Does Allstate Insure Salvage Titles?
Allstate cannot insure vehicles with a salvage title. If you’ve been issued a rebuilt title, Allstate will offer you liability-only insurance.
Written by Jacqulyn Graber
Reviewed by Kathleen Flear
Table of Contents
- Does Allstate insure salvage title vehicles?
- What is a salvage title car?
- Can you get car insurance for a salvage title?
- Does it cost more to insure a rebuilt title vehicle?
- FAQs
Load full table of contents
Allstate cannot insure vehicles with a salvage title since they cannot legally be driven out on public roads. But if you have a formerly salvaged vehicle that’s been issued a
rebuilt title
, Allstate offers liability coverage. Whether it’s from a car accident, vandalism, or a natural disaster, your vehicle will be declared a “total loss” and issued a salvage title if your insurance provider determines that the cost of repairs exceeds the total value of the vehicle. If you want to insure and legally drive your car again, you’ll need to perform repairs and apply for a rebuilt title.
Sounds confusing? Don’t worry. We’ll explain salvage titles, rebuilt titles, and what your Allstate insurance options may be in the article below.
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4.7/5 rating on the App Store | Trusted by 5+ million customers and 7 million cars4.7/5 app rating | Trusted by 5M+ driversDoes Allstate insure salvage title vehicles?
No—-Allstate does not (and cannot) insure salvage title vehicles. It is illegal (and unsafe) to drive salvage title cars on public roads, which means that no insurance company can offer car insurance coverage to salvaged vehicles.
If a provider offers you and your salvaged vehicle an insurance policy, it is very likely a scam.
Should your vehicle be totaled while covered by Allstate, one of three things will likely happen:
- If you only haveliability insurance, you will be responsible for repairing or replacing your vehicle out of pocket.
- If you havecollision coverageorcomprehensive coverage, Allstate will pay out the car’s value, minus any deductibles, and issue a salvage title.
- If you havenew car replacement insurance, Allstate will replace your vehicle with a similar make and model, and issue a salvage title for your used car.
What is a salvage title car?
So what is a salvage title car, anyway? Well, if your vehicle is severely damaged—either because of a car crash, vandalism, a natural disaster like hail, or something else—your auto insurance company will evaluate the cost of the damage and compare it to the estimated value of your vehicle.
If an adjuster determines that the cost of repairing said damages exceeds the value of your vehicle, then your car will be declared a “total loss.” Totaled cars then get salvage titles, indicating that they are not safe to drive on public roads.
Can you get car insurance for a salvage title?
No—Allstate, like all car insurance companies, cannot offer insurance for salvage title vehicles.
If you perform all of the necessary repairs and obtain a rebuilt title, you might be able to insure a formerly salvaged vehicle.
Rebuilt titles are issued to totaled cars that have been satisfactorily fixed and pass a thorough inspection at the Department of Motor Vehicles (DMV). Keep in mind that rebuilt titles are not the same as clean titles, as they will indicate that your vehicle has a history of being totaled.
Plenty of insurance companies offer policies for rebuilt vehicles, including Allstate! That said, it's important to note that coverage options for your rebuilt title car may be limited.
Many insurance agencies will only sell liability-only policies for rebuilt salvage cars, as—should more damage occur in the future—it can be difficult to determine if said damage was caused by a past accident.
If you’re looking for
full-coverage car insurance
, you’ll have to opt for a provider other than Allstate. GEICO
and State Farm
are two companies that offer full-coverage options, while Progressive
and Mercury also limit their offerings to liability insurance.Does it cost more to insure a rebuilt title vehicle?
Unfortunately, yes. Car insurance providers consider a lot when pricing out your premiums. Your accident and claims history will both have a major effect on your rate—especially if you’ve submitted a pretty hefty claim.
Additionally, vehicles with rebuilt titles are seen as a higher liability. Thus, you can expect your premiums to increase by about 20% compared to similar vehicles with a clean title.
To save money, be sure to shop around and contact as many insurance providers as possible. It’s also a good idea to carefully consider your coverage options, as adding on full coverage will cost significantly more.
"Jerrygot me insured through Allstate with $100 of savings each month compared to my previous insurance. The customer service was excellent, and they even detected an error my previous insurer didn’t!” —Warren H.
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FAQs
Are salvage title cars difficult to insure?
Vehicles with current salvage titles are actually impossible to insure. If you’ve completed the necessary repairs and your formerly salvaged vehicle has been issued a rebuilt title, then finding an insurance policy is absolutely possible!
Keep in mind that many providers—-like Allstate—-will limit their coverage options for rebuilt title vehicles by offering liability-only insurance. You’ll have to do a bit of digging to find a provider that’s willing to sell full-coverage car insurance to a driver with a rebuilt car.
Finally, it’s also important to note that rebuilt title cars tend to be more expensive to insure.
What’s the difference between a salvage title and rebuilt title?
Salvage titles are issued to vehicles that have been declared a total loss after experiencing significant damages, such as after a car crash, vandalism, or terrible weather. They are illegal to drive on public roads and cannot be insured.
Rebuilt titles are issued to formerly salvaged vehicles that have been repaired and have undergone a thorough inspection at the DMV. They are once again deemed safe to drive and can be legally insured.
Of course, rebuilt titles are not the same as clean titles, as they will still indicate that your car has been previously totaled.
Can you get full-coverage auto insurance for a rebuilt title car?
Yes—but not from Allstate. Like many car insurance providers, Allstate only offers liability-only insurance for rebuilt title cars.
Some providers that offer full-coverage options for rebuilt vehicles include AAA, GEICO, and State Farm.
