Should a Damaged Vehicle Be Repaired or Scrapped?
1 Answers
Whether a vehicle damaged in a traffic accident should be repaired or scrapped primarily depends on the extent of the damage. However, insurance companies generally advocate for repairs rather than scrapping. To apply for scrapping, certain standards must be met, and the vehicle owner must present a court judgment to the vehicle management department for processing. Vehicles meeting either of the following two criteria can apply for scrapping and receive compensation according to scrapping standards: 1. When the repair costs exceed 80% or more of the vehicle's value, the insurance company will compensate based on the vehicle's scrapping insurance claim. 2. The vehicle meets the mandatory scrapping standards: after repairs and adjustments, it still fails to comply with the national safety technical standards for in-use vehicles, or after repairs, adjustments, or the application of control technologies, it still fails to meet national standards regarding pollutant emissions or noise levels for in-use vehicles. Documents required for scrapping: Motor Vehicle Registration Form (Appendix), Application for Motor Vehicle Suspension or Cancellation, Vehicle License, Motor Vehicle Registration Certificate, Two License Plates, and the Vehicle Owner's Identity Proof.
