What is a Rebuilt Salvage Title?
A salvage title is issued to indicate a vehicle that had damage and had been purchased from the insurance company. Vehicles are generally sold to salvage yards or rebuilders by the insurance companies. Some are the result of accidents, flooding or stolen recovery.
When a vehicle with a salvage title has been repaired or rebuilt, it can be titled and registered for road use again. The vehicle must first pass an inspection by a specially-trained law enforcement officer. After the inspection, a new title is issued with the legend “REBUILT SALVAGE.” This legend alerts future owners the vehicle was once a salvage title. A license plate can be issued when the "rebuilt" title application is processed. Ironically, only our cars get inspected. Under Michigan law, no roadworthiness test is necessary other than salvage inspections. This means that only our cars are inspected. Clean title cars, whether sold on E-Bay or otherwise, have not been inspected.
I thought salvage title cars are “totaled”?
“Totaled” means an economic total loss. This doesn’t usually have much to do with the extent of the damage. Regardless of mileage, the older the car is the easier it would be for an insurance company to write them off. The less expensive the car is the lighter the damage would have to be for an insurance company to write it off rather than repair it. The salvage industry is huge in this country. We have access to thousands of cars a week through salvage auctions. The majority of those cars are, indeed, not worth repairing. But a lot of these cars have minor damage or none at all. We pick and choose cars that have light damage. We never buy anything with severe damage. If nothing else, it would not be economical for us.
How common are Rebuilt Salvage Vehicles?
The fact is that nearly all retail dealers have body shops on site. The vast majority of used cars get bodywork. The difference is that we disclose all of our repairs. Most dealers do not. This is because we believe that there is nothing wrong with buying a car that has had body work done, but you should be able to buy it for less.
Do I have to do any additional paperwork if I am buying a vehicle with a Rebuilt Salvage title?
Customers do not have to do any additional paperwork if they are buying a vehicle with a Rebuilt Salvage title from us. The inspection and the processing are taken care of by our dealership. Once the customer receives the title, they can sell it just like any other vehicle.
Can I get insurance for a Rebuilt Salvage vehicle?
Customers can get insurance on a rebuilt salvage vehicle. If the vehicle is totaled, most insurance companies pay the customers around 80% of the market value.
Can I register a rebuilt salvage vehicle in another state?
This will be no different than any other car. The initial 15 days registration we issue is free of charge as long as you have insurance. Rebuilt Salvage cars will register and transfer like any other car.