What's the deal with salvage titles?

[w261w261]

On eBay right now, there is a seller with 100% positive feedback selling a BMW bike that has been "dropped at low speed, and was issued a salvage title." The "only" damage was to the pipes. The bike looks great, but could have been repainted, etc. It's fairly new, and if it didn't have that title, would be worth 12-14k.

Is there something I don't understand about this salvage title business? Like, how could a bike be "dropped at low speed and only damaged the exhaust" and yet end up with a salvage title? A salvage title is for something that's been totaled, is it not?

When my SE-i got clipped by a semi, I took a couple of hundred less for the repair so it wouldn't have been totaled and I didn't have to end up with the salvage title...that I understand. And this isn't the first time I've seen cars or bikes with salvage titles with the owners claiming not much in the way of damage. Are they just BS or what am I missing?

[88LXi68]

salvage titles are funny. I think a lot of it depends on what insurance company is handling the claim. the way I understood how it works was that a salvage title is issued when the amount to repair the car is more than it is worth. so unless those exhaust pipes are made out of gold something is fishy.

[2drSE-i]

in my experience and from what ive been told, you should probably stay away from salvage titles. Salvage titles are issued to totalled cars that have been rebuilt, so like he said unless the pipes are made of gold then its probably BS.

My sister had been loooking for a civic in our area and couldn't find a decent one without a salvage title. The few she found that she liked i had put up on a rack, frame was fucked up...

[bank2me]

Thats so stupid how salvaged titles work if you have a scratch on your bumper they'd probably say we'll give you half of what it's worth and we'll take the car.

[88Accord-DX]

Salvage titles are tricky. It has a claim on in it that has damage past 70% of it's value & has been brought back to road worthiness. From what I understand, you need to have proof of receipts of replacement parts & inspected by state certified inspector to bring it back to state guidelines.

[carotman]

Sometimes the insurance company will total a car or bike just because it's cheaper for them.

Let's say the thing has around $5k in repairs and was worth 10k

Instead of paying 5k for the repair, they will lowball give you 9k so you get another one and they sell the thing for around 6k. Instead of costing them 5k, it costs 3k in the end.