Committee hears bill to allow electronic title transfers for totaled vehicles; Copart urges modernization

House Bill 249 received its first hearing on May 4, when staff to Representative Lehi Moore described a targeted change to Alaska’s vehicle-title-transfer statute that aims to allow an electronic signature transfer between insurers and auto-auction sites.

Tamayo Harbison, staff to Representative Moore, told the Senate committee that current statute requires insurers to obtain notarization before transferring titles for totaled vehicles, which in practice can force companies to send documents out of state and produce "massive delays" for Alaska auto auctions. Harbison said the proposal is a "relatively straightforward" modernization to allow electronic transfers in this niche situation.

Mark Binder, director of government affairs for Copart, an auto-dealer/auction company, said notarization can turn a settlement that could be completed "in 1 phone call" into a weeks- or months-long process. Binder said roughly 43 states allow similar electronic transfers and asked the committee to update Alaska law to speed settlements and free up auction lot space.

Representative Lehi Moore (District 28) thanked the committee and the bill was set aside for further consideration at a future meeting; no committee vote or fiscal note action occurred during this hearing.

Why it matters: Supporters say the change would speed claim settlements and reduce storage costs and fees for owners and insurers when vehicles are declared total losses.

Next steps: HB 249 was set aside for future consideration; proponents offered to provide further information to the committee as needed.