Insurance Car Auction Services
Cars bought in the United States are typically protected by an insurance policy entered into between the buyer and the insurance company. Ordinarily, if any issue occurs with the car, the insurance company would handle it. However, where the issue involves selling the car, the insurance companies would usually dispose of the car via the US Public Auto Auction Services. There are basically three grades of cars that are sold by these insurance companies in the US Auto Auction and they shall be discussed below.
Grade A – Clean Title or Repossessed Cars
Owning a car moves from being a want to a necessity when an individual attains the age of majority as stipulated by the relevant laws governing a particular country. In first world countries such as the United States, once a person is up to 18 years old, he or she is eligible to own a car and all they have to do is walk into a car dealer’s shop and pick a car of your choice. If the person does not have the full amount to pay for the car at the moment, it is normal practice to seek for mortgage payment for the car which might last as far as five years or below as the case may be. In this case, the car dealer would have to demand for your credit report, insurance license, ID cards including driving licence and other necessary documentations from the insurance company before the car would be released. The mortgage agreement would usually be for a stipulated period of time. In the event wherein the person defaults in the payment of the car, the insurance company would confiscate the car and take it to the US Auto Auction where it would be sold and the money recovered would be expended in the repayment of the mortgage. These are the cars we are recommending for Nigerian as they are more or less like a new car and that is little differ from the Salvage title.
In this type of situation represented above, such cars are referred to as ‘Clean Title or Repossessed Car’. This means that the title or ownership of the car has never been transferred and we highly recommend this type of car in auction as it is generally referred to as “Grade A” auction vehicle.
Grade B – Salvaged Title or Accident Cars
The next type of car that is put up in public auctions by an insurance company is known as the ‘Salvage Titled Car’. Now, if you are planning on saving hundreds or even thousands of dollars on buying a car of your choice than rather spending it on cars in the traditional car dealer shops, then your best option would be salvage cars. This however is not a problem and would likely be a great deal as long as you are ready to put in extra effort on the repair of the car after purchase.
When the title of a car is branded as ‘salvage’, it simply means that the car has been damaged or involved in an accident to the point that the insurance company deems it fit and necessary in line with the extant US legislations to sell them off to other countries via the US Auto Auction. It is worthy and pertinent to note that these cars are not currently in the best shape to be driven due to the damages and this would require certain repairs to restore them to a working state.
We usually recommend purchasing salvaged cars that do not have a front damage and this is not strange to the fact that such damage will most likely affect the engine of the car and it must have ignited the car’s air bag to pull out. Rather, it is best to go for salvaged cars that might be damaged at the back or side. Most of the cars operating on the Nigerian roads do not have airbags and this is very dangerous. Most cunning and fraudulent car dealers after purchasing these cars off auction will sell these cars to unsuspecting buyers without disclosing these vital damages. Here at Awoof, we believe in honesty and integrity as we will guide you through the auction car selection process. These types of cars in auction are usually referred to as “Grade B” auction vehicles.
Grade C – Flood Cars
Natural disasters which are otherwise referred to as Acts of God are circumstances that are far beyond human control. These natural disasters include hurricanes, tornados, storms, earthquakes, wildfires, e.t.c. However, just like every other type of natural disaster listed above, flood can create a very huge damage to lives, and properties. Out of the numerous properties usually damaged by flood disasters, automobiles stand in the front row.
The United States experiences quite a series of flood disasters on a yearly basis and during these periods of flood crisis, cars are partially or completely submerged in water for quite some time until the water dries up. After this, if the vehicle is so damaged that it is no longer operable, the owner’s insurance company settles the claim by buying the vehicle and selling it at the US Auto Auction. Usually, we do not recommend this grade of auction car because of the enormous damage that has been caused to the engine unless the buyer insists on purchasing it and thereafter changing the engine of the car. Just as we have earlier stated, most unscrupulous and mischievous car dealers will buy these flood vehicles off auction, import them into Nigeria, fix them haphazardly and thereafter sell these cars to unsuspecting buyers. In little or no time, these cars will start developing problems that will most likely result to the total breakdown of the engine. That is why sometimes you will see a neat and new car and the driver or the owner will not be able to use the air-condition. Here at Awoof, we believe in honesty and integrity as we will guide you through the auction car selection process. These types of cars in auction are usually referred to as “Grade C” auction vehicles. We do not recommend this category of car for people but for some client that want it they have to make the decision on their own.