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Contributor
Puneet Sood
Posts: 31
Registered: ‎09-06-2017

What is salvage and what happens to it?

 
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Frequent Contributor
Arti
Posts: 163
Registered: ‎30-08-2021
Solution

Re: What is salvage and what happens to it?

Dear Sir , 

In case of claims the partly damaged goods or the wreck of a car or any machinery or any other property settled on Total Loss Basis is known as “Salvage”. After settling the claim for the full amount the salvage becomes the property of insurance company.

 

 

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Contributor
Sushma Baviskar
Posts: 27
Registered: ‎23-08-2017

Re: What is salvage and what happens to it?

Salvage refers to discarded parts that are damaged beyond repair and, therefore, need to be replaced. If these parts have no economic value (broken glass, torn plastic, rubber) they are thrown away. However, parts like doors, panels, petrol tanks, front forks etc., do have a residual commercial value or scrap value. At the time of payment of the claim amount, the salvage value will be reduced from any loss settlement, if the insured retains the damaged property. 

New Member
Israr Choudhry
Posts: 1
Registered: ‎25-08-2021

Re: What is salvage and what happens to it?

What happens if we don't take custody of the scrap? do we get the entire claim amount?

Frequent Contributor
Arti
Posts: 163
Registered: ‎30-08-2021
Solution

Re: What is salvage and what happens to it?

Dear Sir , 

In case of claims the partly damaged goods or the wreck of a car or any machinery or any other property settled on Total Loss Basis is known as “Salvage”. After settling the claim for the full amount the salvage becomes the property of insurance company.

 

 

View solution in original post