O. Reg. 376/02: CLASSIFICATION OF VEHICLES AS IRREPARABLE, SALVAGE AND REBUILT, Filed December 17, 2002 under Highway Traffic Act, R.S.O. 1990, c. H.8

 

ONTARIO regulation 376/02

made under the

highway traffic act

Made: December 11, 2002
Filed: December 17, 2002
Printed in The Ontario Gazette: January 4, 2003

CLASSIFICATION OF VEHICLES AS IRREPARABLE, SALVAGE AND REBUILT

Definitions

1. (1) In section 199.1 of the Act and in this Regulation,

“insurer” means,

(a) an insurer, as defined in subsection 1 (1) of the Compulsory Automobile Insurance Act, or

(b) a person who owns, leases or holds the plate portion of the vehicle permits for 10 or more vehicles the policies of insurance for which do not cover damage caused by all perils;

“irreparable” means, with respect to a vehicle, a vehicle that,

(a) is a total loss and,

(i) has been immersed in liquid to the bottom of its dashboard or higher,

(ii) any major part of its electrical system has been, or appears to have been, immersed in liquid;

(iii) has incurred damage requiring the replacement of,

(A) for a vehicle the occupant compartment of which extends from the front door hinge pillar assemblies to the rear-most cross-member of the vehicle, five or more of the structural assemblies listed in Parts 2, 3 and 4 of the Schedule,

(B) for a vehicle the occupant compartment of which extends from the front-most cross-member of the vehicle to the rear-most cross-member of the vehicle, seven or more of the structural assemblies listed in Parts 1, 2, 3 and 4 of the Schedule,

(C) for a vehicle other than a vehicle described in sub-subclause (A) or (B), three or more of the structural assemblies listed in Parts 2 and 4 of the Schedule, or

(D) its structural fire wall or bulkhead assembly,

(iv) if the vehicle is a motorcycle, has incurred structural damage requiring the replacement by cutting and welding of any integral part of its full frame assembly, or

(v) has been stolen and dismantled such that the retail price for new parts of a like kind to replace those parts missing or damaged exceeds the fair labour cost to install or repair those parts, and,

(A) a settlement of an insurance claim has been paid for the vehicle as a total loss, or

(B) the vehicle is owned, leased or the plate portion of its vehicle permit is held by a person who is an insurer within the meaning of clause (b) of the definition of “insurer”, or

(b) is classified by the Registrar as irreparable under subsection 199.1 (11) of the Act;

“rebuilt” means, with respect to a vehicle, a vehicle that was classified as salvage by the Registrar under subsection 199.1 (10) or (11) of the Act and for which a structural inspection certificate has subsequently been submitted to comply with subsection 2.1 (1) of Regulation 628 of the Revised Regulations of Ontario, 1990 (Vehicle Permits);

“salvage” means, with respect to a vehicle, a vehicle that,

(a) is a total loss and has incurred damage requiring replacement of one or more of the structural assemblies listed in Parts 1, 2, 3 and 4 of the Schedule, but is not irreparable,

(b) is classified by the Registrar as salvage under subsection 199.1 (11) of the Act, or

(c) is a motor vehicle assembled using the body of a motor vehicle with a model year of 1981 or later and the chassis frame assembly of another motor vehicle, both of which were manufactured utilizing a full frame assembly as part of the vehicle’s structure; 

“salvage value” means the value of a damaged or stolen and dismantled vehicle that is legitimately recoverable through commercial means of disposal and, if the damaged or stolen and dismantled vehicle is purchased by a person described in paragraph 2 of subsection 4 (1), that value is the price paid by the person for the vehicle;

“total loss” means, with respect to a vehicle, a vehicle that has been damaged by collision, impact, fire or flood, or has been stolen and dismantled, such that the estimated cost of repairing it exceeds the difference between the fair market value of the vehicle immediately before it was damaged or stolen and its salvage value.

(2) For the purposes of the definitions of “irreparable” and “salvage” and sub-subparagraph 2 i A of subsection 4 (1), a structural assembly, structural firewall or bulkhead assembly requires replacement if,

(a) it has been damaged by impact and has been torn, kinked or bent beyond the manufacturer’s repair standards or, if there are no manufacturer’s repair standards, beyond the commonly accepted standards of the auto body collision repair industry; or

(b) it has been damaged by heat beyond the manufacturer’s repair standards or, if there are no manufacturer’s repair standards, beyond the commonly accepted standards of the auto body collision repair industry.

(3) For the purposes of the definition of “irreparable” and sub-subparagraph 2 i B of subsection 4 (1), the following are major parts of the electrical system of a vehicle:

1. A fuse panel or breaker panel.

2. A component that monitors, triggers or controls any component of the vehicle’s occupant restraint systems.

3. An electronic component that transmits or relays power for use in the heating or cooling of the vehicle’s occupant compartment.

4. An electronic component that transmits or relays power for use in the vehicle’s defogging or defrosting systems.

5. An electronic component or module that controls the vehicle’s primary operating systems.

6. A main wiring harness with unsealed connections that is located in the occupant compartment.

7. An electronic module that controls the vehicle’s on board self-diagnostic system, excluding communications, navigational and entertainment systems.

8. An electronic module that controls the vehicle’s braking systems or steering systems.

(4) For the purpose of the definition of “total loss”, the estimated cost of repairing the vehicle must be calculated using reasonable commercial rates for parts, supplies and labour.

Inspection of vehicles

2. (1) If a person described in paragraph 1 of subsection 4 (1) is making the determination that a vehicle, other than a motorcycle, is irreparable or salvage, the determination shall be based on an inspection of the vehicle carried out by a person who,

(a) holds a valid and subsisting certificate of qualification under the Apprenticeship and Certification Act, 1998 as an automotive service technician, truck and coach technician or auto body and collision damage repairer; and

(b) is employed by a motor vehicle inspection station that is licensed under Regulation 601 of the Revised Regulations of Ontario, 1990 with a Type 6 licence.

(2) If a person described in paragraph 1 of subsection 4 (1) is making the determination that a motorcycle is irreparable, the determination shall be based on an inspection of the motorcycle carried out by a person who,

(a) holds a valid and subsisting certificate of qualification under the Apprenticeship and Certification Act, 1998 as a motorcycle mechanic, automotive service technician, truck and coach technician or auto body and collision damage repairer; and

(b) is employed by a motor vehicle inspection station that is licensed under Regulation 601 of the Revised Regulations of Ontario, 1990 with a Type 4 or 6 licence.

(3) Every person who carries out an inspection of a vehicle on behalf of an insurer or a person described in paragraph 2 of subsection 4 (1) to determine that the vehicle is irreparable or salvage shall provide the insurer or other person on whose behalf the inspection is carried out with a copy of the records used and created in carrying out the inspection and the insurer or other person shall retain the records for two years.

(4) Every motor vehicle inspection station shall retain the records used and created in carrying out an inspection under subsection (1) or (2) for two years.

(5) A person who carries out an inspection under subsection (1) shall only inspect a vehicle that is within the scope of his or her certificate of qualification. 

Notification by insurer

3. (1) An insurer shall notify the Registrar that a vehicle is irreparable or salvage under subsection 199.1 (4) of the Act,

(a) if the insurer, within the meaning of clause (a) of the definition of “insurer”,

(i) acquires ownership of the vehicle, within six days after the date on which the insurer acquires ownership,

(ii) pays a settlement of the claim to the holder of the permit, but does not acquire ownership of the vehicle, within 14 days after the date on which the insurer pays the settlement; or

(b) if the insurer is an insurer within the meaning of clause (b) of the definition of “insurer”, within six days after the date of the incident giving rise to the determination.

(2) Notification of the Registrar by the insurer shall be in the form approved for the purpose by the Minister, fully completed by the insurer.

(3) The form approved by the Minister shall require,

(a) the vehicle identification number;

(b) the insurer’s determination that the vehicle is irreparable or salvage;

(c) the name of the holder of the plate portion of the vehicle permit at the time of the incident giving rise to the determination or, if no plate portion has been issued, the name of the holder of the vehicle portion of the vehicle permit;

(d) if applicable, the driver’s licence number, date of birth, address and telephone number of the holder described in clause (c);

(e) the date of the incident giving rise to the determination;

(f) if applicable, the insurance claim number for the claim relating to the incident giving rise to the determination;

(g) if applicable, the date the insurer acquired ownership of the vehicle or the date the insurer settled the claim, if the insurer does not acquire ownership of the vehicle, as the case may be;

(h) the name and address of the insurer and the insurer’s registrant identification number on the records of the Ministry; and

(i) the name, business address and telephone number of the individual who carried out the inspection and completed the form on behalf of the insurer.

(4) An insurer shall also notify the holder of the vehicle permit or the vehicle portion of the vehicle permit for the vehicle under subsection 199.1 (8) of the Act, in writing, that the insurer has determined that the vehicle is irreparable or salvage, within the time limits for notifying the Registrar set out in subsection (1).

Notification by other persons

4. (1) The following are required to notify the Registrar under subsection 199.1 (5) of the Act:

1. A person other than an insurer who is, at the time of the incident giving rise to the determination that the vehicle is irreparable or salvage, the holder of the plate portion of the vehicle permit for the vehicle or, if no plate portion of the permit has been issued, the holder of the vehicle portion of the vehicle permit and who,

i. does not have insurance for the vehicle,

ii. does have insurance for the vehicle, but the policy of insurance does not cover damage caused by all perils, or

iii. does have insurance for the vehicle, but a settlement of the claim made in relation to the incident giving rise to the determination is not paid by the insurer to the person within 25 days after the incident.

2. A person other than an insurer, including an importer, salvager or auctioneer, who buys, sells, wrecks or otherwise deals in used vehicles, who acquires ownership of a vehicle,

i. that,

A. appears to have been involved in a collision, impact or fire that caused damage to a structural assembly listed in Part 1, 2, 3 or 4 of the Schedule or that required the replacement of the structural firewall or bulkhead assembly of the vehicle, or

B. appears to have been immersed in liquid to the bottom of the dashboard or higher, or any major part of its electrical system has been or appears to have been immersed in liquid, and

ii. the vehicle permit for which has not yet been classified by the Registrar as irreparable or salvage as a result of the damage or apparent immersion in liquid described in sub-subparagraph i A or B.

(2) If a person described in paragraph 1 of subsection (1) determines that a vehicle is irreparable or salvage, that person shall so notify the Registrar under subsection 199.1 (5) of the Act within 26 days after the date of the incident giving rise to the determination.

(3) If a person described in paragraph 2 of subsection (1) determines that a vehicle is irreparable or salvage, that person shall so notify the Registrar under subsection 199.1 (5) of the Act within six days after acquiring ownership of the vehicle.

(4) Notification by a person described in subsection (1) shall be in the form approved for the purpose by the Minister, fully completed by the person described in subsection (1).

(5) The form approved by the Minister shall require,

(a) the vehicle identification number;

(b) the person’s determination that the vehicle is irreparable or salvage;

(c) the name, address and telephone number of the holder of the vehicle portion of the vehicle permit at the time of the determination and the holder’s driver’s licence number or registrant identification number on the records of the Ministry, as the case may be;

(d) the date of the incident giving rise to the determination, if known; and

(e) the name, business address and telephone number of the individual who carried out the inspection and completed the form on behalf of the person who is required to notify the Registrar.

(6) A person described in paragraph 1 of subsection (1) shall also notify the holder of the vehicle portion of the vehicle permit for the vehicle, if the vehicle portion of the permit is held by another person, under subsection 199.1 (8) of the Act, in writing, that the person has determined that the vehicle is irreparable or salvage, within the time limits for notifying the Registrar set out in subsection (2).

Submissions re Registrar’s classification

5. The holder of the vehicle permit or the vehicle portion of the vehicle permit for the vehicle must make the submissions under subsection 199.1 (12) of the Act within 90 days after the date of the issuance under subsection 199.1 (18) of the Act of a replacement permit or a replacement portion of a permit for the vehicle that indicates that the vehicle is classified as irreparable or salvage.

Duty to return permit

6. The holder of the vehicle permit or the vehicle portion of the vehicle permit for the vehicle shall return the permit or portion of the permit to the Registrar as required under subsection 199.1 (16) of the Act not later than the date the holder is required to notify the Registrar under subsection 4 (2) or (3) or, if the holder is not a person required to notify the Registrar under those subsections, within 10 days after the vehicle is determined by the Registrar to be irreparable or salvage.

Equivalent classifications from other jurisdictions

7. For the purposes of subsections 199.1 (11) and (19) of the Act and the definition of “rebuilt” in subsection 1 (1) of this Regulation,

(a) the classification set out in Column 2 of the Table opposite the jurisdiction set out in Column 1 of the Table is equivalent to salvage for that jurisdiction; and

(b) the classification set out in Column 3 of the Table opposite the jurisdiction set out in Column 1 of the Table is equivalent to irreparable for that jurisdiction.

TABLE

EQUIVALENT CLASSIFICATIONS FROM OTHER JURISDICTIONS

Column 1

Column 2

Column 3

Jurisdiction

Equivalent to Salvage

Equivalent to Irreparable

Canada

Alberta

Write-off or Repaired

Salvage

British Columbia

Salvage or Rebuilt

Parts only or Dismantle

Manitoba

Salvageable or Rebuilt

Irreparable

New Brunswick

Salvage or Rebuilt

Non-repairable

Newfoundland and Labrador

Salvage or Rebuilt

Non-repairable

Nova Scotia

Salvage or Rebuilt

Non-repairable

Prince Edward Island

Salvage or Rebuilt

Non-repairable

Quebec

Gravement Accidenté or Reconstruit

Irrécupérable

Saskatchewan

Salvage or Rebuilt

Non-repairable

United States of America

Alabama

Salvage; Reconstructed

Non-repairable — parts only certificate

Alaska

Reconstructed Vehicle

Wrecked or Totalled or Junked

Arizona

Salvage or Restored Salvage

Non-repairable or Junk

Arkansas

Reconstructed “REC”

Junk, destroyed, scrapped

California

Salvage or Salvage  Rebuilt; Salvaged

Non-Repairable

Colorado

Salvage; “R”; Rebuilt

Junk

Connecticut

Salvage; “A”

Parts Only or Code “K”

Delaware

Salvage

Parts Only or Flood damaged

Florida

Salvage-Rebuildable or Rebuilt

Salvage-Unrebuildable

Georgia

Salvage or Rebuilt

Flood damaged or Fire damage

Idaho

Salvage/total loss; Reconstructed vehicle

Junk, For junk only

Illinois

Salvage or Reconstructed vehicle

Flood vehicle or For junk only

Indiana

Salvage or Rebuilt Vehicle

 

Iowa

Salvage or Prior salvage

Junked

Kansas

Salvage

 

Kentucky

Salvage or Rebuilt vehicle

Junk or Water damaged

Louisiana

Salvage

 

Maine

Salvage

 

Maryland

Salvage

Parts only

Massachusetts

Salvage — Repairable, with one or more of the following subclassifications:

Coll [collision]; Fire; Salt, Floo [flood]; Vand [vandalism]; Reconstructed

Parts Only, with one or more of the following subclassifications:

Coll [collision]; Fire; Salt, Floo [flood]; Vand [vandalism]

Michigan

Salvage title or Rebuilt

Scrap title or Junking certificate

Minnesota

Salvage or Prior salvage or Rebuilt

Flood

Mississippi

Salvage

Flood

Missouri

Salvage; Prior Salvage

Junking Certificate

Montana

Salvage Code “S” or Rebuilt Salvage

Flood

Nebraska

Salvage or Previously salvaged

 

Nevada

Rebuilt

Flood damaged or Non-rebuildable

New Hampshire

No title

Salvage

New Jersey

Salvage or Code “S”

Code “F”

New Mexico

Salvage

 

New York

Salvage or Rebuilt salvage

 

North Carolina

SAL or “SVR”

“WFD”

North Dakota

Salvage or Previous salvage

Junked (can be re-titled)

Ohio

Salvage or Rebuilt Salvage

For Destruction

Oklahoma

Salvage

 

Oregon

Totalled

 

Pennsylvania

Salvage — class B

Salvage — class A

South Carolina

Salvage

Not Rebuildable

South Dakota

 

Junking certificate

Texas

Salvage or Reconditioned or Rebuilt salvage

Non-repairable or Flood damaged or Certificate of authority to dispose

Utah

Salvage

 

Vermont

Salvage or Rebuilt

 

Virginia

Salvage vehicle or Salvage rebuilt

Non-repairable or Water damage

West Virginia

Salvage or Reconstructed

Non-repairable; Parts only, certificate

Wisconsin

Salvage or Repaired — Salvage

Flood

Wyoming

Code “S” or Salvage Code “R”

Code “F” or Non-repairable

 

Exemptions

8. Section 199.1 of the Act does not apply to,

(a) trailers, traction engines, farm tractors, road-building machines, bicycles, motor assisted bicycles, motorized snow vehicles or street cars;

(b) motorcycles, other than motorcycles that are irreparable; or

(c) motor vehicles with a model year of 1980 or earlier.

Commencement

9. This Regulation comes into force on the day section 199.1 of the Act is proclaimed in force.

Schedule

STRUCTURAL ASSEMBLIES

Part 1

Radiator Support Assembly

Upper Rail Assembly — Left

Upper Rail Assembly — Right

Lower Rail Assembly — Left

Lower Rail Assembly — Right

Front Strut Tower/Apron Assembly — Left

Front Strut Tower/Apron Assembly — Right

Cowl Top Panel Assembly

Engine Sub-Frame Assembly

Part 2

Dash Panel Assembly

Windshield “A” Pillar Assembly — Left

Windshield “A” Pillar Assembly — Right

Side Rocker Panel Assembly — Left

Side Rocker Panel Assembly — Right

Centre Hinge “B” Pillar Assembly — Left

Centre Hinge “B” Pillar Assembly — Right

Rear “C” Pillar Assembly — Left

Rear “C” Pillar Assembly — Right

Front Floor Pan Assembly

Rear Floor Pan Assembly

Roof Panel (structural) Assembly

Part 3

Rear Strut Tower/Inner Wheelhouse Assembly — Left

Rear Strut Tower/Inner Wheelhouse Assembly — Right

Inner Quarter Panel Assembly — Left

Inner Quarter Panel Assembly — Right

Rear Cross-Member Assembly

Rear End Panel Assembly — Upper

Rear End Panel Assembly — Lower

Rear Sub Frame Assembly — Left

Rear Sub Frame Assembly — Right

Trunk Floor Pan Assembly

Part 4

Full Frame Vehicle: Complete Full Frame Assembly