insurance salvage total loss estimate (Penn: salvaged, legal, title)

[gridlock101]

[SIZE=2]For any legal eagles who may be lurking about and are familiar with Pennsylvania insurance law.
Based on what I will refer to as a "bloated estimate" which wrongfully enables the at fault parties insurance company to "total" the moped I have a question.
Does that insurance company have the legal right to demand either:
1. The moped? OR 2. a salvage title for the moped as a prerequisent before paying the moped owners damages?
(the text below is verbatim from the insurance companies claims adjuster.)
If you plan on turning over the bike I can give you $1100 and I would arrange for someone to come pick up the bike, you would need to sign and send the title. The other option is you may keep the bike. I have to reduce the settlement slightly because you are retaining the salvage on the bike and can give you $1000. According to PA law, If you choose to keep the bike I will need you to obtain a salvage title from the department of motor vehicles because it was a total loss. I would need you to forward a copy of the salvage title to me so I can issue payment.

thanks
thegrid

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[waiting4wyoming]

Yes, that is totally legal in PA. The reason you get less for keeping the moped is that they would have been able to sell your moped to the salvage yard for that extra $100. Also, the damage , if it comes close to 80% of the total repair costs, would deem it a total loss. It stinks, but it is legal and the insurance companies are REQUIRED to make you get a salvaged title if you want thed moped back. A few insurance companies got burned a few years back for NOT requiring a salvaged title when allowing the consumer to keep the vehicle. Just so you know-most companies will not insure a vehicle if they know the title is a salvage title. Hope this helped.