Buying a Salvaged Bike

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Buying a Salvaged Bike

Hi,

After having my bike written off and the insurance company finally paying out I think I’m going to leave my riding for the track.

I’m thinking of buying a bike from a salvage yard in order to get myself a cheap bike (hopefully a newish 1000cc), does anyone have any advice in regard to buying from salvage companies, such as how much they will take on their bike compared to their list price as a lot of them seem to be over priced, or if it is even worth doing this?

Also I have seen Cheshire Motorcycles and RS Motorcycles in Halifax seem to be two of the biggest companies are there and other big ones?

Any help would be much appreciated.

Cheers

Will

They should only tell you a Cat D or a Cat C bike, as Cat A & B must be destroyed and are illegal to sell (rrespective of whether you want to only use them on track or not).Thing is that salvaged bikes are not overpriced, they make very good money, as a lot of people buy them for exactly the same reason as you.To give you an idea, I had an 08 Blade with 15 miles on the clock that some muppet had crashed. All the fairings were wrecked, but was structurally sound. it went for £5800, which is only £3000 less than listwhen brand new and undamaged and there was about £5000 worth of fairing, lights etc damage.As the insurance company lok to recoup some of the outlay by seling on the salvage they will get as much for this as possible. A few years back I used to reckon on getting 30% of the pre-accident value back for a Cat C, now I expect 65% plus.

Thanks for the input Loon. Am I right in saying that i could buy a cat B bike for parts and replace the frame with an undamage frame and put it back on the road (obviously after the DVLA check)?

Theoretically yes, but it's extremely unlikely that a Cat B would have enough parts in serviceable condition to be able to build one onto just a frame. If it did then it wouldn't be a Cat B.

cat a gets mashed.cat b must not be returned to the road(plenty of people out there track only cat b)cat b you wont have a reg and you will have to take it to track on a trailer.cat c and d can be put back on the road usually only written off due to expensive dealer repair or recovered after original owner has been payed out after theft. main thing is dont buy from a breaker.go to salvage auctions and find what you need.the breaker might not bid on a bike because theres no money in it for him,it could be a cheap track bike for you though.

It's illegal to sell a Cat B, irrespective of the urban myths that surround the "not allowed back on the road".The true definition of a Cat B is that the bike may be broken for reuseable parts, but the bike itself must be destroyed.Anyone who says otherwise is talking bollocks.

R1 loon wrote (see)

It's illegal to sell a Cat B, irrespective of the urban myths that surround the "not allowed back on the road".The true definition of a Cat B is that the bike may be broken for reuseable parts, but the bike itself must be destroyed.Anyone who says otherwise is talking bollocks.

Look loon, even though you're an Insurance expert what have I told you about arguing with people who've not got a clue what they're talking about.

Oh yeah, I forgot.I had a guy in fixing my Sky today. I spent all day telling him how he was doing it wrong, because I know better

Anyone know of any motorcycle salavge auctiuons? I thought most salvage companies had a contract to buy the bikes staright from the insurance company?

My understanding is that the write off category thing is a voluntary scheme set up by the insurance companies, its not law which is why you see cat B bikes as trackday bikes.

R1 loon wrote (see)

They should only sell you a Cat D or a Cat C bike, as Cat A & B must be destroyed and are illegal to sell (irrespective of whether you want to only use them on track or not).

ST4 wrote (see)

My understanding is that the write off category thing is a voluntary scheme set up by the insurance companies, its not law which is why you see cat B bikes as trackday bikes.

As Loon says it's illegal not voluntary.

Ive bought 2 bikes from RS @ halifax, theyre nice enough to deal with, but dont tell them your a novice cos they will tell you a banana is straight!I also bought one from auction (universal salvage) not sure what they trade as now but you dont tend to get many 'bargains'. Ive built 4-5 trackbikes from salvage, easy enough and ebay is a godsend. There is a few bikes to be careful of....ie... gsxr1000 (snap in half frame model) If its not had the frame brace recall done and its had a sign of a frontal i'd be very cautious, earlier blades tend to snap in jigs when being pulled straight...etc My one bit of advise is that the first thing you do is get the bikes alignment checked if it shows anymore sign than slide damage. Also you would be really suprised what they can fix....ie wheels, forks, discs..etc can save alot of money! Have a very good contact if you need!

CuckingFunt wrote (see

)

Ive bought 2 bikes from RS @ halifax, theyre nice enough to deal with, but dont tell them your a novice cos they will tell you a banana is straight!I also bought one from auction (universal salvage) not sure what they trade as now but you dont tend to get many 'bargains'. Ive built 4-5 trackbikes from salvage, easy enough and ebay is a godsend. There is a few bikes to be careful of....ie... gsxr1000 (snap in half frame model) If its not had the frame brace recall done and its had a sign of a frontal i'd be very cautious, earlier blades tend to snap in jigs when being pulled straight...etc My one bit of advise is that the first thing you do is get the bikes alignment checked if it shows anymore sign than slide damage. Also you would be really suprised what they can fix....ie wheels, forks, discs..etc can save alot of money! Have a very good contact if you need!

Cheers for the pointers, I've had another look today and I think Universal are now called Copart. Think I'm just going to keep my eye out for something that can be repaired without too much trouble. If I do find anything I may give you shout for your contact.Cheers

Okay, lets put it another way.  My bike is only insured third party.  I throw it down the road bending the frame in the process.  Becasue its only insured for third party risks i can't claim so the insurance company never get to find out about the damage.  The bike is in effect Cat B but is not recorded as such.  I decided to scrap it so i return the log book to the DVLA and sell the remains to someone as a "Cat B bike,no log book, ideal for trackday use".

sweepdoggydog wrote (see)

Cheers for the pointers, I've had another look today and I think Universal are now called Copart. Think I'm just going to keep my eye out for something that can be repaired without too much trouble. If I do find anything I may give you shout for your contact.Cheers

UVS are now known as Copart and that's who I use for all the cars, bikes, vans etc that my guys dispose of every year. The Blade was sold through them and I expect them t get me a good return on salvage; bikes produce the highest percentage against pre-accident value.They will not under any circumstances sell you a Cat B bike unless you are fully approved to dispose of and break bikes and will require proof that this has been done too.

ST4 wrote (see)

Okay, lets put it another way.  My bike is only insured third party.  I throw it down the road bending the frame in the process.  Becasue its only insured for third party risks i can't claim so the insurance company never get to find out about the damage.  The bike is in effect Cat B but is not recorded as such.  I decided to scrap it so i return the log book to the DVLA and sell the remains to someone as a "Cat B bike,no log book, ideal for trackday use".

In that case your bike will not be registered as any category and you could fix it and return it to the road. As well as caveat emptor applying, you will also be liable for any injury to the purchaser unless you can prove that you made the fact that it had an accident very clear to the purchaser.Nobody would declare a bike as a Cat B though if they didn't have to, as you're unlikely to have the necessary skill / knowledge to make a fair assessment.Bikes sold as Cat B's are illegal sales and the vendor could be prosecuted - VOSA do like doing this too.

Mr Loon do know if Copart auction all of thier bikes or can you buy them prior to the auction?  

All bikes go to auction, as Copart are contracted to get the best possible price. You can put in a bid before and ask if it will be accepted, but chances are that it won;t at this time of year as all the budding TD / club racers are out looking for bargains, either for a new bike or  spares.Don't be fooled by the prices you see of £150 etc on the website, they are token figures and mean nothing - have a look at what bikes go for at aucton and how quickly the prices move up to give you a feel for what you're dealing with.

Done a bit more research!http://www.motor.org.uk/magazine/articles/write-offs-back-on-the-road-459.htmlgo about halfway down the page "The Association of British Insurers (ABI) provides a voluntary code of practice for dealing with salvage which insurers are expected to sign up to. Rental companies and self-insured fleets do not have to abide by it. The code stipulates that all salvage must be categorised before disposal." http://www.financial-ombudsman.org.uk/publications/technical_notes/motor-valuation.htmlscroll down towards the bottom and it says "Written-off" vehicles are categorised – according to the severity of the damage – under a voluntary code agreed between the Association of British Insurers (ABI) and salvage dealers "

If you read the ABI Code of Conduct it states "This Code of Pratice must be fully and promptly complied within all circumstances by insurers and salvage agents". The definition of Cat B states "Break for Spare Parts if economically viable". It does not say "Unless it's a bike in which case it's OK to sell it on for track use only" This is a legally binding contract that ALL insurers are party to, whilst the ABI Code of Conduct is technically voluntary all insurers must sign up to it to receive approval to trade by the FSA. If they trade without FSA approval, then it is a criminal offence.So you're tecnically correct, but the other rules make your technicality null and void.Anything else?

Another quick question Mr Loon, do insurance companies sell the bike to the salvage companies and then the salvage compaines make what ever profit they can when they sell it on. Or do the salvage companies just get paid to put it into the auction and tha insurance company take whatever it sells for?Also, surley if the insurance company want 65% of the preaccident value no one would bother buying a salvages bike as once they have spent any money repairing the bike  they could have bought a new one for the money?cheers

It's not quite as straightforward as that.The insurance company authorises the salvage agent to dispose of the bike and the salvage agent usually guarantees as minimum price that will be achieved at auction. The insurance company will always get that figure as a minimum (c30% on a Cat C for example). However, if more than that is earned then they split the extra as per the contractual agrrements in place. I want a minimum of 30% on Cat Cs, but sem to be getting nearer 65%, so I get my 30% and then we share the difference. There is a risk ofor the salvage agent where ther are no buyers, as they still guarantee me the 30%.I don;t set the prices that people are prepared to pay, but if they want to pay 65% plus, then I'm happy and so are the rest of you, as the more we recoup, the less insurance premiums go up.

Scrap my bike?

It is possible to sell legaly your bike or sell a damaged bike cat B- first, ask your company if has a "BREAKERS" license. If you are interested in sell your bike or some spare parts, you can check <a href="http://www.cashforbike.co.uk">sell my damaged bike</a> company.

Sorry, i mean http://www
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