burningpez said:
I have a 1989 Toyota MR2 Supercharged. The car was hit while it was parked. The insurance company wants to total the car and give me a settlement. I do not want to have a salvaged title. Is the insurance company in any legal trouble if they do not report my car as a salvage to the CA DMV?
My response:
Yes.
Definition of a salvage vehicle.
A salvage vehicle is a vehicle which has been wrecked, destroyed, or damaged, to such extent that the insurance company considers it uneconomical to make repairs to the vehicle and the vehicle is not repaired by or for the person who owned the vehicle when the damage occurred.
The California title will contain a notation identifying this vehicle as a salvage vehicle. For more information read the publication Re-register a "Salvaged" vehicle.
What to do after your insurance company settles your accident claim and you keep the vehicle.
You must apply for a salvage certificate from the DMV when you retain possession after a total loss settlement. If the vehicle is inoperable, file a certificate of planned non-operation to avoid penalties.
To apply for a salvage certificate, you will need to:
Visit a DMV office (Make an appointment for faster service)
Complete an application for salvage certificate
Surrender the title and license plates
Pay a $3 fee within 10 days
When the vehicle is ready to be reregistered, DMV will require:
1) A completed application for registration
2) A salvage certificate
3) A verification of the vehicle, for which there is a $50 fee
4) Official brake and light adjustment certificates
The Vehicle Verification is done by the CHP upon referral from DMV. There is a $50 fee, which must be paid to the DMV before you will be referred for verification. When a new title is issued, it will contain a notation identifying the vehicle as a salvage vehicle.
IAAL
