Under the current law, any insurer which purchases a vehicle that is currently titled in Missouri through the claims adjustment process for which the insurer is unable to obtain a negotiable title, may make application to the Department of Revenue for a salvage certificate of title or junking certificate. This act adds additional consumer protection language to the current law by providing that if the Director of Revenue identifies any additional owner or lienholder who has not been notified by the insurer, the director must inform the insurer of such additional owner or lienholder and the insurer shall notify the additional owner or lienholder of the insurer's intent to obtain title as prescribed by law (Section 301.193). This provision is also contained in SB 148 (2013).

Under the terms of this act, an insurer that purchases a motor vehicle through the claims adjustment process which is subject to a lien may apply for a salvage title or junking certificate without obtaining a lien release. The insurer may request a letter of guarantee from the lienholder containing a description of the motor vehicle, including the vehicle identification number, and indicating the amount payable by the insurer to the lienholder in order to release the lien. Within 10 days of receipt of the letter of guarantee, the insurer may remit payment to the lienholder. If the payment satisfies the lien, the lienholder shall provide proof of satisfaction to the insurer. The insurer may then submit copies of all letters of guarantee, proof of payment and title for the vehicle or trailer to the Department of Revenue in lieu of a lien release for processing of the application (Section 301.642).

Under current law, a public school or college shall be considered the temporary owner of a vehicle acquired from a new motor vehicle franchised dealer which is used as a courtesy vehicle or driving training vehicle. This act allows dealers to choose whether to give school districts new or used vehicles for universities or high school drivers education. The act allows for title or manufacturer's statement of origin for proof of ownership in the transaction (Section 301.260).

STEPHEN WITTE