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While many states specify in detail their laws and regulations regarding declaring a car as salvaged, Ohio had obscure and confusing regulations. In the past, Ohio had ambiguous guidelines and specifications regarding salvage vehicles and their associated titles. For instance, DMV laws did not explain the criteria for salvage vehicles in a concise and understandable way. This lack of detail led to numerous vehicle inspection and registration confusion and mishaps.

Ohio roadway reports in 2009 and 2010 showed that this lack of regulation enabled many fraudulent activities to bypass the state law and even compromised road and driver safety. Later in 2010, the state reformed its policies and clarified the requirements and regulations on salvage vehicle declaration and title changes with specific terms and conditions.

Today, the state has different levels of vehicle title categories. If the repair value is less than the vehicle’s value, then it receives a “repairable” title. When the repair value is higher than the actual value of the vehicle, it is deemed a “total loss.” The law regarding salvage titles applies to vehicles that cannot feasibly be restored to their original condition. Due to the clarification of the term, drivers now have a better understanding of how insurance companies will cover their vehicle. When an insurance company declares a vehicle as salvaged, you can keep the vehicle in some instances, as long as you have reasonable repair plans.

Reference: http://www.autobidmaster.com