Reader question:

When I bought my car, it had a salvaged title. Does this mean I will get charged higher car insurace rates?

Alvin

Maybe.

While most insurance companies don’t ask for the title of the vehicle when you take out a policy, withholding this kind of information is considered fraud, so you should disclose it. Even though it will probably mean that you will face higher car insurance rates, it usually isn’t such a bad raise and can be metered with other discounts and shopping around.

If you have a car with a salvaged title, then normally you have to put extra effort into proving that the car can actually drive and is thus able to be insured. In order to do this, most car insurance companies rquire that you get a note from a mechanic vouching that the car is okay and not going to break down any second just so you can make a claim.

Cheers,

Fashun Guadarrama.