How Copart & IAAI Auctions Work: A Complete Guide
Salvage car auctions in the US — who sells, who buys, how vehicles are classified, and how to research before bidding.
What are Copart and IAAI?
Copart and IAAI (Insurance Auto Auctions) — also known as USA Car Bids — are the two largest salvage vehicle auction networks in the United States. Together they process millions of vehicles per year.
Most vehicles that end up at Copart or IAAI are total losses — cars that an insurance company decided cost more to repair than they're worth. The insurer takes the vehicle, pays the owner, and sends it to auction to recover some of the payout.
How the auction process works
Vehicle arrives at the yard
After an insurance claim is settled, the insurer ships the vehicle to a Copart or IAAI yard. Staff photograph it, record the damage, odometer, and condition, and assign a lot number.
Vehicle is listed online
The vehicle goes live on the auction platform with photos, damage description, and an auction date. Registered buyers can view the lot and inspect it in person at the yard.
Bidding opens
Registered buyers bid online. Auctions run on a timed model — the highest bid at close wins. Many vehicles have a reserve or minimum bid set by the seller.
Winner pays and arranges pickup
The winning bidder pays through the auction platform (including fees and storage). They then arrange transportation from the yard. The auction house processes the title.
Who can buy at Copart and IAAI?
Both auctions are primarily dealer networks. In most US states, direct bidding requires a dealer, dismantler, or salvage license. However:
- Licensed dealers and rebuilders — can bid directly in any state
- Dismantlers and recyclers — licensed in their state, bid for parts
- Members of the public — can buy through licensed broker services (varies by state)
- Exporters — frequently buy for overseas markets where salvage title restrictions don't apply
How to research a vehicle before bidding
Before placing a bid at Copart or IAAI, price research is critical. The same make/model with different damage types or years can vary dramatically in value. Use VestiCar to benchmark:
- Look up the vehicle's VIN on VestiCar to see its exact auction record — damage, odometer, ACV, and sale price
- Browse average prices by damage type to understand the typical discount for that damage category
- Check the make/model page on VestiCar for historical price trends
- Compare Copart vs IAAI prices for the same model using the source filter
All of this is free on VestiCar — no account, no signup, no credit card. VestiCar aggregates sold records from both Copart and IAAI daily.
What is USA Car Bids?
USA Car Bids was the US consumer-facing brand for IAAI (Insurance Auto Auctions). The underlying auction network is the same company — IAAI operates both. VestiCar tracks sold records from IAAI / USA Car Bids.
What does salvage title mean?
A salvage title means the vehicle was declared a total loss by an insurance company. The vehicle can often be repaired and re-titled as "rebuilt" but the salvage history stays with the VIN permanently.
Are Copart and IAAI the only salvage auctions in the US?
Copart and IAAI are the two largest, handling the vast majority of US insurance total losses. There are smaller regional salvage auctions, but Copart and IAAI dominate the market.
How do I find out what a car sold for at auction?
Search the VIN for free at vesticar.com. VestiCar shows the exact final sale price, damage type, odometer, and auction location for every Copart and IAAI vehicle in its database.