I need some help understanding a salvage settlement - salvage title. My son was rear-ended and the frame of his truck is bent. A body shop and the insurance adjuster both said the frame was bent. It is bent in the back near where the spare tire is. The adjuster said it could be fixed but GM discontinued that section of the frame. The truck is drivable, in fact Kyle has been driving without any issues since the accident. It is a 2015 Chevy with 4wd and 105,000 miles.

We have two options:
1. We can take a settlement check from the insurance and walk away and then try and find another truck.

2. We can take a salvage settlement and keep the truck and then at some point we will need to sell the truck. I've never delt with and salvage vehicle, what do I need to be thinking if we decide to take the salvage settlement?

I wonder what we could sell the truck for as it is today in the condition it is in?

For simple math lets say the FMV is $20k. My understanding is salvage offers are 75% of FMV, so in this case $15k. Is it realistic to think we could get more than $5k for the truck with a salvage title?

Any insight or help will be greatly appreciated.

So, you don't have the title for the truck now? If you have a clear title, I see no reason for a salvage title. Was there still money owed on it and you don't have the clear title?

Its a clear title we own the truck outright. Now we are waiting for the insurance companies offer. One will be to replace the truck and one will be a salvage offer.

The difference is not just the $5000. You do still have the truck to drive until you decide to sell it. Now if you’re wanting to sell it immediately I don’t know.

Meh, now days there is no issue selling the truck with a salvage title. If FMV is $20k expect $10-$12k easily, if it is one owner and you have pics to back up the story then to an individual I wouldn't be surprised if you could get $15+.

I am kinda with Don on this one though. Unless you are wanting to insurance money now and let him keep driving the truck till the doors fall off, why take the settlement at all?

In this market, I’d take a reduced check and the truck w a Salvage title

If with a clear title it would bring 20k, I guess it would bring 12-14k in this market

And I am pretty sure you can only carry liability insurance w a Salvage title

I’m in the market for a 3rd vehicle right now for my 16 year old

Salvage title is where I am thinking

Cars/trucks are still bringing a premium

Once repaired it will have a blue title with a rebuilt stamp. You can get full coverage on that with most major insurers.

Even if the insurance would cover the cost of repairs, I would take the settlement and the salvage title.

What’s the repair estimate from the body shop? Does the truck track straight down the road? I’ve seen some vehicles that dog tracked down the road severely. Obviously had been in a frame bending accident. Extreme tire wear could be an issue. Along with driveline alignment issues.

Talk to a reputable body and collision repair shop. My friends here do laser frame straightening all the time, and for a pickup the cost averages about $800 total. They get $100/hr for each additional hour spent. Cars with light frames are easy, but don't stay straight for long. Pickups are good solid permanent fixes.

I would find out repair cost on frame. Fix it, keep driving it for several years. Then sell it salvage. No financing on salvage, used not to be. So cash when you’re ready to sell.

Lots of good guys trying to help out on here but with the wrong info. A little mythbusting -- you can carry full insurance on a salvage vehicle if it gets a blue title as remfg like said above. Also, you can finance a vehicle with this same remfg. All you have to do is fix it and get it reinspected. How do I know? I've done both

I've seen a few second to fourth wives who maybe came with a salvage title but it wasn't disclosed prior to contract.

If they will give you 75% and you get to keep the truck it sounds like a no-brainer, IF it still drives normally. I'd pocket the salvage settlement and keep driving it.

Rebuilt and salvage titles are not the same so most of the information here is correct.

The plan depends on your liquid cash. If you have some to make up some of the difference, one plan is to sell it to a rebuilder who does this all the time and knows the value. Take that and the settlement and replace the vehicle. Take the settlement and keep the vehicle, use the funds to have it repaired. SAVE the rest to make up the deficit in value when the time comes to sell.

There are several guys around here that buy rigs just like yours, fix them, and sell them at normal prices + financing charges to people with bad credit.

That's what I'm talmbout.

IME 'salvage and keeping it' is a losing proposition. Last time I totaled a truck, they offered me $15k outright, or $5k and keep it. That was in 2012. No way they're paying 75% AND letting you keep the vehicle.

IF and that is a big IF they offer you 75% of FMV and let you keep the truck, then counter with a little more $ from them and do that deal as fast as you can. Just don't send them the title because they for sure will send it off and change it to a salvage title. Let them send their settlement check and they will probably include a letter of affidavit for you to sign saying owner has retained salvage and is responsible for vehicle and repairs.
Good luck

The bend is minimal and it is at the back. The truck tracks just like it did before it was hit.

with just a salvage title it cant be driven on the roadway in texas. must be rebuilt and inspected first and issued a salvage/rebuilt title