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Insuring a salvage title vehicle???


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I looking to purhcase a 76 2002 - CA car, orignal owner car, very very clean; overall mechanical and cosmetic condition is above average.

Owner states the car has a salvage titled that came from a truck backing into the front left side of the vehicle sometime ago. At the time of the accident, the value of the car was less than the cost to repiar, so the insurance paid off. NO engine damage. Owner kept the car had the car repaired very, very nicely BUT the title still holds a "salvage" status.

WOULD there any difficulty obtaining insurance? What will the insurance company be looking for? What are your thoughts?

j

 

1975 - modified - the "silver back"

@https://twitter.com/jangelurbano

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Shouldn't be any problem, my 86 el camino was in a pretty bad front end crash in the 90's and I've got full coverage on it and its fine.

1976 BMW 2002 'Bella'

The BMW 2002 US VIN 2743187 was manufactured on May 12th, 1976 and delivered on May 13th, 1976 to the importer BMW of North America. The original colour was Sahara, paint code 006.

1986 El Camino 'Ellie'

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More difficult than a normal car yes...Some will require an inspection of the vehicle repairs, some will not allow you to cover the vehicle the same and some will raise the price...and some wont cover them at all. A buddy bought a salvaged Lexus from a dealer that sells only salvaged cars...he kept it for 10 years and it was solid...Beware if you plan on selling it ever...salvage titled cars are usually worth less than half of a non salvage just because of the salvage title.

1976 BMW 2002 Fjord Blue Ireland Stage II • Bilstein Sports • Ireland Headers • Weber 38 • 292 Cam • 9.5:1 Pistons • 123Tune Bluetooth 15" BBS

2018 BMW M550i X-Drive

1964 Volvo Amazon Wagon
http://www.project2002.com

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Beware if you plan on selling it ever...salvage titled cars are usually worth less than half of a non salvage just because of the salvage title.

I agree, you can use this to your advantage when purchasing this car from the guy, as the value is significantly (as he said, less than half) of the normal value. But if you ever plan on re selling it, you will be in the same boat...so dont buy it as a normal price, ever expecting to get rid of it for the "normal price" you paid for it

1970 02 Colorado Orange(sold)

1969 Charmonix 1600-2

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It's a 35 year old car, you don't need full coverage. Just get liability, medical, and comprehensive (and uninsured driver coverage to CYA).

G-Man

LOL..thats pretty much full coverage....The problem with insuring a salvage vehicle is the valuation of the vehicle. Most companies will only gibe you liability. If you get full coverage make sure you ask them HOW MUCH THEY WILL PAY if the car is stolen, or totaled (again). Most insurance companies pay 30% of the value of a clean titled car. If they deem your car is worth $3000 if it were clean....your totaled car is worth $1000. If you paid $4000 you wouldnt be very happy. Also if you fix it up...and they DONT have it re-appraised and agree to a new value, then it will always be worth $1000 to them....

1976 BMW 2002 Fjord Blue Ireland Stage II • Bilstein Sports • Ireland Headers • Weber 38 • 292 Cam • 9.5:1 Pistons • 123Tune Bluetooth 15" BBS

2018 BMW M550i X-Drive

1964 Volvo Amazon Wagon
http://www.project2002.com

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The age of the vehicle does not come into play in this situation (35 years). It's the value that you are worried about. The company I do business with will only pay you 50% of the value of a non-salvaged vehicle. If a non-salvaged car is worth $6,000, yours would only be worth $3,000 and really not worth insuring for comprehensive and collision. If the car is worth $15,000, then it is probably worth insuring (the price of coverage is based on the $15,000, but what you would get is $7500, so it's sort of a rip off though). You have to find out what it will cost to insure it, and decide if it is worth it to you. If the company will only pay you $3000 for the car and you are paying $500 a year for the coverage and have a $500 deductible, its not worth it. Take a chance. Also, take into account that you will get less when you sell it and if you live in CA, it needs smog (if it is a 1976).

Good luck,

Carl

1969 1600 Cabriolet Ti engine

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good points....you pay premiums on what the CLEAN titled car is worth. They pay (if you get comprehensive) on what the salvage title is worth roughly 30- 50% of the clean titled value. Oh and dont buy a 76 if you plan on keeping it in California. Smogging it is a pain...

1976 BMW 2002 Fjord Blue Ireland Stage II • Bilstein Sports • Ireland Headers • Weber 38 • 292 Cam • 9.5:1 Pistons • 123Tune Bluetooth 15" BBS

2018 BMW M550i X-Drive

1964 Volvo Amazon Wagon
http://www.project2002.com

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If it's not a daily driver, consider agreed value insurance from someone like Leland-West.

They'll at the very least discuss it with you and give you options.

But, as others say, if buying, make sure it's not at Market Value, because the car's not worth it.

Cheers!

1976 BMW 2002

1990 BMW 325is (newest addition)

1990 Porsche 964 C4 Cabriolet

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It's a 35 year old car, you don't need full coverage. Just get liability, medical, and comprehensive (and uninsured driver coverage to CYA).

G-Man

LOL..thats pretty much full coverage....The problem with insuring a salvage vehicle is the valuation of the vehicle. Most companies will only gibe you liability. If you get full coverage make sure you ask them HOW MUCH THEY WILL PAY if the car is stolen, or totaled (again). Most insurance companies pay 30% of the value of a clean titled car. If they deem your car is worth $3000 if it were clean....your totaled car is worth $1000. If you paid $4000 you wouldnt be very happy. Also if you fix it up...and they DONT have it re-appraised and agree to a new value, then it will always be worth $1000 to them....

It's everything but collision insurance, and collision insurance is by far the most expensive portion of car insurance (unless you have a DUI, wreckless driving infractions). If so, than your insurance is in another league.

G-Man

74 tii (many mods)
91 318i M42

07 4Runner

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Plan on having it smogged every 2 years forever..... No rolling cutoff any more. Smog requirement is currently fixed at 1976 model year and newer in California.

Cheers,

Patman

74 2002tii known as "The Pickle"

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Yes...and since it has to have ALL the smog equipment and be in working order you lose the ability of adding high performance parts....so less fun. Also some of those parts are no longer available new...so if you need replacements, it could be a pain. Also if you have all the parts and it fails for other reasons...you still have to deal with the hassle....better to find a 75.

1976 BMW 2002 Fjord Blue Ireland Stage II • Bilstein Sports • Ireland Headers • Weber 38 • 292 Cam • 9.5:1 Pistons • 123Tune Bluetooth 15" BBS

2018 BMW M550i X-Drive

1964 Volvo Amazon Wagon
http://www.project2002.com

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