The bill under discussion, S.F. No. 950, introduces new procedures and requirements for handling vehicle titles in Minnesota, specifically focusing on situations involving salvage vehicles:

1. Insurer Title Acquisition: If an insurance company pays for damages to a vehicle and the original owner does not hand over the vehicle's title within 15 days, the insurer can apply to the Minnesota Commissioner for a new title (could be a regular title, salvage title, or prior salvage title). Before doing this, the insurer must notify both the owner and any lienholders at least 15 days prior to applying for the title. This notification must be sent via certified mail or another service that provides delivery proof. If all conditions are met, the commissioner can issue a new title that eliminates all previous liens on the vehicle.

2. Auction Protocols for Unpaid Claims: When a salvage vehicle from an unpaid insurance claim is involved, the insurance company can instruct the auction company handling the vehicle to return the vehicle to either the owner or lienholder if the insurer decides not to take ownership. This requires specific notices to be sent by the auction company to the vehicle's owner and any lienholders, indicating that the vehicle can be reclaimed within 30 days. If the vehicle is not reclaimed within this period, it's considered abandoned. The auction company can then apply to the state for a new title for the vehicle, free of any liens.

The bill, therefore, sets out a structured process on how insurers and auction companies must handle vehicle titles and salvage vehicles, ensuring clarity and protection of rights for all involved parties, including clear communication channels and timelines.