Insurance Auto Auctions Announces Greenfield Facility in East Windsor, Connecticut

    SCHAUMBURG, Ill., Sept. 6 Insurance Auto Auctions, Inc.
, a leading provider of automotive salvage and claims processing
services in the United States, today announced the opening of a new greenfield
facility in East Windsor, Connecticut, serving Hartford and the entire state
of Connecticut.  The new location enables IAA to offer customers additional
regional coverage in neighboring states as well.  The new "Hartford" facility
will strengthen IAA's geographic coverage in the region where existing
facilities currently operate in Massachusetts, New York, New Jersey, and
Pennsylvania.
    "Expansion into Connecticut will offer our vehicle providers improved
regional coverage and a more consistent service," commented Tom O'Brien, Chief
Executive Officer.  "With the addition of the Hartford branch, our customers
have the ability to consolidate their total-loss vehicles with a single
salvage vendor within the region. Going forward, we will continue to seek
other growth opportunities that complement our existing operations."

    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.  The Company currently has 59 sites
across the United States.
    This press release contains forward-looking information that is subject to
certain risks, trends 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,
targeting, 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 on Form 10-K for the fiscal year ended December 31,
2000 or subsequent quarterly reports.  Among these risks are: conducting
business pursuant to the purchase agreement method of sale; fluctuations in
the actual cash value of salvage vehicles; the ability to successfully
renegotiate existing purchase agreement contracts; the quality and quantity of
inventory available from suppliers; the ability to pass through increased
towing costs; that vehicle processing time will improve; that the Company's
towing business will reach forecasted levels of profitability; legislative or
regulatory acts, changes in the market value of salvage; competition; the
availability of suitable acquisition candidates; the ability to bring new
facilities to expected earnings targets and the dependence on key insurance
company suppliers; and the level of energy and labor costs.
    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

Click here