2016 Delaware Code
Title 21 - Motor Vehicles
CHAPTER 25. TRANSFER OF TITLE, REGISTRATION AND LIENS
§ 2512. Transfer for salvage.

(a) Whenever any registered or unregistered motor vehicle, for which a title has been issued by the Department, is transferred as salvage as a result of a total loss insurance settlement, the insurance company or its authorized agent shall send the certificate of title of the vehicle to the Department within 30 days from the date of settlement. Upon receipt of the certificate of title and appropriate fee, the Department shall issue a salvage certificate. Such salvage certificate shall be deemed to meet all State proof of ownership.

(b) If the owner of any registered or unregistered motor vehicle for which a title has been issued by the Department receives a total loss insurance settlement for the vehicle and chooses to retain ownership of the vehicle as owner retained salvage, the insurance company shall either comply with the requirements in paragraph (a) of this section or require the owner of the vehicle to procure a salvage certificate from the Department prior to paying the total loss insurance settlement.

(c) Every scrap processor which takes in a scrapped or dismantled vehicle without a title shall upload the vehicle identification number into the National Motor Vehicle Title Information System (NMVTIS) by the close of business the next business day and shall have the vehicle cleared by a Delaware State Police auto theft technician before the vehicle is scrapped, dismantled, or altered in any way.

(d) The Department shall issue to the seller a receipt in the name of the seller, agent or owner for the salvage certificate. The seller or vehicle owner or agent shall keep such records and receipt for a period of 3 years from the date of sale and shall make such records and receipts available for inspection and examination by any police officer during the regular working hours of such business, seller or agent.

(e) Any person who fails, neglects or refuses to maintain the records and information required by this section, or who shall refuse to permit the examination of the records or information by persons permitted by this section to do so, shall be guilty of a class B misdemeanor as the same is defined in Chapter 42 of Title 11, and shall be subject to the penalties proscribed therein.

(f) The record keeping requirements outlined in this section shall be applicable to scrap processors, salvage dealers, junk dealers and insurance companies or their authorized agents. The record keeping requirement and penalties for failure to maintain such records shall not apply to individual owners who choose to retain ownership of their total loss vehicle as owner retained salvage.

59 Del. Laws, c. 541, § 1; 63 Del. Laws, c. 53, § 2; 71 Del. Laws, c. 57, §§ 1, 2; 80 Del. Laws, c. 328, § 1.;