PLCaliforniamedium
After paying a total loss on a customer's vehicle in California, the insurer takes title and intends to resell the salvage. Under Veh. Code §§ 544 and 11515, which step is REQUIRED before the vehicle can lawfully re-enter the stream of commerce as a registered vehicle?
ANothing further is required because California does not regulate or brand salvage title for any vehicle declared a total loss and acquired by an admitted insurance carrier within the state
BThe insurer need only notify the original lienholder of record and may then resell the salvage at auction without any DMV title submission, branding, or verification involvement at all
The insurer must submit the salvage certificate to the DMV within 10 days, and the rebuilt vehicle must pass a brake-and-light inspection plus a salvage VIN verification
DA 'clean' unbranded title may simply be reissued by the DMV whenever the estimated cost of repair happens to fall below 75% of the vehicle's pre-loss actual cash value figure
Why this is the answer
When an admitted carrier pays a total loss and takes title to the salvage, Veh. Code § 11515 requires the insurer to forward the title and a salvage certificate application to the DMV within 10 days. Once issued, the salvage certificate permanently brands the vehicle's record. To return to the road, the rebuilt vehicle must pass a Brake & Light inspection at a licensed station and undergo a salvage VIN verification by the California Highway Patrol or DMV, after which a 'revived salvage' title is issued (Veh. Code § 544 defines 'salvage vehicle'). The vehicle title never returns to 'clean' status.
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