§ 168A.151 — Salvage Title; Junking Certificate
Plain-Language Summary
This section requires that damaged vehicles receive a 'salvage' or 'prior salvage' brand on the title when they are declared total losses or severely damaged. Insurers must apply for a salvage-branded title or stamp the existing title within ten days of taking ownership. Vehicles that are completely unrepairable require a 'junking certificate' instead of a regular title. A junking certificate only allows the holder to possess and transport the vehicle — not to register or sell it on the road.
168A.151 SALVAGE TITLE; JUNKING CERTIFICATE.
§
Subdivision 1.Salvage and prior salvage brands.
(a) When an insurer, licensed to conduct business in Minnesota, acquires ownership of a vehicle, excluding a recovered intact vehicle, through payment of damages, the insurer must:
(1) for a late-model or high-value vehicle, immediately apply for a certificate of title that bears a “salvage” brand or stamp the existing certificate of title with “salvage” in a manner prescribed by the department; or
(2) for a vehicle that is not subject to clause (1), immediately apply for a certificate of title that bears a “prior salvage” brand or stamp the existing certificate of title with “prior salvage” in a manner prescribed by the department.
(b) Notwithstanding any other law to the contrary, supporting documents used to transfer ownership of a vehicle to an insurer after payment of damages do not require a notarized signature and may be signed electronically. For purposes of this paragraph, supporting documents include but are not limited to power of attorney forms. The insurer shall indemnify and hold harmless the department for any claims resulting from issuing a certificate of title, salvage title, or junking certificate pursuant to this section.
(c) Within ten days of obtaining the title of a vehicle through payment of damages, an insurer must notify the department in a manner prescribed by the department.
(d) Except as provided in section 168A.11, subdivision 1, a person must immediately apply for a certificate of title that bears a “salvage” brand if the person acquires a damaged late-model or high-value vehicle that:
(1) was acquired by an insurer through payment of damages;
(2) will incur a cost of repairs that exceeds the value of the damaged vehicle;
(3) has an out-of-state salvage certificate of title as proof of ownership; or
(4) bears the brand “damaged,” “repairable,” “salvage,” or any similar term on the certificate of title.
(e) Except as provided in section 168A.11, subdivision 1, a person must immediately apply for a certificate of title that bears a “prior salvage” brand if the person acquires a damaged vehicle and:
(1) a “salvage” brand is not required under paragraph (d); and
(2) the vehicle:
(i) bears the brand “damaged,” “repairable,” “salvage,” “rebuilt,” “reconditioned,” or any similar term on the certificate of title; or
(ii) had a salvage certificate of title or brand issued at any time in the vehicle’s history by any other jurisdiction.
(f) A self-insured owner of a vehicle that sustains damage by collision or other occurrence which exceeds 80 percent of its actual cash value must:
(1) for a late-model or high-value vehicle, immediately apply for a certificate of title that bears a “salvage” brand; or
(2) for a vehicle that is not subject to clause (1), immediately apply for a certificate of title that bears a “prior salvage” brand. §
Subd. 2.
MS 1992 [Repealed, 1993 c 93 s 20] §
Subd. 3.
MS 1992 [Repealed, 1993 c 93 s 20] §
Subd. 4.Junking certificate required.
When a person acquires ownership of a vehicle that is an unrepairable total loss vehicle, the person shall surrender the assigned certificate of title to the department and apply for a junking certificate of title. §
Subd. 5.
MS 1992 [Repealed, 1993 c 93 s 20] §
Subd. 6.Authority under junking certificate.
A junking certificate authorizes the holder only to possess and transport the vehicle, except that a salvage pool or insurance company, or its agent, may sell an unrepairable total loss vehicle with a junking certificate to a licensed used parts dealer or a licensed scrap metal processor.
History:
1988 c 496 s 19; 1989 c 342 s 14; 1993 c 93 s 9-11; 2005 c 94 s 2; 2008 c 287 art 1 s 30; 2012 c 163 s 4; 2012 c 267 s 4; 2022 c 57 s 6; 2023 c 68 art 5 s 20
History: History: 1988 c 496 s 19; 1989 c 342 s 14; 1993 c 93 s 9-11; 2005 c 94 s 2; 2008 c 287 art 1 s 30; 2012 c 163 s 4; 2012 c 267 s 4; 2022 c 57 s 6; 2023 c 68 art 5 s 20