What does it typically indicate if a property is classified as salvage?

Classifying property as salvage typically indicates that the property cannot feasibly be repaired. When an item or structure is labeled as salvage, it suggests that the damage sustained is so extensive that the cost and effort required to repair it would significantly outweigh its value if fully restored. This status often arises in the context of insurance claims, where insurers assess the condition of damaged property and determine whether it is economically viable to repair it. Such a classification usually leads to the property being sold for parts or scrap rather than being restored, emphasizing its diminished value and the impracticality of restoration.