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Salvage
Car Auctions - Insurance Auctions - Theft Recovered Vehicles
Auto insurance companies
buy and sell cars? It's true. However the cars are those that have been
wrecked, weather damaged, or stolen, meaning that the insured owners of
those vehicles have been paid by the insurance company after the vehicles
have been declared total losses (totaled). The company attempts to recover
some of its money by selling the vehicles, usually at salvage auction
through an insurance salvage auction company.
Bargains
at salvage auctions
It is possible to find outstanding bargains and relatively cheap cars
by knowing how insurance salvage auctions work and where to find them.
In many cases the cars are in great shape and need little or no repairs.
Salvage and totaled cars can often make great project cars.
Examples
A large
car dealer in Texas had most of his new cars partially under water during
a recent flood. The dealer's insurance company decided to declare all
of the cars as total losses and paid the dealer. The insurance company
then became the owner of the cars, some with major water damage and some
with almost no damage. The company will sell the cars at auction with
salvage titles. Smart buyers can pick up the cars, often at bargain prices,
and repair them to resell or drive as their personal cars.
Another example: An
insurance company's customer had his new car stolen. The police were unsuccessful
in locating the vehicle. The insurance company paid the customer the cash
value of the car. A few months later, the car was recovered, in good shape,
and the thief was arrested. However, the car, with a salvage title, now
belonged to the insurance company who now wanted to recover some of its
money by selling the vehicle at salvage auction, or to a broker who would
then resell the car.
How
it works
Companies such as Insurance
Auto Auctions, Inc. (IAA) buy totaled and recovered-theft vehicles
from insurance companies and auctions them to rebuilders, used-car dealers,
parts dealers, and the public. Most of the vehicles are total-loss vehicles,
meaning it would cost insurance companies more to repair them than to
sell for salvage. Others are vehicles that were stolen but recovered after
the insurer had settled the claim. Vehicles come from major insurers such
as Allstate and State Farm.
“OMG!!!!!
I didn't know about this way to find cheap cars until I found this article.
I just got a near-perfect-condition theft-recovered white Mercedes C280
for $3500 less than Kelley Blue Book value at a local auction. Thank
you. Thank you. Thank you. Example
salvage auction vehicles
Here's a small
sample of salvage vehicles in the New Jersey area to be auctioned by a
national insurance auction company:
2002 HONDA CIVIC on sale now at our branch in Northern
New Jersey
SALE DOCUMENT: NJ-SALVAGE
DAMAGE: FLOOD
ODOMETER: 32463 (ACTUAL)
VIN: 2HGES26722H000000
2006 HONDA ACCORD on sale now at our branch in Northern New Jersey
SALE DOCUMENT: NY-MV-907A
DAMAGE: FLOOD
ODOMETER: 2500 (NOT ACTUAL)
VIN: 1HGCM56496A000000
2004 JEEP GRAND CHEROKEE on sale now at our branch in Northern New Jersey
SALE DOCUMENT: NJ-SALVAGE
DAMAGE: FLOOD
ODOMETER: 46469 (ACTUAL)
VIN: 1J4GW48S04C000000
2004 MAZDA 3 on sale now at our branch in Northern New Jersey
SALE DOCUMENT: NJ-SALVAGE
DAMAGE: FLOOD
ODOMETER: 60864 (ACTUAL)
VIN: JM1BK143241000000
2006 MERCEDES-BENZ C230 GEN 2006 on sale now at our branch in Northern
New Jersey
SALE DOCUMENT: PA-SALVAGE
DAMAGE: FLOOD
ODOMETER: 15000 (INOPERABLE DIGITAL DASH)
VIN: WDBRF52HX6F000000
2006 MERCEDES-BENZ C280 GEN 2006 on sale now at our branch in Northern
New Jersey
SALE DOCUMENT: PA-SALVAGE
DAMAGE: FLOOD
ODOMETER: 20396 (ACTUAL)
VIN: WDBRF92H36F000000
1999 NISSAN MAXIMA on sale now at our branch in Northern New Jersey
SALE DOCUMENT: NJ-SALVAGE
DAMAGE: FLOOD
ODOMETER: 139180 (ACTUAL)
VIN: JN1CA21AXXT000000
2000 NISSAN ALTIMA on sale now at our branch in Northern New Jersey
SALE DOCUMENT: PA-SALVAGE
DAMAGE: FLOOD
ODOMETER: 36000 (INOPERABLE DIGITAL DASH)
VIN: 1N4DL01D8YC000000
2000 SAAB 93 on sale now at our branch in Northern New Jersey
SALE DOCUMENT: NJ-SALVAGE
DAMAGE: FLOOD
ODOMETER: 81168 (ACTUAL)
VIN: YS3DD55H3Y2000000
Where
to buy salvage and theft-recovered vehicles
Insurance auctions and salvage vehicle auctions are held almost every
day at various locations around the country. National companies such as
IAA, ADESA,
and Salvage Direct
conduct the auctions at auction sites that are typically located in or
near large cities. Many auction companies are local or regional, such
as Auto Salvage
Auctions, Inc, in Michigan and Midway
Auto Salvage Auctions in Arkansas and Mississippi.
As this was being
written, IAA was preparing to auction over 50 premium theft-recovered
vehicles in Phoenix the next day. Other large auctions can occur soon
after large weather disasters.
Online
salvage and theft-recovered auctions
The easiest way to participate in an insurance salvage auction is online,
on the Internet. Most of the auction companies already mentioned above
have an online bidding process. You'll find rules and procedures for how
to participate right on the website.
You can also check
the eBay Motors web site and search for "salvage" or "totaled"
vehicle auctions.
Summary
Salvage cars and totaled cars for sale from salvage auctions and insurance
auctions are good sources of cheap cars if you know how and where to look,
and know how to participate. Salvage cars make good project cars for people
who enjoy rebuilding and restoring vehicles, often for "tuners"
(see Top 5 Car Performance Mods).
Related
Articles
Also see our other articles:
 For
more, see LeaseGuide.com
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