What is a Code 2 vehicle in South Africa? All you need to know
Various local and international car codes determine the vehicle's roadworthiness, insurability, and ownership, among other factors. What does Code 2 mean in cars? Here, we discuss what a Code 2 vehicle means in South Africa and provide essential information you need if you wish to purchase one.
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Car coding is used to register vehicles by various organisations, including car dealers, banks, registering authorities, and the NaTIS system, which identifies the vehicle's life cycle state. It is also used by private citizens when buying or selling a car.
Knowing what the relevant car codes mean in South Africa also gives buyers a better understanding of what to expect when they buy or sell a vehicle, especially regarding its resale value. Another important factor is knowing what kind of condition the car is in when purchased.
What is a Code 2 vehicle in South Africa?
First, what is a Class 2 vehicle in South Africa? The International Vehicle Identification Desk, also known as IVID, states that a known manufacturer sources a Code 2 vehicle, and the current owner is the second or later owner of the car once it becomes liable for licencing.
The vehicle was also either stolen or deregistered by default due to failure to licence the vehicle, which has been exempt from registration at a stage. The car has not been listed as unfit for use or scrapped.
Can you insure a Code 2 vehicle?
You can insure a Code 2 vehicle as it is considered roadworthy. However, insuring your car may present challenges. Insurance companies may be hesitant to cover a Code 2 car as it may be classified as uneconomic repairable due to various factors, including condition, reliability, and potential future repair fees.
What is a Code 2 write-off?
There are instances where a Code 2 vehicle is not roadworthy. Female Entrepreneur SA reports that Code 2 write-offs do not mean that the car cannot be repaired but are considered uneconomical and that the insurer chooses not to take the risk to fix it.
![Code 2 accident damage meaning Code 2 accident damage meaning](https://cdn.briefly.co.za/images/1120/b89f288716314c9c.jpeg?v=1)
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What does Code 2 mean in auction?
The Code 2 meaning in an auction is the same as its standard definition. Vehicle salvage auctioneers Auction Nation defines a Code 2 car in an auction as a second-hand used vehicle with one or more previous owners or one recovered after being stolen. It may also have been in a car accident but is still roadworthy on South African roads.
What does Code 2 mean in SMD cars?
Salvage Management & Disposals (Pty) Ltd, or SMD, is a South African vehicle management and sales company. Similar to the definitions mentioned above, the Code 2 definition regarding SMD cars is a previously owned or used vehicle that may be in a damaged stage, but not necessarily.
Where can you purchase a Code 2 car?
You can purchase a Code 2 car from individuals online through private sales. Alternatively, you can use online dealerships, including websites such as Salvage4sa, Gumtree South Africa, or through ABC Motors.
How much does a Code 2 car cost?
Purchasing a Code 2 car is cheaper than buying a Code 1 car of the same model. Purchasing a Code 2 car off an auction website is even more affordable than through an individual seller privately. Organisations such as SMD cars may also provide this car at competitive prices.
If you are interested in purchasing a Code 2 car at an auction, the warranty will likely no longer be relevant. Repossessed vehicles may still have a certain amount of coverage, but it is best to confirm with the auction company beforehand.
Other Code meanings
A Code 2 car is commonly found at many car dealerships or through private sales. It may be a reliable vehicle sold at a lower price than a Code 1 car. What do the other codes mean now that you know what to expect regarding a Code 2 car? Here are the different relevant codes in South Africa.
![Code 2 licence Code 2 licence](https://cdn.briefly.co.za/images/1120/d0b8055043eccae5.jpeg?v=1)
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What is a Code 1 vehicle in South Africa?
The same IVID article referenced above defines a Code 1 vehicle as a new car from a known manufacturer. The current owner is the first person ever liable for licencing, or the vehicle has not been liable for licencing yet. It was never reported unfit for use/scrapped and was never stolen. The has also not been deregistered by default from failure to licence and has never been exempt from registration.
What is a Code 3 vehicle in SA?
A Code 3 vehicle is defined as a vehicle that was once reported as unfit for road use or has been scrapped. The owner must declare the vehicle unsuitable for road use and notify the authority of the decision. The title owner must deregister the car three days after the owner chooses to scrap the vehicle.
There is also a Code 4, which means the car has been classified as scrapped and cannot be rebuilt. These cars can never be registered again, and the owner must notify the authority that it has been demolished.
How to check if a car is Code 3
There is a VIN-Lookup website where individuals can source information through the industry’s Vehicle Salvage Database. The database provides the relevant car's status and history. You must include your name, ID number, and vehicle VIN for the information which searches vehicle salvage records.
Knowing what a Code 2 vehicle entails helps the seller determine the car's value. It helps the buyer understand what to expect when purchasing a car online or at a dealership. Code 2 cars are reliable vehicles offered at a reasonable fee.
DISCLAIMER: This article is not sponsored by any third party. It is intended for general informational purposes only and does not address individual circumstances. It is not a substitute for professional advice or help and should not be relied on to make decisions. Any action you take based on the information presented in this article is strictly at your own risk and responsibility!
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Source: Briefly News