and I had it repaired. At the time repair was $12K and truck was worth about $14K . Since I was planning on keeping it I did nothing with the title. I'm looking to sell it and had some questions.

If I sell it privately to a family member and just transfer the existing title as is is there anyway the state/county can tell there was supposed to be a salvage title? If so what are the consequences for getting caught?

Along the same lines, said family member works for me, and vehicle is registered to my company. If I were to set him up on a "company vehicle program" we would not have to change ownership but would have to register in another state. Could the salvage title bit us in that case?

Update: I spoke to the body shop that did the repairs and he thought that in Iowa you didn't need to do a salvage title on a vehicle over 8 years old. Does this sound right?

 

[wxman1]

So in 2021 My truck was hit by another driver and I had it repaired. At the time repair was $12K and truck was worth about $14K . Since I was planning on keeping it I did nothing with the title. I'm looking to sell it and had some questions.

If I sell it privately to a family member and just transfer the existing title as is is there anyway the state/county can tell there was supposed to be a salvage title? If so what are the consequences for getting caught?

Along the same lines, said family member works for me, and vehicle is registered to my company. If I were to set him up on a "company vehicle program" we would not have to change ownership but would have to register in another state. Could the salvage title bit us in that case?

Update: I spoke to the body shop that did the repairs and he thought that in Iowa you didn't need to do a salvage title on a vehicle over 8 years old. Does this sound right?

I don't know the answers but got curious and looked up information. How is it insured right now?

 

[HOTDON]

I'm a bit confused. Did you have it totalled out and repaired through your insurance company? If you just repaired the vehicle it wouldn't be on a salvage title. Maybe that's to be assumed?

 

[BCClone]

So in 2021 My truck was hit by another driver and I had it repaired. At the time repair was $12K and truck was worth about $14K . Since I was planning on keeping it I did nothing with the title. I'm looking to sell it and had some questions.

If I sell it privately to a family member and just transfer the existing title as is is there anyway the state/county can tell there was supposed to be a salvage title? If so what are the consequences for getting caught?

Along the same lines, said family member works for me, and vehicle is registered to my company. If I were to set him up on a "company vehicle program" we would not have to change ownership but would have to register in another state. Could the salvage title bit us in that case?

Update: I spoke to the body shop that did the repairs and he thought that in Iowa you didn't need to do a salvage title on a vehicle over 8 years old. Does this sound right?

If you have a buyer who knows, I’m not sure why you care. It will be another 5 years older if he looks to sell it later I’m guessing.

 

[Gonzo]

I'm no expert but I thought that a salvage title was only issued when the car/truck is deemed a total loss by the insurance company. If you used insurance to cover the repairs and they didn't deem it a total loss, not sure why a salvage title would come into play?

 

[BCClone]

I'm a bit confused. Did you have it totalled out and repaired through your insurance company? If you just repaired the vehicle it wouldn't be on a salvage title. Maybe that's to be assumed?

Last I knew you had to report it if damage was over 50%. Insurance will put the hit on it.

This is why people dislike used car sales people. People aren’t honest to them and try to hide stuff like this.

 

[wxman1]

Last I knew you had to report it if damage was over 50%. Insurance will put the hit on it.

This is why people dislike used car sales people. People aren’t honest to them and try to hide stuff like this.

 

[MJ29]

Hi, insurance professional here. If you submitted a claim and your insurance deemed it a total loss, they would have issued you payment for the total loss. Perhaps you used that money for the repair? In that case, your vehicle would have what is called a branded title (indicating to future inquiries that the vehicle was previously a total loss), and would likely only have liability coverage on it as a result.

Personal anecdote: My 12 yo vehicle was deemed a total loss after that August hail storm we had two years ago. I accepted the total settlement and now have liability only coverage on my vehicle. I did not get the hail damage repairs because I don't think it's super noticeable, and it doesn't bother me.

 

[flynnhicks03]

Hi, insurance professional here. If you submitted a claim and your insurance deemed it a total loss, they would have issued you payment for the total loss. Perhaps you used that money for the repair? In that case, your vehicle would have what is called a branded title (indicating to future inquiries that the vehicle was previously a total loss), and would likely only have liability coverage on it as a result.

Personal anecdote: My 12 yo vehicle was deemed a total loss after that August hail storm we had two years ago. I accepted the total settlement and now have liability only coverage on my vehicle. I did not get the hail damage repairs because I don't think it's super noticeable, and it doesn't bother me.

I don't know much about insurance, but my family has had a few accidents. In cases when the accident is deemed a "total loss" the insurance company pays me what the car is worth, and they have taken the car. I've been told I can buy the car back, but I haven't ever done that. I don't know if this varies from state to state, but when you say you "accepted the total settlement", are you saying they paid you for the damage and you got to keep the car, or did you basically buy back the car for less and got to keep the difference? How does that work? I apologize if I'm being dense here, but I'm genuinely curious.

 

[ClonesFTW]

View attachment 128876

By this definition any BMW older than a 2016 should be salvage based on standard repairs exceeding 70% of the value lol. Any current or previous BMW owner knows what I'm talking about.

 

[iahawkhunter]

By this definition any BMW older than a 2016 should be salvage based on standard repairs exceeding 70% of the value lol. Any current or previous BMW owner knows what I'm talking about.

IIRC, there's a time limit on that repair threshold. Basically, once it's old enough (7-8 years, I thought), you wouldn't have to check the box on the title for "I repaired a lot of damage".

 

[wxman1]

By this definition any BMW older than a 2016 should be salvage based on standard repairs exceeding 70% of the value lol. Any current or previous BMW owner knows what I'm talking about.

IIRC, there's a time limit on that repair threshold. Basically, once it's old enough (7-8 years, I thought), you wouldn't have to check the box on the title for "I repaired a lot of damage".

I would also assume that there is a difference between damage repair and general upkeep. Buy a cheap car and go to put four new tires on it and a battery and you will likely be well over $1k all in.

 

[iahawkhunter]

I would also assume that there is a difference between damage repair and general upkeep. Buy a cheap car and go to put four new tires on it and a battery and you will likely be well over $1k all in.

Oh definitely, maintenance is different from repair.

 

[MJ29]

I don't know much about insurance, but my family has had a few accidents. In cases when the accident is deemed a "total loss" the insurance company pays me what the car is worth, and they have taken the car. I've been told I can buy the car back, but I haven't ever done that. I don't know if this varies from state to state, but when you say you "accepted the total settlement", are you saying they paid you for the damage and you got to keep the car, or did you basically buy back the car for less and got to keep the difference? How does that work? I apologize if I'm being dense here, but I'm genuinely curious.

You can choose company retained salvage or owner retained salvage. Most people choose company retained if they intend to replace the vehicle. The settlement is usually a little higher in that case because the insurance carrier will then sell the car for salvage proceeds. In owner retained, you are typically paid the car's value less what any projected salvage costs. That's usually generated through a quote from a salvage yard.

 

[flynnhicks03]

You can choose company retained salvage or owner retained salvage. Most people choose company retained if they intend to replace the vehicle. The settlement is usually a little higher in that case because the insurance carrier will then sell the car for salvage proceeds. In owner retained, you are typically paid the car's value less what any projected salvage costs. That's usually generated through a quote from a salvage yard.

Thanks! I learned something today.

 

[0u812]

By this definition any BMW older than a 2016 should be salvage based on standard repairs exceeding 70% of the value lol. Any current or previous BMW owner knows what I'm talking about.

We call that "mechanically totaled"....happens a lot with all modern cars. All brands, and types....BMW, Mercedes and Audi are probably the biggest culprits here due to the miles of wiring and electronics that can go bad/get damaged.

 

[Antihawk240]

You may not actually have a titled "Salvaged" vehicle. The word "salvage" might be used a bit too freely here. I say this only because, last fall my son absolutely pulverized a deer . My son- drove an old vehicle- insurance company said repairs were 80% percent more than what the vehicle is worth. This was frustrating to me because they just wanted to cut us a check johnny on the spot appearing like they were a quick and outstanding insurance company. To their fairness, they were. We get the check, mail them the title and they melt the vehicle. But the problem was there was not a chance I was going to buy my son a comparable vehicle for the check they were giving me. They were calling it a total loss yet the check wasn't satisfactory to replace it. So it led us to option B. They would cut us a check minus the "salvage" value on the vehicle, then I could do whatever I wanted with the vehicle. I was pretty adamant that the title would not be called "Salvaged." They assured me it wouldnt, because the vehicle was over a certain age. They were correct, it never was titled Salvage in this transaction Interesting enough..........I showed the autobody shop the check and they informed me that once the insurance company was out of the picture they could easily put the vehicle back together using 2nd hand parts and non brand specific parts for LESS than the check I had in hand. Piece of cake.

So, I am wondering if you in fact had the same situation as me.

 

[intrepid27]

Hi, insurance professional here. If you submitted a claim and your insurance deemed it a total loss, they would have issued you payment for the total loss. Perhaps you used that money for the repair? In that case, your vehicle would have what is called a branded title (indicating to future inquiries that the vehicle was previously a total loss), and would likely only have liability coverage on it as a result.

Personal anecdote: My 12 yo vehicle was deemed a total loss after that August hail storm we had two years ago. I accepted the total settlement and now have liability only coverage on my vehicle. I did not get the hail damage repairs because I don't think it's super noticeable, and it doesn't bother me.

Thanks! Actually the insurance company did not total it but I was under the impression if repairs were more than 70% of the value then it needed a salvage title. Is that not correct?

 

[VeloClone]

Hi, insurance professional here. If you submitted a claim and your insurance deemed it a total loss, they would have issued you payment for the total loss. Perhaps you used that money for the repair? In that case, your vehicle would have what is called a branded title (indicating to future inquiries that the vehicle was previously a total loss), and would likely only have liability coverage on it as a result.

Personal anecdote: My 12 yo vehicle was deemed a total loss after that August hail storm we had two years ago. I accepted the total settlement and now have liability only coverage on my vehicle. I did not get the hail damage repairs because I don't think it's super noticeable, and it doesn't bother me.

Getting better gas mileage? Like dimples on a golf ball the micro turbulence from multiple small dents could be reducing drag on your vehicle.


<jimlad>

 

[Cyclonesrule91]

Thanks! Actually the insurance company did not total it but I was under the impression if repairs were more than 70% of the value then it needed a salvage title. Is that not correct?

If insurance company decides the car is a total loss and you decide you want to keep the car and take the net settlement from Insurance company and fix your car, I don't think you have to go in and change your title to a bonded/salvaged title. If the insurance company pays you out and takes the car, then title get's changed and they sell it to someone to fix up and then get a prior salvaged title. But I would guess if someone pulled a carfax or vehicle history report on a regular titled vehicle, the loss would show up there because insurance company would report it. It worked that way for me in the past, unless it has changed.