SENATE CONCURRENT RESOLUTION NO. 76

(By Senators Unger, Jenkins, Deem, Facemyer, Fanning, Love and White)

[Originating in the Committee on Transportation and

Infrastructure]


Requesting the Joint Committee on Government and Finance study the titling and branding of vehicles which have sustained damage to an extent that the vehicles have significant costs in repairs or have sustained damages that result in significant reductions in value.

Whereas, There are current laws that require vehicles to be
declared total losses if damages exceed seventy-five percent or more of the vehicles' market value; and
Whereas, The cost of vehicle repairs generally is increasing; and
Whereas, The number of air bags installed in vehicles is increasing and, consequently, the cost to replace these air bags is increasing as well. This increased cost of air bag replacement is causing more damaged vehicles to exceed the seventy-five percent threshold, resulting in vehicles being declared totaled that would otherwise be repairable. Insurance companies are then required to acquire the vehicle, thus depriving the vehicle owner of use; and
Whereas, The purchase of gap insurance may alleviate some of the hardship experienced by the owners of vehicles that have been totaled; and
Whereas, Recent natural disasters have resulted in the addition of thousands of water- and storm-damaged vehicles to the vehicle market; and
Whereas, Current law does not provide definitions for affixing designating brands on vehicles that have been damaged by flood, storm or fire for the protection of a subsequent owner; and
Whereas, Previous insurance claim information for subsequent purchasers of vehicles that may have undisclosed damage is limited; therefore, be it
Resolved by the Legislature of West Virginia:
That the Joint Committee on Government and Finance is hereby requested to study the titling and branding of vehicles which have sustained damage to an extent that the vehicles have significant costs in repairs or have sustained damages that result in significant reductions in value; and, be it
Further Resolved, That the Joint Committee on Government and Finance review, examine and study all aspects of the issue of the increase in repair costs of vehicles which have sustained damage; and, be it
Further Resolved, That the Joint Committee on Government and Finance review and recommend improvements in the current process of determining total loss, determining previous damage to vehicles that have not been disclosed and the appropriate branding of titles to vehicles that have sustained substantial damage; and, be it
Further Resolved, That the Joint Committee on Government and Finance report to the regular session of the Legislature, 2007, on its findings, conclusions and recommendations, together with drafts of any legislation necessary to effectuate its recommendations; and, be it
Further Resolved, That the expenses necessary to conduct this study, to prepare a report and to draft necessary legislation be paid from legislative appropriations to the Joint Committee on Government and Finance.