NICB urges caution; don't rush to buy a used vehicle, especially if the price looks too good to be true.
After a disaster, NICB works with its member companies, law enforcement and auto auction companies to identify the vehicles that have had an insurance claim filed. Most of the vehicles are sold to parts companies who will dismantle them and re-sell usable parts that were not damaged by the flooding.
The Vehicle Identification Number (VIN) of vehicles that have been damaged by Barry will be searchable through NICB's free VINCheck service as well as the National Motor Vehicle Title Information System (NMVTIS) database.
VINCheck allows car buyers to see whether a vehicle has ever been declared as "salvage" or a total loss by an NICB member that participates in the program. Insurers representing about 88 percent of the personal auto insurance market provide their salvage data to the program. It also alerts users if a vehicle has been stolen and is still unrecovered.
"Our thoughts are with those who have been impacted by this storm. Insurance companies and agents will be there to help you in the recovery process. However, when tragedy strikes criminals have the tendency to swoop in and scam consumers especially when it comes to the resale of flooded vehicles," said Brooke Kelley, NICB's communications vice president.
"Unfortunately, some of the flooded vehicles may be purchased at bargain prices, cleaned up, and then taken out of state where the VIN is switched and the car is retitled with no indication it has been damaged."
NICB warns buyers to be particularly careful in the coming weeks and months as thousands of Barry-damaged vehicles may reappear for sale in their areas. Vehicles that were not insured may be cleaned up and put up for sale by the owner or an unscrupulous dealer with no disclosure of the flood damage.
Buyers should have a vehicle checked by a reputable technician or repair facility before handing over any cash.