SF 1579

as introduced - 93rd Legislature (2023 - 2024) Posted on 10/25/2023 10:40am

A bill for an act
relating to motor vehicles; authorizing electronic signature to transfer ownership
of vehicle to insurer after payment of damages; amending Minnesota Statutes
2022, section 168A.151, subdivision 1.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2022, section 168A.151, subdivision 1, is amended to read:

Subdivision 1.

Salvage and prior salvage brands.

(a) When an insurer, licensed to
conduct business in Minnesota, acquires ownership of a vehicle, excluding a recovered
intact vehicle, through payment of damages, the insurer must:

(1) for a late-model or high-value vehicle, immediately apply for a certificate of title
that bears a "salvage" brand or stamp the existing certificate of title with "salvage" in a
manner prescribed by the department; or

(2) for a vehicle that is not subject to clause (1), immediately apply for a certificate of
title that bears a "prior salvage" brand or stamp the existing certificate of title with "prior
salvage" in a manner prescribed by the department.

new text begin (b) Notwithstanding any other law to the contrary, supporting documents used to transfer
ownership of a vehicle to an insurer after payment of damages do not require a notarized
signature and may be signed electronically. For purposes of this paragraph, supporting
documents include but are not limited to power of attorney forms. The insurer shall indemnify
and hold harmless the department for any claims resulting from issuing a certificate of title,
salvage title, or junking certificate pursuant to this section.
new text end

deleted text begin (b) deleted text end new text begin (c) new text end Within ten days of obtaining the title of a vehicle through payment of damages,
an insurer must notify the department in a manner prescribed by the department.

deleted text begin (c) deleted text end new text begin (d) new text end Except as provided in section 168A.11, subdivision 1, a person must immediately
apply for a certificate of title that bears a "salvage" brand if the person acquires a damaged
late-model or high-value vehicle that:

(1) was acquired by an insurer through payment of damages;

(2) will incur a cost of repairs that exceeds the value of the damaged vehicle;

(3) has an out-of-state salvage certificate of title as proof of ownership; or

(4) bears the brand "damaged," "repairable," "salvage," or any similar term on the
certificate of title.

deleted text begin (d) deleted text end new text begin (e) new text end Except as provided in section 168A.11, subdivision 1, a person must immediately
apply for a certificate of title that bears a "prior salvage" brand if the person acquires a
damaged vehicle and:

(1) a "salvage" brand is not required under paragraph (c); and

(2) the vehicle:

(i) bears the brand "damaged," "repairable," "salvage," "rebuilt," "reconditioned," or
any similar term on the certificate of title; or

(ii) had a salvage certificate of title or brand issued at any time in the vehicle's history
by any other jurisdiction.

deleted text begin (e) deleted text end new text begin (f) new text end A self-insured owner of a vehicle that sustains damage by collision or other
occurrence which exceeds 80 percent of its actual cash value must:

(1) for a late-model or high-value vehicle, immediately apply for a certificate of title
that bears a "salvage" brand; or

(2) for a vehicle that is not subject to clause (1), immediately apply for a certificate of
title that bears a "prior salvage" brand.