Insurance Journal, June 24, 2021
The Texas Department of Insurance has warned flood-damage vehicles may be hitting the state’s resale market following the heavy rains and flooding that swamped Louisiana and Southeast Texas in May.
TDI noted that scam artists will buy salvage cars at auction and resell them to unsuspecting buyers. Once an engine gets waterlogged, it’s almost impossible to ever make it right.
“A used car shortage is driving prices up, so it’s more important than ever to be informed and know the signs of water damage,” Doug Slape, TDI’s chief deputy commissioner, said in a media release.