Updated: July 1, 2025
Advertising & Editorial Disclosure
Salvage title cars can't be insured or legally driven on public roads.
Rebuilt title cars can be insured, but with restrictions and higher premiums. Premium increases of 20 to 40% are common for rebuilt title coverage.
Full coverage is harder to find for rebuilt titles; most insurers offer liability-only.
If you're wondering about insuring that salvage title car you're considering, here's the straightforward answer: No, you can't insure a salvage title car. They're illegal to drive on public roads. A salvage title means your state's DMV has declared the vehicle a total loss due to damage exceeding 60 to 90% of its value.
Yes, but with limitations. You can get insurance once a salvage car is repaired and passes state inspection to receive a rebuilt title. However:
A salvage title is issued when an insurer declares a car a total loss, often because repair costs exceed its pre-damage value or parts’ worth.
A rebuilt title follows after the car is repaired and passes state inspections, marking it as roadworthy and insurable.
Title Type | Can I Drive? | Can I Be Insured? | Key Details |
|---|---|---|---|
Salvage | ❌ No | ❌ No | Damage exceeds 60–90% of value; auction only |
Rebuilt | ✅ Yes | ✅ Limited | Repaired salvage car; passes state inspection |
Clean | ✅ Yes | ✅ Full | No major damage history |
Rebuilt titles permanently reduce market value by 20–40% and limit insurance options, but make previously totaled vehicles roadworthy again.
Getting insurance for a rebuilt title car means dealing with more paperwork than usual, but don't worry—we've broken it down into manageable steps. Here's what you'll need to do based on MoneyGeek's research with major insurers:
Convert your salvage title to rebuilt title by passing state safety inspection and getting DMV certification. No insurance company covers salvage titles.
Collect rebuilt title certificate, mechanic's safety statement, original repair estimate, before/after photos and VIN verification from DMV.
Have a certified mechanic inspect the vehicle and provide written confirmation it's roadworthy. Fix any safety issues before applying.
Call insurers directly since online quotes aren't available.
Provide all paperwork and answer questions about damage history. Allow one to two weeks for underwriting review.
When applying for insurance on a rebuilt-title car, you'll need to provide specific documentation to meet insurer requirements:
Having this information ready can streamline the application process.
Understanding how much car insurance you need helps you decide between liability-only (easier to get) that meets state minimum requirements or full coverage (limited availability, higher cost) based on vehicle value versus premium costs.
Rebuilt title car insurance costs about 20% more than clean title coverage. MoneyGeek's analysis of 15 major insurers we surveyed found liability-only coverage increases 10 to 20%, while full coverage jumps 20 to 40% when available.
Coverage Type | Cost Increase | Monthly Impact |
|---|---|---|
Liability Only | 10%–20% higher | +$15–25/month |
Full Coverage | 20%–40% higher | +$25–40/month |
Cars with rebuilt titles are worth 20 to 40% less according to Kelley Blue Book, meaning lower claim payouts. Like other high-risk driver situations, rebuilt titles require more research to find affordable coverage. For example, a 2018 Honda Civic with clean title insurance costs $1,200/year versus $1,440/year for rebuilt title coverage. The bottom line is to budget an extra $200 to $400 annually and expect reduced payouts.
Finding an insurer willing to cover your rebuilt title can be difficult. But, several major companies do offer coverage, and knowing which ones can save you time and money.
State Farm and GEICO offer the most comprehensive coverage options, including full coverage with comprehensive and collision coverage. Progressive, Allstate, and Farmers primarily provide liability-only policies, with full coverage determined on a case-by-case basis. USAA offers competitive rates but is exclusive to military members.
Insurance Company | Full Coverage | Liability Only | Special Requirements |
|---|---|---|---|
State Farm | ✅ Available | ✅ Available | Mechanic inspection required |
GEICO | ✅ Available | ✅ Available | Photos + documentation |
Progressive | ⚠️ Limited | ✅ Available | Case-by-case review |
Allstate | ⚠️ Limited | ✅ Available | Agent consultation required |
Farmers | ⚠️ Limited | ✅ Available | Restrictions apply |
American Family | ⚠️ Limited | ✅ Available | Specific conditions |
USAA | ✅ Available | ✅ Available | Military members only |
All insurers require your rebuilt title certificate, registration and proof of repairs. For full coverage, expect to provide mechanic inspections, photos and repair documentation. Most companies require phone quotes, so prepare to explain your vehicle's history and compare at least three insurers.
Every state handles rebuilt titles differently. We contacted DMV offices nationwide to see what you're up against:
State Category | Damage Threshold | Inspection Type | Example States |
|---|---|---|---|
Low Threshold | 60% of vehicle value | Varies | Some states |
Standard | 75% of vehicle value | Basic to strict | Most common |
High Threshold | 80%–90% of vehicle value | Moderate | Oregon, others |
Highest | 100% of actual cash value | Safety only | Texas |
Note: State requirements change frequently. Verify current requirements with your local DMV.
States like California, New York and Florida require comprehensive processes including anti-theft verification, detailed structural safety reviews and complete VIN verification. These states have more rigorous standards that can affect insurance availability and cost.
States such as Texas, Arizona and Nevada focus primarily on safety functionality and emissions compliance without extensive structural analysis. These states have faster processing times and fewer insurance complications.
MoneyGeek's car insurance calculator simplifies the quotes comparison process by providing quick quotes from multiple companies with just a few details. Our calculator will give you a customized estimate of your auto insurance cost. It's free to use, requires no personal information and we won't send you any spam.
MoneyGeek's car insurance calculator will give you a customized estimate of your auto insurance cost. It's free to use, requires no personal information and we won't send you any spam.
Rates updated:
Jul 15, 2025
| Insurance Carrier | MoneyGeek ScoreMG Score | Average Monthly Payment | |
|---|---|---|---|
| 1 |  Capital Insurance Group | 94 /of 100 | $87 |
| 2 |  GEICO | 82 /of 100 | $109 |
| 3 | 83 /of 100 | $118 | |
| 4 | 83 /of 100 | $129 | |
| 5 | 79 /of 100 | $133 | |
| 6 | 77 /of 100 | $151 |
Although MoneyGeek partners with some of the companies we recommend, our content is written and reviewed by an independent team of writers, editors and licensed agents. Learn more about our editorial policies and expert editorial team.
According to Kelley Blue Book, rebuilt title cars have market values 20 to 40% lower than clean titles, but insurers charge higher premiums due to increased risk. Unknown repair quality, structural concerns and difficulty determining new damage versus pre-existing issues make these vehicles riskier to cover. Similar challenges face drivers seeking coverage after accidents.
Insurance settlements are based on the reduced market value, meaning lower payouts if the vehicle is totaled. Some insurers limit comprehensive coverage or exclude pre-existing damage areas. The exact cost depends on damage history, repair quality, and your vehicle's make and model.
A salvage title and a rebuilt title represent different stages in a car’s history, each with specific impacts on insurance, market value and legal use. A vehicle with a salvage title can be repaired and, if it passes inspection, may qualify for a rebuilt title.
However, not all salvage-title vehicles are repairable. Some are deemed non-repairable, meaning they can only be used for parts and can't be insured. The table below shows the differences between these types of car titles.
Aspect | Salvage Title | Rebuilt Title | Clean Title | Junk Title |
|---|---|---|---|---|
Insurance treatment | Limited to minimum coverage (if available); deemed as total loss and not roadworthy | Comprehensive and collision coverages may be available after repairs and inspection, but options are limited and premiums higher. | Full range of coverage options, including comprehensive, collision and liability at standard premiums | Uninsurable because it's deemed beyond repair |
Market value | Much lower than clean titles; often sold for parts or to be rebuilt | Higher than salvage titles but less than clean titles | Highest market value; considered the standard for vehicle sales | Minimal value; typically sold for scrap or parts only |
Legal usage | Can't be driven on public roads or insured but can be sold for parts or as a rebuilding project | Can be legally driven on public roads and eligible for insurance, though often at higher rates | Allowed on all public roads and meets all state regulations for operation | Not allowed on public roads; considered unfit for operation |
Purchase and use | Can be bought, but mainly for parts or to be rebuilt — not for regular driving and can't be insured | Can be bought, driven and sold after passing state inspection | Can be bought, driven and sold without restrictions | Can be bought, but only for scrap or parts; not for driving |
Key Points:
In most states, a car with a salvage title can't be legally driven. These titles indicate that the vehicle is a total loss and typically can't be insured or registered. Some states make exceptions if the car is repaired and passes safety inspections, but regulations vary.
You can't insure a salvage title car, but rebuilt title coverage is possible with higher costs and limited options. Expect 20 to 40% premium increases and reduced claim payouts. State Farm and GEICO offer the best coverage options, but prepare thorough documentation and budget for additional expenses before deciding.
Purchasing insurance for cars with salvage or rebuilt titles can be challenging but is possible, as some major insurers provide coverage. MoneyGeek addresses common questions about the process to simplify it.
No, you can't insure a car with a salvage title. Salvage title vehicles are illegal to drive on public roads and can't be registered or insured until they're repaired and receive a rebuilt title.
Yes, but full coverage is harder to find. Companies like State Farm and GEICO offer comprehensive and collision coverage for rebuilt titles, while others may only provide liability coverage. Expect to pay 20 to 40% more in premiums.
Yes, rebuilt title car insurance costs about 20% more than coverage for clean title vehicles. Some insurers add surcharges up to 20% due to increased risk and limited competition in this market.
State Farm, GEICO, Progressive, Allstate, Farmers, American Family and USAA offer coverage for rebuilt title cars. State Farm and GEICO provide the most comprehensive options with competitive rates.
You'll need the rebuilt title certificate, mechanic's safety statement, repair documentation, before/after photos, VIN verification and sometimes a physical inspection by the insurance company.
Rebuilt title cars are worth 20 to 40% less than clean title vehicles according to Kelley Blue Book. This affects both purchase price and insurance claim payouts based on actual cash value.
Yes, most major insurance companies offer liability coverage for rebuilt title cars. This is often easier to obtain than standard full coverage options and meets state minimum requirements.
Salvage title cars can't be insured at all, while rebuilt title cars can be insured but with limitations, higher rates and reduced coverage options compared to clean title vehicles.
In most states, a car with a salvage title can't be legally driven. These titles indicate that the vehicle is a total loss and can't be insured or registered. The car must be repaired and receive a rebuilt title before it can be driven legally.
Our Research Approach
Finding car insurance for a rebuilt title vehicle can feel like hitting roadblock after roadblock. Many insurers either refuse coverage entirely or quote rates that make you question whether it's worth insuring. We designed our research to cut through the confusion and identify which companies actually welcome rebuilt title vehicles and which ones you should avoid calling.
Direct Company Contact:
We contacted customer service representatives at 15+ major insurance companies to understand their specific policies, requirements and coverage limitations for rebuilt title vehicles. This direct approach revealed details that aren't published on company websites, like inspection requirements and coverage restrictions.
Coverage Analysis:
Not all rebuilt title policies are created equal. Some insurers limit you to liability-only coverage, while others offer full coverage options. We documented exactly what each company offers and any special requirements they impose.
State Regulation Review:
Rebuilt title requirements vary significantly by state. We referenced data from the National Association of Insurance Commissioners (NAIC) to understand how state regulations affect your coverage options and requirements.
Financial Stability Assessment:
We used AM Best ratings to evaluate each insurer's financial strength. A cheap policy from a financially unstable company isn't a bargain if they can't pay claims when you need them most.
Customer Experience Verification:
We incorporated J.D. Power customer satisfaction data to identify companies that don't just offer rebuilt title coverage but actually provide decent service when you file claims.
Why This Approach Works:
Generic rate comparison sites often don't account for rebuilt title restrictions. Our methodology focuses specifically on companies that understand rebuilt title vehicles and price them fairly, rather than treating them as unwanted risks.
About Mark Fitzpatrick
Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. With over five years of experience analyzing the insurance market, he conducts original research and creates tailored content for all types of buyers. His insights have been featured in publications like CNBC, NBC News and Mashable.
Fitzpatrick holds a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He's also a five-time Jeopardy champion!
Passionate about economics and insurance, he aims to promote transparency in financial topics and empower others to make confident money decisions.
