Posted on: 14 December 2015
If you are looking for an extreme motor vehicle bargain, you might consider purchasing a salvage car, one that has been in a serious accident and "totaled" by the insurance company. Although these purchases come with some risks, you can acquire a serviceable salvage vehicle as long as you are cautious and follow certain procedures.
Of course, these vehicles come with a low price tag. To be labeled a salvage vehicle by an insurance company, cars generally need more repairs than their listed value, so they are often priced about 40% less than a non-salvage model would be. However, the car will not be worth that price if it has not been totally repaired. You need to make certain that all of the damage caused by the collision has been fixed on the car. If not, you need to subtract the estimated cost of these additional repairs from the price. In some instances, you can pay even less than 60% because many people are afraid of salvaged cars.
You or a mechanic need to inspect the car to check for unrepaired damage and certain structural issues that may make the car a bad bet. In particular, you need to look at the frame for cracks or other signs of weakness. If the frame is not trustworthy, you do not want that specific car. You also need to make sure the airbags and the seatbelts are in working order.
Before you buy, you should contact your insurance agent to make sure they will cover your car. Not all companies will take on a salvage car, and those who do will not offer complete coverage. In fact, you will probably have to settle for a modest amount of liability insurance that is based on the salvage value. In other words, no amount of repair or renovation will get the insurance company to up the coverage on your car.
A salvage car can be a good investment for you as long as you have reasonable expectations. You are buying a vehicle that has been severely damaged in an accident. However, if you can get an excellent price on the vehicle and the frame has not been seriously damaged, the risk may well be worth it. Make certain to have a repair shop, like Meyer's Tire Service Inc, inspect the car and consult with your insurance agent. You may be one of the lucky buyers who gets an excellent car for little money.Share