Discussions with a number of people have highlighted that the NSW Government do not want to enact expensive legislation to control motor salvage, so have started on this ill conceived attempt to stop insurance write off's being re-registered. The Association of British insurers Code of Practice for Motor Salvage is not legislation either, it is a voluntary code of practice that the UK insurance industry, the UK salvage industry, fleet and hire car companies, and the police have all signed up to. the important factor, is that it works - it controls salvage, vehicle documentation, prevents fraud, and ensures that vehicle history is available for consumers to see.
Surely now is the time for the Australian insurers, salvage federations and national government to take a step back and take a fresh look at this issue, review what other countries are doing, take the best of all the codes and regulations, and put their own code of practice into place, a code that can be supported by all involved in the motor salvage industry, a code that will increase the professional standing of the industry, improve consumer protection, prevent fraud, reduce theft and ultimately save money for insurers and consumers.
Don't forget, if insurers are not receiving a lower level of revenue from their motor salvage than 12 months ago then insurance premiums will rise, hitting the consumer even harder in difficult financial times.
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