The DMV (Department of Motor Vehicle) is responsible for car registration and issuance of license plates, they also have the right by law to know of any developments with your car.
Over time, with the use or due to an accident, a car can get totaled i.e. it is not worth repairing as declared by the insurance company. When this happens, do you need to notify the DMV?
Yes, you need to notify the DMV if your car is totaled within 10 to 30 days your car is totaled so that the details of why the car was totaled will be on record and, in turn, help future buyers make an informed decision.
Moreover, notifying the DMV about your totaled car will help you get a title transfer or a salvage certificate from the DMV which will enable you to get a settlement from your insurance company.
Do I Need to Notify the DMV if my Car is Totaled?
Yes, you need to notify the DMV if your car is totaled. As a matter of fact, in some states, you are expected to notify the DMV within 30 days from the day the car is declared total.
In some states, however, when a car is declared totaled the insurance company takes it and they will be the ones to notify the DMV of its condition.
One of the reasons why an individual or the insurance company is expected to notify the DMV is so that future buyer are protected from buying a car without being aware of its underlying issues.
When you notify the DMV, you will be issued a title either with a ‘rebuilt’ or ‘salvage’ title, the name description varies according to state.
The title given to the car by the DMV will determine whether it can still be driven, if otherwise, you will have to take it to the junkyard.
How Do I Notify the DMV of my Totaled Car?
One way to notify the DMV about a totaled car is by getting a Salvage Certificate. A salvage certificate or salvage title is a document that shows that a vehicle has been declared a total loss by the insurance company. The condition under which a vehicle will be declared salvaged depends on the state.
To get this certificate you will need to file for it with the DMV. You will be required to submit an application for a salvage certificate, in some states it may be known as Nonrepairable Vehicle Certificate.
Once you have filed for this certificate you will be expected within 10 days to give up the vehicle’s license plate.
In addition to this, you will also need your car title and other necessary documentation as required by the DMV plus a fee for the salvage certificate.
Getting a salvage certificate helps you keep your car or accept the necessary settlement from the insurance company.
What Will Happen if I Don’t Notify the DMV of my Totaled Car?
The importance of notifying the DMV has been established but some persons will still decide there is no need to do so. Before making such a decision, you should know what will happen if you don’t notify the DMV of your totaled car.
If you do not notify the DMV of your totaled car you can get fined or sued. This may seem like an extreme action but it’s one that’s possible.
The DMV is a government body that should be informed if anything were to happen with your car other than the insurance company.
The law that states that car owners should inform the DMV when their car is totaled is in place for a reason, to protect both current owners and possible future buyers.
Not compliance with this will be seen as a violation and the offender sued or made to pay a fine depending on the circumstances surrounding it.
Also, if you do not notify the DMV of your totaled car there will be no record of it. Notifying the DMV enables them to put the details of what happened to your car on record and give a future buyer access to such details and information. This information has been on record as a way for a future buyer to make a more informed decision.
Can I Keep a Totaled Car?
Yes, you can keep a totaled car, however, you must inform your insurance company of this decision in time.
Once you inform the insurance company, you can take the car after they must have deducted the necessary dues and the amount the car may have been sold at a junkyard. After the deductions, you will be paid the car’s cash value.
In this case, the insurance company will no longer be responsible for repairing the car, it will be up to you to repair and do as you wish with the car.
What Happens After Your Car Gets Totaled?
If a car is declared totaled that means the insurance company has been informed and has decided repairing the car isn’t worth it. In this case, you may have to settle for a salvage claim or get the actual cash value if you decide to keep the car.
What will happen after a car gets totaled to some extent depends on the circumstances surrounding the car damage.
If you were involved in an accident and you have been declared to be at fault, the insurance company can pay you the value of the car minus the deductibles of course.
If you are not at fault it is up to you to decide if you want to take things up with the other person’s insurance company.
Taking things up with the other party involved in the accident will mean their insurance company will pay for damages done to your car.
Do You Have to Pay Registration on a Totaled Car?
No, you do not have to pay registration on a totaled car. However, you may continue getting emails from the DMV about renewing your registration if you do not notify them of the car being totaled. This is because the DMV believes the car is in good condition and in your possession.
In order to avoid paying registration on a totaled car, you should notify the DMV of your totaled car that way it will be on record the condition of your car, and the DMV will stop sending fee renewal emails to you.
Conclusion
It is important to know that notifying the DMV if your car is totaled helps you to fasten the process of getting your claims from the insurance company. It also helps to prevent issues that may arise in the future as it relates to the car.