Automobile Fraud: 2.6.4.2 Salvage Auctions
Salvage auctions are different than dealer-only automobile auctions. The salvage auction sells wrecked and flood-damaged cars before they are repaired. These auctions may clean up the cars and remove loose parts, but few perform any significant repairs. The auction will generally have the word “salvage” in its name, such as Insurance Salvage Pool. Salvage auctions are often owned by insurance companies.