IAA Opens a New Facility on Long Island

18 April 2000

    SCHAUMBURG, Ill., April 18 Insurance Auto Auctions, Inc.
(Nasdaq: IAAI), announced today the opening of a new facility on Long Island.
The new facility expands the Company's current capacity in the New York City
area, significantly improving IAA's ability to service its customers in this
important market.
    "This new facility consolidates two smaller facilities on Long Island and
will improve efficiencies," commented Christopher G. Knowles, Chief Executive
Officer.  "Additionally, the new facility better serves customers with its Run
& Drive(SM) Auction, its FastTrack(R) Appraisal Center and its Internet
Imaging Station."
    "This facility is designed to accommodate a range of services which are
'cutting edge' for our industry," Knowles continued.  "It is a model for our
facility plans going forward and fits well within our expansion plans for
2000."

    About Insurance Auto Auctions, Inc.
    Insurance Auto Auctions, Inc., founded in 1982, a leader in automotive
total loss and specialty salvage services in the United States, provides
insurance companies with cost-effective, turnkey solutions to process and sell
total-loss and recovered-theft vehicles.  This is a $3 billion per year
industry.  The company currently has 52 auction sites across the United
States.
    This press release contains forward-looking information that is subject to
certain risks and uncertainties that could cause actual results to differ
materially from those projected, expressed, or implied by such forward-looking
information.  In some cases, you can identify forward looking statements by
our use of words such as "may, will, should, anticipates, believes, expects,
plans, future, intends, could, estimate, predict, potential or contingent,"
the negative of these terms or other similar expressions.  The company's
actual results could differ materially from those discussed or implied herein.
Factors that could cause or contribute to such differences include, but are
not limited to, those discussed in the company's annual report, Form 10-K for
the fiscal year ended December 31, 1999, or subsequent quarterly reports.
Among these risks are legislative acts, changes in the market value of
salvage, competition, quality and quantity of inventory available from
suppliers, availability of suitable acquisition candidates and dependence on
key insurance company suppliers.
    For additional information regarding Insurance Auto Auctions free of
charge via fax, dial 1-800-PRO-INFO and use the company's stock symbol,
"IAAI."

    Additional information about Insurance Auto Auctions, Inc. is available on
the World Wide Web at http://www.iaai.com