Can you insure a car with a salvage title in California?

When your car is a total loss, it means the cost to repair the car exceeds the value of the car. If your car is declared a total loss your insurer may replace your totaled car with an equivalent one or issue payment for the actual cash value of the totaled vehicle.… read full answer

Once you file a claim, the insurance company will determine whether the car is a total loss. Depending on your state’s laws, your car may be totaled if the cost of repairs exceeds a certain percentage of the car’s value, such as 75%. If your state does not have a specific total loss threshold, your vehicle will be considered a total loss if the cost of repairs plus the salvage value is greater than the car’s actual cash value (ACV).

Insurance Payout for a Total Loss Claim

For a car that was totaled by an accident, you will be reimbursed by the other driver’s property damage liability insurance if they were at-fault or your own collision insurance if you caused the wreck.

If the damage was caused by something other than an accident, like vandalism or a natural disaster, you can receive a total loss payout from your own comprehensive coverage.

What to Do If Your Car Is a Total Loss

• If you think the insurer undervalued your car, you can present evidence and negotiate.

• You will likely need to send your insurance company your keys, remove your license plates and personal items from the car, and sign over the title.

• If your car was leased or financed and you have gap insurance or loan/lease payoff coverage, file a claim.

For more information, check out WalletHub’s complete guide to totaled cars.

Yes, you can get comprehensive insurance on a car that had a salvage title as long as the vehicle has been repaired, inspected, and given a rebuilt title. Major insurance companies that offer comprehensive insurance for previously-salvaged cars include State Farm, Geico and Progressive, among others.

However, it’s important to note that a car with a current salvage title cannot be insured, since it cannot be legally driven. Instead, you must have the car inspected and given a rebuilt title by your state’s DMV before you can safely and legally drive it.… read full answer

Companies That Offer Comprehensive Insurance for Previously Salvaged Cars

• Geico
• Progressive
• USAA
• Farmer
• AAA
• Mercury
• Safeco
• The General
• 21st Century
• State Farm (as long as you can prove that the vehicle has been fully repaired)
• Liberty Mutual (policyholders must have a letter form a certified mechanic verifying vehicle safety)

Comprehensive coverage is a type of insurance that pays to repair or replace the car if it’s damaged by something outside the policyholder’s control, like vandalism or a natural disaster. Not every insurer offers comprehensive insurance on cars that used to have a salvage title, since it can be difficult to determine their value. So if you’re looking for insurance on a car that has a rebuilt title, be sure to tell the insurance company about the car’s history.

No, California is not a no-fault state for auto insurance. California is one of the 38 states in the country where the person who causes a car accident has to pay for the damage and injuries.

How Car Insurance Works in California

When an accident occurs, the police determine who’s at fault. Then, to collect payment for their losses, victims must file a claim with the at-fault driver’s insurance company. Liability insurance is the type of insurance that pays victims’ claims, and all drivers in California are required to carry it.… read full answer

Although you’re not required to carry any other kind of car insurance in California, you may want to protect yourself in case of an accident, too. For example, if you are at fault in a crash, your car can be covered by collision insurance. Medical payments coverage can pay your medical bills.

What No-Fault State Means for Car Insurance

In a no-fault state, each driver in an accident is responsible for covering their own losses through their insurance company. No one needs to prove who caused the accident to be covered. These states have different types of mandatory insurance, such as personal injury protection, which covers medical bills, costs related to medical care like transportation expenses, and lost wages.

Because of the required personal injury protection, or PIP, drivers in most no-fault states – like Florida, Michigan, New Jersey and New York – pay more for their insurance than California residents. Being a “fault” state helps keep California around the middle of the state rankings for insurance costs.