Will insurance costs be higher for a car with a salvage title?
I’m wondering if insurance companies charge more for a vehicle with a salvage title compared to an identical one with a clean title. Any insights would be appreciated! Thank you.
Will insurance be more expensive for a car with a salvage title?
Yes, insurance will generally be more expensive for a car with a salvage title compared to one with a clean title. Cars with salvage titles have typically been declared a total loss by insurance companies due to significant damage, and this history can indicate higher risk. As a result, insurers may charge higher premiums for coverage.
Additionally, it may be more challenging to find comprehensive or collision coverage for a salvage title vehicle, and some insurance companies may refuse to insure them altogether. When comparing two identical cars—one with a clean title and one with a salvage title—the salvage title vehicle is likely to be seen as a greater risk, leading insurers to charge higher rates.
It’s always a good idea to shop around for quotes and check with different insurance providers for their specific policies regarding salvage title vehicles.