What Does "Salvage Title" Mean?

by Jason Unrau
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Insurance companies brand vehicles with a "Salvage Title" when they are badly damaged. In these cases, returning the vehicle to a safe operating condition would either require spending more on the repair than the vehicle is worth, or it would be impossible to make it roadworthy again.

What Does a "Salvage Title" Mean?

When an incident leaves an insured vehicle beyond repair, or beyond a reasonable cost of repair, the insurance agency may decide to brand the title as a salvage title, also known as a total loss or insurance write-off. These incidents can include a collision, vandalism, flooding or something else that leaves the vehicle in a state of major disrepair. A salvage title essentially means the vehicle is no longer roadworthy and is fit only for a salvage yard. It has been deemed unsafe to drive, and is not insurable unless repaired and inspected extensively to ensure it is safe to operate.

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