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Title washing rules imminent E-mail
Written by staff   
Monday, 22 September 2008

The federal government is about to publicly unveil proposed rules requiring insurers and salvage yards to identify for a national database all severely damaged vehicles they acquire.

The National Automobile Dealers Association, automakers and consumer groups have been pressuring the Justice Department to issue the rules, originally mandated by a 1992 anti-theft law.

The industry and consumer groups contend full implementation of the law would help stem title washing — the practice of reselling repaired wrecks and flood-damaged vehicles with clean titles — which victimizes dealers and consumers, they say.

 
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