Expert: Bennie719 - 2/27/2008

Question
I had a pickup truck that the insurance company totaled out.  I purchased it back and repaired it with much time/expense to be a good vehicle.  Now the insurance company is informing me that if it is damaged again they will only pay me scrap price, a fraction of what it should be worth.  Is there a way to get this insured for what it should really be worth?

Answer
Hi Bill,
State laws require that when a vehicle is totaled, it be re-titled as
"SALVAGED".  This is commonly referred to as a "DIRTY" title.
The market place has determined that vehicles with a dirty title have a value of approximately 50% compared to the same vehicle with a clean title.
The majority of insurance companies will not even put physical damage coverage (comprehensive & collision) on a vehicle with a 'dirty' title.
This is the status quo in all states.  No company will insure your vehicle for the same value as one with a clean title.
I hope this information has been of help.
Your feedback by rating my answer will be appreciated.
Sincerely,
Bennie
San Francisco Bay Area