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Vermont State Title Processing Procedures

  1. What form of title must an insurer obtain in connection with the sale of a vehicle that has been acquired through the settlement of a claim?
  2. What documents must an insurer provide to CarBuyerUSA in order to sell a vehicle on a Certificate of Title?
  3. What documents must an insurer provide to CarBuyerUSA in order to sell a vehicle on a Salvage Certificate of Title?
  4. What documents must an insurer provide to CarBuyerUSA in order to sell a recovered theft vehicle recovered substantially intact with no substantial damage, where title is still in the name of the insured?
  5. What steps must an insurer take in Vermont to process an owner-retained vehicle?
  6. What legal duties are imposed upon a lienholder following satisfaction of the lien?

  1. What form of title must an insurer obtain in connection with the sale of a vehicle that has been acquired through the settlement of a claim?

    (a) Except for vehicles for which no certificate of title is required pursuant to section 2012 of this title and for vehicles which are more than ten years old, any person who purchases or in any manner acquires a vehicle as salvage, who scraps, dismantles or destroys a motor vehicle or any insurance company or representative thereof who declares a motor vehicle to be a total loss shall make application for a salvage certificate of title within 15 days of the time the vehicle is purchased or otherwise acquired as salvage, scrapped, dismantled or destroyed or declared a total loss. Such application shall be accompanied by:

    (1) any certificate of title; and
    (2) any other information or documents that the commissioner may reasonably require to establish ownership of the vehicle and the existence or nonexistence of any security interest in the vehicle.

    (b) When a vehicle is destroyed by crushing for scrap, the person causing the destruction shall immediately mail or deliver to the commissioner the certificate of title, if any, endorsed "crushed" and signed by the person, accompanied by the original plate showing the original vehicle identification number. The plate shall not be removed until such time as the vehicle is crushed.

    (c) This section shall not apply to, and salvage certificates shall not be required for, unrecovered stolen vehicles or vehicles stolen and recovered in an undamaged condition, provided that the original vehicle identification number plate has not been removed, altered or destroyed and the number thereon is identical with that on the original title certificate.

    [Vermont Revised Statutes § 2091]

    13) "Salvaged motor vehicle" means a motor vehicle which has been scrapped, dismantled, destroyed or declared a total loss by an insurance company.
    (14) "Totaled motor vehicle" means a motor vehicle which has been declared by an insurance company to be a total loss.
    (15) "Title or certificate of title" means a written instrument or document that certifies ownership of a vehicle and is issued by the commissioner or equivalent official of another jurisdiction.
    (16) "Secure assignment of title" means a form prescribed by the commissioner that must be used to transfer ownership of a titled vehicle if all space for assignments upon the title itself has been used.
    (17) "Salvage certificate of title" means a title that is stamped or otherwise branded to indicate that the vehicle described thereon is a salvaged motor vehicle or has been scrapped, dismantled, destroyed or declared a total loss by an insurance company, or both.

    [Vermont Revised Statutes § 2001] back to top

  2. What documents must an insurer provide to CarBuyerUSA in order to sell a vehicle on a Certificate of Title?

    The insurer shall provide CarBuyerUSA with a Certificate of Title or a comparable ownership document issued by another state or jurisdiction (either endorsed over to the insurer or accompanied by a power of attorney), an odometer disclosure statement, and a release of any liens.

    CarBuyerUSA will submit these documents along with an Application for Title and the appropriate fee to the Department of Motor Vehicles for processing.

    Thereafter, the Department of Motor Vehicles shall issue a Certificate of Title in the name of the insurer.

    CarBuyerUSA, acting under a power of attorney for the insurer, will then sell the vehicle at auction and reassign the insurer’s Certificate of Title to the purchaser.

    [Vermont Revised Statutes § 2015] back to top

  3. What documents must an insurer provide to CarBuyerUSA in order to sell a vehicle on a Salvage Certificate of Title?

    The insurer shall provide CarBuyerUSA with a Certificate of Title or a comparable ownership document issued by another state or jurisdiction (either endorsed over to the insurer or accompanied by a power of attorney), an odometer disclosure statement, a release of any liens, and a letter from insurance company stating vehicle has been declared a total loss.

    CarBuyerUSA will submit these documents along with a Rebuilt/Salvage Title Application (TA-VT-17) and the appropriate fee to the Department of Motor Vehicles for processing.

    Thereafter, the Department of Motor Vehicles shall issue a Salvage Certificate of Title in the name of the insurer.

    CarBuyerUSA, acting under a power of attorney for the insurer, will then sell the vehicle at auction and reassign the insurer’s Salvage Certificate of Title to the purchaser.

    [Vermont Revised Statutes §§ 2001 and 2091] back to top

  4. What documents must an insurer provide to CarBuyerUSA in order to sell a recovered theft vehicle recovered substantially intact with no substantial damage, where title is still in the name of the insured?

    When a vehicle has been stolen and recovered, the insurer shall provide CarBuyerUSA with a Title or a comparable ownership document issued by another state or jurisdiction (either endorsed over to the insurer or accompanied by a power of attorney), an odometer disclosure statement with last known mileage, a release of any liens, and a letter from insurance company stating vehicle has been declared a total loss.

    After receipt of these documents, CarBuyerUSA will submit these documents along with a Rebuilt/Salvage Title Application (TA-VT-17) or Application for Certificate of Title as determined by the insurance company and the appropriate fee to the Department of Motor Vehicles for processing.

    Thereafter, the Department of Motor Vehicles shall issue the appropriate title as determined by the insurance company.

    CarBuyerUSA, acting upon a power of attorney for the insurer, will then sell the vehicle at auction and reassign the insurer’s appropriate Certificate of Title to the purchaser.

    [Vermont Revised Statutes § 2091(c)] back to top

  5. What steps must an insurer take in Vermont to process an owner-retained vehicle?

    The owner must send the Department of Motor Vehicles a Rebuilt/Salvage Title Application (TA-VT-17) along with the original Certificate of Title stamped "totaled" by the insurance company. Thereafter, the Department of Motor Vehicles shall issue a Rebuilt Certificate of Title to the owner. back to top

    [Per DMV]

  6. What legal duties are imposed upon a lienholder following satisfaction of the lien?

    (a) Upon the satisfaction of a security interest in a vehicle for which the certificate of title is in the possession of the lienholder, he shall, within ten days after demand and, in any event, within thirty days, execute a release of his security interest, in the space provided therefor on the certificate or as the commissioner prescribes, and mail or deliver the certificate and release to the next lienholder named therein, or, if none, to the owner or any person who delivers to the lienholder an authorization from the owner to receive the certificate. The owner, other than a dealer holding the vehicle for resale, shall promptly cause the certificate and release to be mailed or delivered to the commissioner, who shall release the lienholder's rights on the certificate or issue a new certificate.

    (b) Upon the satisfaction of a security interest in a vehicle for which the certificate of title is in the possession of a prior lienholder, the lienholder whose security interest is satisfied shall within ten days after demand and, in any event, within thirty days execute a release in the form the commissioner prescribes and deliver the release to the owner or any person who delivers to the lienholder an authorization from the owner to receive it. The lienholder in possession of the certificate of title shall either deliver the certificate to the owner, or the person authorized by him, for delivery to the commissioner or, upon receipt of the release, mail or deliver it with the certificate to the commissioner, who shall release the subordinate lienholder's rights on the certificate or issue a new certificate.

    [Vermont Revised Statutes § 2045] back to top

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