This bill reorganizes provisions related to nonrepairable vehicle certificates into a new section of the New Mexico Statutes Annotated (NMSA) 1978 and allows insurance companies that pay total loss claims to vehicle owners to obtain either a salvage certificate of title or a nonrepairable vehicle certificate. The bill amends Section 66-3-4 NMSA 1978 to clarify the application process for vehicle registration and title issuance, including the requirement for a nonrepairable vehicle certificate when applicable. It also establishes a new Section 66-3-4.1 NMSA 1978, detailing the procedures for obtaining a nonrepairable vehicle certificate after a total loss payment by an insurance company.

Key provisions include the requirement for insurance companies to stamp titles with "NONREPAIRABLE" and submit necessary documentation to the department within twenty days of receiving the title. The bill also allows for electronic signatures on documents used for ownership conveyance and outlines the responsibilities of vehicle owners and insurance companies in the event of a total loss settlement. Additionally, it mandates that if a nonrepairable vehicle is not subject to an insurance settlement, the owner must still obtain a nonrepairable vehicle certificate within twenty days of the loss. The bill aims to streamline the process for handling nonrepairable vehicles and ensure proper documentation is maintained.