House
File
777
-
Enrolled
House
File
777
AN
ACT
RELATING
TO
APPLICATIONS
FOR
A
MOTOR
VEHICLE
SALVAGE
CERTIFICATE
OF
TITLE
BY
AN
INSURER
WITHOUT
SURRENDERING
THE
CERTIFICATE
OF
TITLE
OR
MANUFACTURER’S
OR
IMPORTER’S
STATEMENT
OF
ORIGIN,
MAKING
PENALTIES
APPLICABLE,
AND
INCLUDING
EFFECTIVE
DATE
PROVISIONS.
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
Section
1.
Section
321.52,
subsection
4,
paragraph
a,
Code
2026,
is
amended
to
read
as
follows:
a.
(1)
Notwithstanding
any
other
provision
of
law
to
the
contrary,
an
insurer
may
apply
for
and
be
issued
a
salvage
certificate
of
title
for
a
motor
vehicle
without
surrendering
the
certificate
of
title
or
manufacturer’s
or
importer’s
statement
of
origin
properly
assigned
if
ownership
of
the
vehicle
was
transferred,
or
will
transfer,
to
the
insurer
pursuant
to
a
settlement
with
the
previous
owner
of
the
vehicle
arising
from
circumstances
involving
damage
to
the
vehicle,
and
at
least
thirty
days
have
expired
since
the
effective
date
of
such
settlement.
(2)
To
obtain
a
salvage
certificate
of
title
pursuant
to
this
paragraph
“a”
,
the
insurer
shall
must
submit
an
application
for
a
salvage
certificate
of
title
to
any
county
treasurer.
(a)
The
application
shall
must
be
accompanied
by
an
affidavit
from
the
insurer
in
which
the
insurer
certifies
it
has
made
at
least
two
written
attempts
to
obtain
a
properly
assigned
certificate
of
title
or
manufacturer’s
or
importer’s
House
File
777,
p.
2
statement
of
origin
for
the
vehicle
by
contacting
the
previous
owner
of
the
vehicle
and
all
lienholders
of
record
by
certified
mail
or
a
similar
service
that
provides
proof
of
service
using
a
return
receipt,
and
has
been
unable
to
obtain
the
title
or
statement
of
origin.
The
failure
of
a
previous
owner
or
lienholder
to
provide
a
properly
assigned
certificate
of
title
or
manufacturer’s
or
importer’s
statement
of
origin
shall
be
deemed
to
be
a
waiver
by
the
previous
owner
or
lienholder
of
all
rights,
title,
claim,
and
interest
in
the
vehicle.
(b)
Notwithstanding
chapter
9B,
section
633B.105,
or
any
other
provision
to
the
contrary,
a
supporting
document
submitted
with
the
application,
including
but
not
limited
to
a
power
of
attorney
described
in
section
321.49,
a
replacement
certificate
of
title
application
for
the
vehicle
owner
described
in
section
321.42,
or
an
odometer
statement
required
under
section
321.71
if
permitted
under
49
C.F.R.
pt.
580,
may
be
signed
and
affirmed
under
penalty
of
perjury
in
lieu
of
a
notarized
signature
and,
in
accordance
with
chapter
554D,
the
signature
may
be
electronic.
The
affirmation
under
penalty
of
perjury
is
limited
to
the
signature
identifying
the
signer
as
the
owner
or
the
signer’s
representation
of
the
authority
of
the
named
agent
to
sign
on
the
owner’s
behalf.
(c)
The
application
shall
must
also
be
accompanied
by
the
application
fee
required
under
paragraph
“b”
,
and
proof
of
payment
of
the
total
amount
of
the
settlement
by
the
insurer
to
the
previous
owner
of
the
vehicle.
Upon
receiving
an
application
that
complies
with
this
paragraph
“a”
,
the
county
treasurer
shall
issue
a
salvage
certificate
of
title
to
the
insurer
which
shall
be
is
free
and
clear
of
all
liens
and
claims
of
ownership
and
shall
must
bear
the
word
“SALVAGE”
stamped
or
printed
on
the
face
of
the
title
in
a
manner
prescribed
by
the
department.
(d)
The
department
and
a
county
treasurer
may
rely
on
representations
made
in
a
supporting
document
submitted
under
subparagraph
division
(b).
The
department
or
county
treasurer
is
not
liable
to
any
person
for
such
reliance
if
the
department
or
county
treasurer,
as
applicable,
took
reasonable
steps
to
verify
the
validity
of
the
supporting
document
prior
to
issuing
the
salvage
certificate
of
title
and
had
no
knowledge
that
a
House
File
777,
p.
3
representation
in
the
document
was
incorrect
at
the
time
the
title
was
issued.
Sec.
2.
EFFECTIVE
DATE.
This
Act
takes
effect
January
1,
2027.
______________________________
PAT
GRASSLEY
Speaker
of
the
House
______________________________
AMY
SINCLAIR
President
of
the
Senate
I
hereby
certify
that
this
bill
originated
in
the
House
and
is
known
as
House
File
777,
Ninety-first
General
Assembly.
______________________________
MEGHAN
NELSON
Chief
Clerk
of
the
House
Approved
_______________,
2026
______________________________
KIM
REYNOLDS
Governor