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Minnesota Legislature

Office of the Revisor of Statutes

SF 2804

as introduced - 91st Legislature (2019 - 2020) Posted on 04/08/2019 02:27pm

KEY: stricken = removed, old language.
underscored = added, new language.

Current Version - as introduced

Line numbers 1.1 1.2 1.3 1.4 1.5
1.6 1.7 1.8 1.9 1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 1.19 1.20 1.21 1.22 2.1 2.2 2.3 2.4 2.5 2.6

A bill for an act
relating to motor vehicles; allowing an insurer to apply for a title to a vehicle in
certain situations; proposing coding for new law in Minnesota Statutes, chapter
168A.

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

Section 1.

new text begin [168A.1502] INSURER APPLICATION FOR TITLE.
new text end

new text begin (a) When an insurer licensed to conduct business in Minnesota acquires ownership of a
vehicle through payment of damages and the owner fails to deliver the vehicle's title to the
insurer within 30 days of payment of the claim, the insurer may apply to the commissioner
for a salvage title as provided in this section. This section only applies to vehicles with a
title issued by this state.
new text end

new text begin (b) At least 30 days prior to applying for a salvage title under this section, the insurer
must notify the owner and any lienholders of record of the insurer's intent to apply for a
title. The notice must be sent by certified mail to the last known address for the owner and
any lienholders.
new text end

new text begin (c) At least 30 days after notifying the owner and any lienholders as provided in paragraph
(b), the insurer may apply for a salvage title from the commissioner. The application must
include:
new text end

new text begin (1) proof of payment of the claim;
new text end

new text begin (2) proof that the insurer requested the title from the owner; and
new text end

new text begin (3) proof that notice was provided to the owner and lienholders as required in paragraph
(b).
new text end

new text begin If the insurer does not provide proof of all three items, the commissioner must reject the
application.
new text end

new text begin (d) Notwithstanding any outstanding liens, upon proper application, the commissioner
must issue a salvage title in the name of the insurer. This extinguishes all existing liens
against the vehicle. If the vehicle is sold, the insurer must assign this title to the buyer and
the vehicle is transferred without any liens.
new text end