There is an Entire Market is Buying and Selling Damaged Cars.
You must be very careful when you buy a used car. There is an entire market place for damaged used cars. Most of the manufacturers have auctions that sell damages cars. There are also entire auctions dedicated to cars that have been totaled or salvaged by insurance companies.
www.iaai.com Insurance Auto Auction (Insurance companies own this one)
www.ctaa.com Car Tech Auction
www.salvagedirect.com Salvage Direct
www.totalresourceauctions.com Manheim subsidiary
This is the description on the Manheim site
Total Resource Auctions, a Manheim company, is committed to delivering a superior salvage auction experience. With a national footprint including Simulcast, dedicated staff, and a greater variety of late model year, lightly damaged vehicles, Total Resource Auctions gives you the customer what you need and how you want it.