(1)
- (a) Subject to the limitations in paragraph (c) of this subsection, any person or entity having a motor vehicle or trailer that has been destroyed, to the extent that its repair cannot be obtained through usual commercial repair services, at a cost less than its retail value as prescribed by a nationally accepted used car valuation guide or tool identified under KRS 304.20-110, or from which two
- (2) or more parts which typically bear a vehicle identification number placed thereon by the manufacturer have been removed, or which he or she removes, shall surrender the certificate of title for the vehicle for which he or she has a certificate of title in his, or her, or another name, to the county clerk of the county in which the vehicle is located. The clerk shall immediately forward the surrendered title to Frankfort with instructions for canceling the title.
- (b) Any person or entity engaged in the sale of used motor vehicle or trailer parts, or the recycling or salvage of them, shall surrender the certificate of title for any vehicle in his or her possession, and for which he or she has a certificate of title, whether in his or her or another name, if the vehicle is destroyed within the meaning of paragraph (a) of this subsection, or from which two (2) or more parts which typically bear a vehicle identification number placed thereon by a manufacturer have been removed, or which he or she removes, to the county clerk of the county in which the vehicle is located. The clerk shall immediately forward the surrendered title to Frankfort with instructions for canceling the title.
- (c) 1. 2. The calculation of the cost of repair referenced in paragraph (a) of this subsection shall only include labor and parts for actual damage to the suspension, motor, transmission, frame or unibody, and designated structural components, and shall not include cosmetic damages. Subparagraph 1. of this paragraph shall not alter the calculation of the cost of repair for any existing obligation of an insurer to pay for the cost of parts and labor for cosmetic repairs to a motor vehicle or trailer that affects the vehicle's appearance in accordance with KRS 186A.520.
- (d) The surrender of the certificate of title pursuant to this section shall be made within ten (10) working days, next succeeding the day when the vehicle was received, destroyed, or next succeeding the day during which a second part was removed.
- (2) Each county clerk shall receive without charge, a certificate surrendered in accordance with this section, cancel it, and remit it to the Department of Vehicle Regulation, and take any other action related to it, as required by the Department of Vehicle Regulation. If the calculation of the cost of repair in subsection (1) of this section exempts a vehicle from having the certificate of title surrendered, the title shall be branded as a salvage title in accordance with KRS 186A.520.
- (3)
Effective: July 15, 2026
History: Amended 2026 Ky. Acts ch. 100, sec. 1, effective July 15, 2026. -- Amended 2025 Ky. Acts ch. 95, sec. 13, effective March 27, 2025. -- Amended 2005 Ky. Acts ch. 85, sec. 615, effective June 20, 2005. -- Created 1982 Ky. Acts ch. 164, sec. 56, effective July 15, 1982.