Reader’s Question:
Would it save me money on my auto insurance if I buy a second hand vehicle? What if the vehicle I’m looking to buy has a salvage-title on it from one of the salvage yards here in Dallas, Texas? (the car still runs fine, though)
Charlotte
Dallas, TX
Dear Charlotte, with regards to how you would be paying for car insurance on a salvaged vehicle, the answer is a delicate balance between either getting a low insurance premium since the car does not have that much value or worth anymore or paying a very high premium, if it is determined the vehicle’s repair is substandard and determined unsafe by the car insurance provider’s assessment. Most likely though your premiums will be low, even lower if you decide to get a higher deductible when you file for a claim in the future, but this is where the problem starts.
Your car insurance provider there in Dallas, Texas will most likely consider your salvage-titled automobile with very, very little worth (worthless, even) in the event it gets damaged-beyond repair or destroyed in a collision. No matter how well repaired or maintained the vehicle is the
fact that it has a salvage-title on it nulls the amount of money you put on it for car insurance. So don’t expect much of a settlement from your provider here. That doesn’t mean you don’t have to get insurance on it but you should focus more on liability and personal injury protection coverage instead. Hope this helps in your attempt to get suitable car insurance for your salvaged vehicle.