Section 27 of 38
Chapter 26: Refunds
26.020 Refunds on Prorated VLF for Constructive Total Loss Vehicles
Chapter 26 Refunds
26.020 Refunds on Prorated VLF for Constructive Total Loss Vehicles (CRTC §10902)
Vehicles junked or salvaged during the current registration year are not eligible for a vehicle license fee (VLF) refund unless the vehicle was declared a constructive total loss (total loss). If the vehicle was declared a constructive total loss, the owner may be entitled to a prorated refund of the vehicle license fees (VLF) paid for the current registration year and would request a refund by completing an Application for Vehicle License Fee Refund (REG 65-Part B) form.
A constructive total loss vehicle is a vehicle that has been wrecked, destroyed, or damaged to such an extent that it is considered uneconomical to repair. The vehicle cannot be repaired by or for the owner of the vehicle at the time it was damaged.
The following conditions must be satisfied when a vehicle is declared a total loss:
|If the Vehicle||Then|
|Was currently registered at the time of loss||• The owner of the salvage vehicle must complete a REG 65.|
• A salvage certificate must have been issued to the owner of the salvage vehicle. This could be either the:
—Registered owner if they retained the vehicle and no repairs are initiated by them on their behalf.
—Insurance company that made the total loss settlement and retained the salvage in the settlement.
|Record indicates a “Junk” status but does not show “Salvage Certificate Issued” status||The procedures below must be followed:|
Verify DMV’s records to determine if a Salvage Certificate was issued.
• Forward the REG 65 with the miscellaneous work to the appropriate Registration Processing Unit (RPU) in DMV headquarters for verification.
|Record does not show “Salvage Certificate Issued” status||The procedures below must be followed:|
• Return the REG 65 on a report of deposit of fees (RDF).
—A completed Application for Salvage Certificate or Nonrepairable Vehicle Certificate (REG 488C) form.
—The California Certificate of Title.
—The salvage certificate fee.
Refund Application Requirements—An Application for Vehicle License Fee Refund (REG 65- Part B) form must be submitted if the vehicle is a constructive total loss and a prorated vehicle license fee (VLF) refund is appropriate.