Salvage Vehicle



Your vehicle may be damaged in a severe accident, flood, or theft. If one of these instances occurs to your vehicle and you have auto insurance, the insurance company will "total" the vehicle, cover your loss, and refer to the damaged car as a Salvage vehicle.

Based on the amount of damage and the original blue book value of the car, a value for the salvage vehicle is then calculated by the insurance company. This value is generally far below the blue book value of the automobile.

Insurance companies then sell these vehicles to salvage companies. The salvage vehicle is now legally restricted for selling, and companies will dismantle salvage vehicles and use their parts. Occasionally, companies sell these salvage vehicles and fix a cost for them. This cost is obviously below the market value of the vehicle.

Sometimes companies attempt to sell these cars in another state. In this condition, there is major risk that these salvage vehicles are repaired improperly - parts may be duplicate and the automobile may be unsafe.

 

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