AUTO AUCTION INSURANCE

If you’ve ever thought of buying a used car you’ll know that you need to be very careful about trusting used car dealers. Often, you don’t know what you are getting and can end up being cheated. Buying a car at an auction is one great way to save money. However, if you decide to buy at an auction, you better know what you are getting into. This is especially true of cars that had auto auction insurance and are put up for auction. In auto auction insurance, if the car was damaged in an accident by over 75% they are required by law to title it as a totaled car. It cannot be sold as a used car. If you plan on purchasing a car that was on auto auction insurance you will need to be very careful.

Cars on auto auction insurance are not open to the public; rather they are usually reserved for professionals who know what they are doing. There is no type of security with purchasing at insurance auto auctions, usually known as salvage auctions. What you buy is what you get and after the car is yours, you are on your own. People who buy from salvage auctions usually know that the car has been in a wreck. Those individuals who bid usually just don’t care and either wants to buy the car for the parts or plan to rebuild it.

If you have auto auction insurance and your car was totaled, your compensation will be what the going rate is for your totaled car. Your insurance company will pay you the compensation and then the car will be sent off to salvage auto yards where dealers will inspect the cars and bid on them. They may rebuild them and sell them again as rebuilt cars. There are many good rebuilt cars on the roads, however, if you plan on purchasing one, make sure you know what you are getting into and make sure the dealer is honest.

Related Links:
AAA Car Insurance

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