Auto Insurance Claims: Reconstructed title., vw golf diesel, reconstructed title

Question
Hello,  I am thinking about purchasing a vehicle in Oregon that already has a reconstructed title from Oregon.  My concern is if another vehicle hits my car (their fault), what will they value my car?  I have called several insurance agencies and have gotten different answers.  The one that bothers me the most is AIG.  They stated that the car when salvaged was totally depriciated and they would pay nothing!!  Is this possible.  The car is a 2004 VW Golf diesel that is totally fixed and I would be paying $12,000 (about a $5000 discount).

Thanks for your help,  Jeff.

Answer
Hi Jeff,

When a vehicle has a reconstructed title it will generally have a value that is about 50% of a vehicle without a reconstructed title. So if you should not pay more than 50% of standard value for the vehicle. If the vehicle is later involved in an accident that totals it, the insurance comapny will only pay about 50% of standard value. There are companies that will insure the car As for the position of AIG, if that is their position you should not buy insurance from AIG.

I hope this helps
Richard Hixenbaugh