Division of Vehicles phone: 785-296-3601 Titles & Registrations fax: 785-291-3755 915 SW Harrison St. www.ksrevenue.org Topeka, KS 66612 Nick Jordan, Secretary Sam Brownback, Governor Donna Shelite, Director Memorandum # 11-005 Date: June 8, 2011 To: All County Treasurers T&R Staff From: Debra Wiley, Bureau Manager, Titles & Registrations Subject: Salvage Title Requirements for Hail/Windstorm Damage With the many recent storms, we have received an increase in calls about whether vehicles are required to obtain a salvage title if the vehicle sustains hail damage. Many calls have come from the county offices as well as individual customers. This memo is provided for guidance to all our business partners. The applicable statutory reference is found at K.S.A. 8-197(b)(2) "Salvage vehicle" means: (A) Any motor vehicle, other than a late model vehicle, which is of a type required to be registered in this state, but which cannot be registered because it has been wrecked or damaged to the extent that: The equipment required by state statute on any such vehicle used on the highways of this state is not present or is not in good condition or proper adjustment, as prescribed by state statute or any rules and regulations adopted pursuant thereto, or such vehicle is in an inoperable condition or a condition that would render the operation thereof on the highways of this state a hazard to the public safety; and in either event, such vehicle would require substantial repairs to rebuild or restore such vehicle to a condition which will permit the registration thereof; (B) a late model vehicle which is of a type required to be registered in this state and which has been wrecked or damaged to the extent that the total cost of repair is 75% or more of the fair market value of the motor vehicle immediately preceding the time it was wrecked or damaged and such condition was not merely exterior cosmetic damage to such vehicle as a result of windstorm or hail; or (color, italic and underline added) (b)(6) "late model vehicle" means any motor vehicle which has a manufacturer's model year designation of or later than the year in which the vehicle was wrecked or damaged or any of the six preceding years For a late model vehicle (vehicles older than 7 model years) the key is the word "merely". A vehicle with ONLY exterior cosmetic damage from a windstorm or hail does not have to be designated as salvage. A vehicle with exterior cosmetic damage from a windstorm or hail AND other damage not caused by the windstorm or hail CAN BE designed as salvage. This statutory definition is the point where there is no question of "may", it "must", regardless if claimant and/or insurance company agree to the designation. A vehicle with merely exterior cosmetic damage from a windstorm or hail may be designed as salvage "if" the insurance company and claimant agree, but it does not have to be salvage if they both do not agree. If the vehicle is 8 model years old or older, it's completely up to the claimant and insurance company. Wind and/or hail damage normally does not cause a vehicle to be unsafe to drive. Replacing broken glasses would not meet "substantial repairs" in subsection (A) above. Questions relating to this policy should be referred to Debra Wiley at firstname.lastname@example.org or by calling 785.296.2242.
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