Understanding Rebuilt Status: Should You Buy a Rebuilt Title Vehicle?

When it comes to car insurance, there are many factors that may impact your coverage and premiums – and owning a vehicle that has been branded rebuilt may be one of them. As the price for new and used cars is currently on the rise, rebuilt status cars are often significantly cheaper than cars with no brand. But what exactly is vehicle title branding and how does it affect your car insurance?

A vehicle's title provides information about a car's ability to be licensed for use on the road. In this article, we'll focus primarily on vehicles with a rebuilt title – and we're answering some of your most frequently asked questions in the article below.

What is vehicle title branding?

Vehicle title branding describes a label or designation that's linked to a car's Vehicle Identification Number (VIN). While most vehicles have no branding, the presence of a title brand indicates that a car has been involved in a significant event that may impact its value, safety, and insurability. If you're thinking about buying a car, checking the ownership to confirm the vehicle's title brand can give you important information about its history. You can find a vehicle's title brand by checking the VIN at your local ministry of transportation. Different title brands include rebuilt, salvage, and irreparable, depending on the extent of a vehicle's damage. 

What does it mean when a vehicle has rebuilt status branding?

Rebuilt status branding is given to a vehicle that was previously declared a total loss by an insurance company due to significant damage and is now deemed roadworthy again by your province's Ministry of Transportation. The car may have been in a serious accident, fire, flood, or other incident in which the cost to repair the vehicle either came close to or exceeded its market value. After undergoing extensive repairs and passing rigorous inspections to ensure it's safe to drive, the car may be granted rebuilt status. With its rebuilt title, the vehicle can once again be registered, driven, and insured.

Why would someone buy a vehicle branded rebuilt?

Often vehicles with rebuilt status branding are much cheaper than a new or used vehicle with no brand – and that can be appealing to budget-conscious consumers. If you have proof that the completed repairs are sufficient for registration and insurance, you could be getting a great deal on a new-to-you car.  Plus, due to the extensive repairs required to make the vehicle roadworthy again, you'll have a clear understanding of the car's history.

What should I do if I'm thinking about buying a vehicle that carries a rebuilt brand?

It's important to note that a rebuilt title doesn't necessarily mean the vehicle is of poor quality. Many vehicles with rebuilt status have been repaired professionally and are safe to drive. However, it's crucial to thoroughly assess the quality of the repairs and get a professional inspection before purchasing or insuring a rebuilt car. We also highly recommend contacting your insurer prior to purchasing a car with rebuilt status branding to confirm that you're able to get the coverage you want for your vehicle. 

How does a rebuilt title impact your car insurance?

Getting the right car insurance coverage can be a little more complex for rebuilt cars than vehicles with no brand. For cars with rebuilt status, the availability of certain coverages and endorsements may vary based on the extent of the original damage, and the insurance company's guidelines for rebuilt title vehicles. 

If you're considering purchasing a vehicle with rebuilt status, we can help you find car insurance coverage that fits your needs. Call 1-866-361-2311 to speak with a TD Insurance agent to learn more about our insurance options for rebuilt title vehicles.

Ultimately, any vehicle that's branded rebuilt comes with its own unique risks and benefits. As a buyer, it's important that you balance the risks of a rebuilt title vehicle with its lower upfront cost. You'll likely want to do some extra research into any rebuilt status vehicle to ensure that it doesn't end up costing you more over the long term.

If you're thinking about buying a vehicle with rebuilt status, a TD Insurance advisor can help you get the car insurance coverage you need. Get a quote online in minutes.

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The content on this page is for general information purposes only and does not constitute legal advice. Coverages described herein may be subject to additional eligibility criteria, limitations and exclusions. In the event you make a claim, potential indemnification is also subject to the receivability of the claim and the type of coverage you bought.

In the case of conflict between the content on this page and your policy wordings, your policy wordings shall take precedence. Please speak to an Advisor or consult your policy wordings for further details.