Will Allstate Insure a Rebuilt Title?

Last Updated on May 8, 2024

Allstate will insure a car with a rebuilt title, although the company only offers liability insurance.

Allstate’s rebuilt title car insurance includes bodily injury liability and property damage liability coverage. Most states require these coverages to drive legally. Allstate’s rebuilt title car insurance allows you to get back on the road while providing limited protection for your own vehicle after an accident.

Keep reading to find out everything you need to know about Allstate’s rebuilt title car insurance.

Key Takeaways:

1. Allstate provides liability-only insurance for cars with rebuilt titles, which includes bodily injury and property damage liability, but does not offer collision or comprehensive coverage.
2. Rebuilt title insurance costs more than standard liability plans, with Allstate charging around $1,200 per year, which is higher due to the perceived increased risk of vehicles that have previously been totaled.
3. Although Allstate and other major insurers like State Farm and GEICO offer insurance for rebuilt titles, State Farm is notable for sometimes offering full coverage on such vehicles, unlike most competitors who offer only liability coverage.

Yes, Allstate Insures Rebuilt Titles

Allstate is one of several large insurers covering vehicles with a rebuilt title.

State Farm, GEICO, USAA, and other large insurers also offer rebuilt title car insurance.

Allstate, like some of its competitors, provides liability-only coverage for vehicles with rebuilt titles. State Farm is one of the few offering full coverage car insurance on rebuilt title vehicles. Liability-only coverage allows you to legally drive on public roads in your state while offering limited protection for your own vehicle.

How Allstate’s Rebuilt Title Car Insurance Works

Allstate’s rebuilt title car insurance is liability-only coverage, which means it mostly protects other people instead of your own vehicle.

Here’s how Allstate’s rebuilt title car insurance works:

• Allstate’s rebuilt title car insurance is liability-only coverage.
• Liability-only coverage includes bodily injury liability coverage, which covers injuries to other drivers, passengers, and pedestrians injured as a result of your actions.
• Liability-only coverage also includes property damage liability coverage, which covers the cost of repairing damage to another person’s property – like the cost of repairing their vehicle after an at-fault accident.
• Allstate’s rebuilt title car insurance can also include any additional coverages required by your state, including personal injury protection, medical payments coverage, or uninsured and underinsured motorist coverage.
• Allstate can set car insurance at the minimum limits required by your state – say, 50/100/50 ($50,000 of bodily injury liability coverage per person, $100,000 of bodily injury liability coverage per accident, and $50,000 of property damage liability coverage). Or, they can increase limits for greater peace of mind and protection – say, to 100/300/100.
• Allstate’s rebuilt title car insurance does not include collision or comprehensive coverage. These coverages protect your own vehicle after a loss. Without these coverages, you’ll need to pay for any vehicle repair costs out of pocket.

Overall, Allstate’s rebuilt title car insurance provides less coverage than ordinary car insurance. Plus, you could pay higher rates.

How Much Does Allstate’s Rebuilt Title Car Insurance Cost?

Allstate’s rebuilt title car insurance tends to be more expensive than liability-only plans for ordinary vehicles.

Typically, liability-only coverage is very affordable. The average liability-only plan in the United States costs around $800 per year (or $67 per month).

In comparison, however, a liability-only plan for a rebuilt title vehicle costs around $1,200 per year (or $100 per month).

Insurers like Allstate charge higher rates for rebuilt titles because of the added risk. Even if your car is fully repaired to pre-loss condition, there could be hidden damage to the vehicle because of the previous incident. Insurers also don’t know about the quality of repairs performed. It’s possible the vehicle is identical to its pre-loss condition, but it’s also possible the vehicle breaks down at some point in the future.

For all of these reasons, Allstate’s rebuilt title car insurance tends to cost more than ordinary car insurance. However, Allstate’s rates are competitive with other rebuilt title car insurance providers.

Rebuilt Titles vs. Salvage Titles

When a vehicle is declared a total loss after an accident, it receives a salvage title.

A vehicle with a salvage title cannot be legally driven or insured. It must be repaired to a point where it passes a mechanic’s inspection and receives a rebuilt title.

The rebuilt title indicates the car has been repaired to a point where it can safely and legally be driven. At this point, you can buy car insurance for the vehicle – say, through Allstate or another provider.

Salvage titles are for vehicles considered a total loss by the insurance company. When a vehicle has a salvage title, the insurer has deemed it’s not worth repairing. It may cost more to repair the vehicle than the vehicle is worth, for example. No major auto insurance company provides insurance for salvage title vehicles, and the vehicle cannot be legally driven on public roads.

Rebuilt titles are for former salvage title vehicles that have been repaired. An owner might purchase a salvage title vehicle at an auction with the intention of repairing it. If the vehicle passes a mechanic’s inspection, the vehicle receives a rebuilt title, allowing you to buy insurance through Allstate and other insurers.

Rebuilt Title Insurance vs. Ordinary Car Insurance

Allstate’s rebuilt title insurance works in a different way than ordinary car insurance.

Some of the differences include:

• Higher premiums. Typically, you’ll pay 20% to 50% higher rates for rebuilt title car insurance compared to ordinary liability-only insurance. Insurers charge higher rates because of the higher risk.
• Greater due diligence and evidence required. Insurers may require multiple photos or even videos of your rebuilt title vehicle before providing you with a policy. This evidence is used to identify any pre-existing damage to your vehicle.
• Mechanic’s statement and repair estimate required. Allstate and other insurers typically require a certified mechanic’s statement. This statement verifies the vehicle is safe to drive. Some insurers also require the original repair estimate for the vehicle.
• Liability-only coverage instead of collision and comprehensive coverage. Allstate only provides liability coverage to rebuilt title vehicles. Liability coverage protects other drivers and people from your actions while providing limited protection for your own vehicle.

Final Word

Allstate, like several of its large competitors, offers rebuilt title car insurance in some states.

You can buy liability-only rebuilt title car insurance through Allstate to legally drive your vehicle on public roads.

Contact Allstate or compare quotes online today to start your Allstate rebuilt title insurance policy.