Colorado law requires vehicle titles to be branded as “salvage” when a damaged vehicle is less than six years old and the cost of repairing it to a roadworthy condition exceeds the vehicle’s retail fair value. A “salvage” designation on a vehicle’s title alerts consumers to any significant damage history with that vehicle.

In Colorado when a vehicle is damaged beyond being safe on the highway without extensive repair, it will be deemed a salvaged vehicle, and the title will reflect that. However, in some cases a vehicle can be repaired and bought back to life even though it will always carry the "rebuilt salvage" designation. Rebuilt from Salvage on a title indicates the motor vehicle is now roadworthy.

Due to the past history of a motor vehicle with a salvage or rebuilt title most insurance companies will only provide liability insurance on it. To find out if there are any Colorado insurance carriers that will allow you to obtain full coverage (collision and comprehensive) on this type of vehicle, try checking with the Colorado Division of Insurance, the insurance regulator for CO.