One of the most frequently asked questions is whether car dealerships take in wrecked cars. The answer to that question is yes; car dealerships do take in wrecked cars.
However, if you recently wrecked your car and are considering trading in your wrecked car, it is imperative to learn your state laws. Particularly, laws that pertain to trading in wrecked cars and salvage titles. It’s always good to know the state laws that pertain to such so as to avoid getting in trouble.
This is due to the fact that each state has different laws. A law that may be applicable in Louisiana may not necessarily be applicable in Arizona.
For the purposes of this article, we shall be focusing on the state of Florida. In other words, do car dealerships take in wrecked cars in Florida? Below, we address the aforementioned question.
Florida State Laws and Wrecked Cars
Looking to understand salvage title laws is a great way of avoiding trouble with the law. So, you’re looking to trade in your automobile, but you’re not sure if car dealerships can accept it? Is it even legal?
Well, The Florida Department of Highway Safety and Motor Vehicles has a lot to say in relation to salvage title laws and wrecked cars. Before trading in your wrecked car, you have to obtain a salvage certificate. Also, you need to determine the degree of the damage incurred.
In Florida, for a wrecked car to be declared a total loss, it has to be declared as so by an insurance company.
Notably in Louisiana, for a car to be declared as salvage, the damage should be equal or be above 75% of the car’s actual cost. However, in Florida, for it to be declared as salvage or a total loss, the percentage of the damage varies. This can be anywhere from 50% to 90% of the car’s actual value.
If your car is declared as a total loss by the Insurance Company in Florida, your car cannot be repaired. In other words, the insurance company views the damage as extensive and costly. The only way to trade such a car is if you’re selling it for scrap.
If the insurance company sees that the repair of a wrecked car will exceed 80% of its value, it will declare it as salvage. Once it is declared as so, the insurance company will issue a junk salvage certificate for the wrecked car. The Insurance Company will, of course, reimburse you and take over the rights to sell the salvaged car or its parts.
Most car dealers do not mind taking in wrecked cars. However, most of them always regard the damage and how much it will cost them in the long run. The last thing any car dealer wants to incur is a loss. Regardless, you shouldn’t expect to get a lot of money for your wrecked car, especially if it has a salvage title.