Section 24 of 38
Chapter 23: Bonds and Certifications
23.040 Salvage Vehicles
A motor vehicle bond must be used when a regular title is not available for a vehicle reported sold as salvage. The bond amount must be for the amount of the payoff to the insured plus the amount paid by the salvage buyer. (CVC §11515)
Example: If the payoff to the insured is $2,100, and the amount paid by the salvage buyer is $300, the amount of the bond must be $2,400.
A motor vehicle bond is not required if an acceptable Unobtainable Title Certification for Issuance of Salvage/Nonrepairable Certificate (REG 492) form is submitted by an insurance company in place of evidence of ownership documents.
Do not return the application on a report of deposit of fees (RDF) to request a motor vehicle bond, a lien satisfied (when there is a lien holder on record), or an out-of-state title (if the vehicle was titled in another state).