Auto Insurance Auctions
Insurance, Salvage Cars No Comments »Because of today’s tough economic times, more and more people are finding creative ways to buy cars and car parts.
Insurance salvage auctions are a great way to get a great deal on used cars, car parts and trucks. If you are in the market for buying a new car or are looking for cheap yet quality car parts, then look no further than insurance salvage auctions.
Insurance salvage auctions happen when an insurance company feels that an automobile’s repair costs outweigh the car’s inherent value, or if maintenance costs for the car is more expensive. This means that the automobile cannot be used by the insurance company. If this is the case, then it is the insurance company’s right to sell an automobile.
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There are some risks involved when buying from insurance salvage auctions. This is because you buy cars as is. This means that it is inevitable that you will repair the car when you buy. Some repairs involve replacing a bumper and other parts, but sometimes the car is so damaged that the only use for the car is to strip it for parts. Sometimes, insurance salvage auctions sell flooded cars, so make sure that you know exactly what you are getting yourself into.
Because of the risks involved in buying from insurance salvage auctions, only licensed car dealers are allowed to join. But sometimes, car dealers are allowed to bring their ‘friend’ along to the auction. So if you know the right person, you can get in an insurance salvage auction, for a small fee.
If you want to join an insurance salvage auction, here are some things you might want to consider.
Check the car’s outside condition.
This is the first thing you should check, as a vehicle’s outside body incurs the most damage. Look for dents, scratches and other damages especially if the car was involved in an accident. You should also look for signs of wear and tear due to use. Like rusting, corrosion, paint cracks and peeling. Repairing these damages can cost money too.
Check the engine and other internal parts.
Most cars sold in auctions run well, but just to make sure, bring a mechanic along when inspecting the car. That way you can get an unbiased opinion on the car’s condition. Since the insurance salvage auction involves cars that encountered accidents, it would be smart to check if the air bags are deployed. These are expensive to replace so make sure you can afford them. The tires and the car’s transmission and make sure that there are no leaks.
If you get the chance, try to start the car, let it running for a while then take for a test drive. That way you can get a feel of how the car runs and how it feels to you, its future owner. Manual transmissions should be shifted to check the smoothness of changing gears. Check the clutch and the brake to make sure that they are working properly.