MI SB0196

Allows insurance companies to apply for salvage or scrap certificates of title without obtaining the original certificate from vehicle owners if the company provides proof of claim payment and demonstrates it made at least two written requests for the title via certified mail within 30 days of paying the claim.

Establishes thresholds for salvage versus scrap vehicle designations based on repair costs: salvage certificates for vehicles with estimated repair costs of 75-90% of predamaged actual cash value; scrap certificates for 91% or greater repair costs.

Restricts the sale and transfer of salvage and scrap vehicles to specific licensed entities including automotive recyclers, vehicle parts dealers, foreign salvage dealers, and vehicle scrap metal processors.

Prohibits removing scrap vehicles from Michigan for rebuilding or resale purposes; violators receive automatic 30-day suspension of dealer and salvage agent licenses with right to immediate hearing.

Modifies abandoned vehicle procedures on private property to allow property owners to have vehicles towed after contacting local towing agencies, with police agencies determining if vehicles were reported stolen and entering them into the law enforcement information network.