What is the Difference Between a Salvage Title and a Rebuilt Title

It’s possible, and maybe even likely, that you’ve always owned vehicles with clean titles. A vehicle that’s never been in an accident that was so severe that it was deemed an entire loss by the insurance company is considered a clean vehicle. But there are two other types of titles that you should know about, especially if you’re in the market for a new car. 

Salvaged Vehicles

When an insurance company deems a vehicle as being totaled, meaning it would cost more to fix the car than what it’s worth, a vehicle is given a salvaged title. The people involved in the accident might also consult with an agency, such as the National Biomechanical Institute, to determine several factors involved in the accident.

The National Biomechanical Institute might also look at the equipment involved in an accident to determine the cause of extensive personal injury. A salvaged vehicle is great for mechanics who want to fix them up and other people who are particularly good at car mechanics. Parts from this kind of vehicle can be taken out and used on other vehicles, or the car can be rebuilt by a mechanic. However, this isn’t the entire picture. If a vehicle is in an accident and is only worth of few thousand dollars, it’s very possible that the damage is only cosmetic.

A vehicle can be deemed totaled by the insurance company because it wasn’t worth much to begin with, and it doesn’t make sense to put $3,500 worth of bodywork into a vehicle that only is worth $3,000. However, if a vehicle that had an estimated value of $12,000 before the accident is considered totaled, then it’s much more likely that there is extensive damage to the mechanics of the vehicle. 

Reconstructed Vehicles

You might also wonder about reconstructed vehicles, which are also called rebuilt vehicles. When an automobile is in an accident and given the salvaged title, a mechanic can fix the vehicle. If the car or truck is fixed, it then needs to be looked at by an inspector from the state. If this state worker deems that it is in operational condition and safe to drive on the roads, it will be given a reconstructed title. It’s worthwhile to note that a reconstructed title is not the same as a clean title. Some insurance companies will not cover a reconstructed vehicle. Also, you might not know the full extent of the damage to the vehicle when it was totaled, so you should have a mechanic look at it before purchasing. 

While a vehicle can have a clean, salvaged, or reconstructed title, any one of these might be the right choice, depending on the buyer’s needs.