S.F. No. 640 Summary

• Removes "late-model or high-value" vehicle classification restrictions for salvage certificate of title requirements, applying salvage certificate rules to all damaged vehicles meeting specified conditions.

• Requires insurers to immediately apply for salvage certificates of title or stamp existing titles when acquiring vehicle ownership through damage payments, and notify the department within 10 days.

• Expands salvage certificate requirements to self-insured vehicle owners whose damage exceeds 80 percent of actual cash value and to owners who receive total loss settlements while retaining vehicle ownership.

• Appropriates $441,000 in fiscal year 2022 and $395,000 in fiscal year 2023 from the vehicle services operating account to establish two additional vehicle inspection sites.

• Effective date of January 1, 2023, applies to vehicles acquired on or after that date and damage or settlements occurring on or after that date.