IAA, Inc. is dedicated to being pro-active when monitoring legislative and regulatory matters that affect our customers and our industry. We believe being engaged with the legislative process is critical to the auto auction industry to promote responsible business conduct and continued healthy expansion. IAA works with lobbyists, insurance companies and other industry participants towards seeing our customers’ needs are met when it comes to legislative matters that may impact the industry.

New Bills

Hawaii Senate Bill 2434/House Bill 1808

Introduced January 17, 2020

These bills were introduced on behalf of IAA. They allow an insurance company to apply for a salvage title or certificate of title when it acquires a vehicle through the claim settlement process and is unable to obtain a properly endorsed certificate of title. In addition, they allow a salvage pool in possession of a vehicle for which an insurer denies coverage to obtain an ownership document in the name of the salvage pool after the vehicle is abandoned at the salvage pool facility. The bills would help insurers expedite the receipt of an ownership document in their name and comply with the salvage laws in a timely manner. Insurers may then close their files more quickly, improving the efficiency of the claim settlement process, and, through receipt of vehicle sales proceeds, more quickly recover a portion of the settlement paid. For salvage pools, the bills would help salvage pools to dispose of abandoned vehicles, freeing up space in expensive facilities. IAA Position: Support

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Iowa Senate Study Bill 3121

Introduced February 6, 2020

This bill would allow any county to issue a salvage title to an insurance company, not just the county in which the vehicles are stored. In addition, the bill would increase the fee for a salvage certificate of title from $10 to $15 and the fee for a certificate of title from $20 to $25. IAA Position: Support the provision that any county may issue a salvage title; neutral on the title fees increase.

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Kansas House Bill 2501

Introduced January 27, 2020

This bill was introduced on behalf of IAA. It would allow a salvage pool to obtain an ownership document for a vehicle in its name if the vehicle is abandoned at the salvage pool facility due to denial of the claim by the insurer. Currently, there is no process for salvage pools to dispose of abandoned vehicles in the state of Kansas. It would help salvage pools free up space in expensive facilities.

IAA Position: Support

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Missouri House Bill 2344

Introduced January 30, 2020

Missouri law currently requires vehicles less than seven years old be branded with a “salvage” title if the damage to the vehicle exceeds 80% of the fair market value; older model vehicles are not required to have a salvage title. The bill eliminates the age exemption, which will cause vastly more vehicles to be branded “salvage.” In addition, the bill establishes different salvage standards based on the nature of the owner. For example, if an insurer totals a vehicle with damages in excess of 80% of the ACV and the insurer acquires ownership, the vehicle would be salvage. However, if the owner retains the vehicle, the vehicle would not be salvage.

IAA Position: Oppose

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South Dakota House Bill 1079

Introduced January 23, 2020

The bill would allow a county treasurer to charge an administrative fee of $25.00 for a certificate of title when the title application is received and processed entirely by mail. No administration fee may be charged to any dealer licensed in South Dakota.

IAA Position: Neutral

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Vermont House Bill 784

Introduced January 17, 2020

This bill proposes to modify the title exemption for older vehicles and requires the Department of Motor Vehicles to automatically issue a certificate of title for certain vehicles. Currently, vehicles older than 15 years are exempt from title issuance. The bill changes the language such that vehicles model year 2005 and older would be exempt. The bill proposes an effective date of January 1, 2023 for the expanded exemption.

IAA Position: Neutral 

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For more information about IAA's legislative and regulatory activities, contact:

Katerina Dotzeva

Director of Government Affairs, IAA, Inc.