Salvage car business sounds wired to many people and more so to prospective customers. Many people argue that it is not a clean business because one is not sure of what was the primary damage of the car before repair.  The sellers are always aware of whether the part which was damaged initially is worth the selling price. However, it is still easy for a customer to find out whether the car is worth the value by using a mechanic.  Even though a buyer will be sure of the car value, a challenge arises when it comes to insurance. Many people think that insurance companies will not accept to cover a salvage car, but that is not the case. This work will look at the possibility of an insurance company to take a salvage car and what the owner needs to present for acceptance.

Insurance companies find it difficult to cover a salvage car, but it is possible when the owner request or demand for full coverage which may include collision. Assessing the actual value of a salvage car is not easy.  Kelly Blue Book (KBB) points out that the cost of a salvage car is between 20 and 40 percent of a clean car. Even in determining the percentage is not easy because the insurance company is not sure about the initial damage of the vehicle. In that case, the owner of the car should ask and accept a lower payout compared to that of a clean car. That is one of the conditions which will make an insurance company agree to cover a salvage car.

Another reason why it is difficult to get insurance for salvage car is safety. Most insurance companies know that salvage cars have problems which mechanics do not look into during repair. Those who rebuild the vehicles sometimes are not honest to include everything that is needed to make the car safe, and in some cases, they may use counterfeit spare parts. As a result, the chances of causing an accident are high. In that case, the owner of the salvage car needs to accept a much lower compensation to secure insurance. Most people get discouraged that insurance companies reject their requests, but they fail to understand what they can do to obtain the coverages. When one shows an interest of cooperating with the company to accept a lower late, the insurance will agree to cover.

Some of the conditions which will increase the chances of acceptance by an insurance company include acceptance for an inspection. Insurance companies will need an inspection which will give an estimated value because they cannot check through the mirage. Also, one should present a repair estimate from the rebuilder to the insurance company. The estimate will assure the company that the repair was done in the right way to make the car safe.

People fear to buy salvage cars with the mind that insurance companies will not accept to offer a cover. With that, many people avoid buying or insuring salvage cars. What they are not aware of is that acceptance to cover the vehicle lies on the owner. Salvage cars are risky to protect because the insurance company is not sure of their safety. However, they can accept to cover if the owner presents a repair estimate and take a lower coverage other than full.

 
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