How can I buy a wrecked car directly from an insurance company?

I've heard that you can buy a wrecked car directly from some insurance companies—I have a little experience with car repair, and I'm on a very tight budget, so I figure this is my best chance of being able to buy a car. I'm just not completely sure how to go about it. How can I buy a totaled car directly from an insurance company?

You can buy totaled cars, but they aren’t sold directly from the insurance company. Instead, insurance companies auction them off at auto auctions or sell them to salvage yards for parts.
To find an auto auction:
  • Call a tow yard near you
  • Check your local paper
  • Look online—these days, many auto auctions are fully virtual!
However, there are a lot of drawbacks that come with wrecked cars, beyond the necessary repairs. If a car has been totaled, it has a salvage title, which means it could be difficult to fully insure.
Sometimes it’s a better idea to look for police impounded vehicles at auto auctions. Compared to wrecked cars, these police impounded cars are usually:
  • Also cheap
  • Easier to repair (although you’ll want to check to make sure it’s in good condition before you buy)
  • Easier to get insured
Pro tip: using tools like Jerry can make finding coverage a breeze! We’ll instantly get you free quotes from multiple providers so you can rest assured you’re getting the best coverage for your new ride at the lowest price.
Ben Guess
Answered on Nov 01, 2021
Ben has a BA in Journalism + Design from The New School, as well as three years’ experience in content writing and data journalism. They are deeply interested in how the car industry intersects with issues of inequity in the world, as well as in making auto insurance more accessible through writing. When they’re away from the keyboard, they enjoy baking, embroidering, and playing Dungeons and Dragons with friends. They are based in Boston, Massachusetts.

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