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Insurance Auto Auctions Announces Changes in Executive Staff

31 August 2000

Insurance Auto Auctions Announces Changes in Executive Staff

    SCHAUMBURG, Ill., Aug. 31 Insurance Auto Auctions, Inc.
, a leading provider of automotive salvage and claims processing
services in the United States, today announced two changes in its executive
staff.  Mr. Don Hermanek has joined the Company as Senior Vice President of
Sales and Marketing, while Ms. Cynthia Schnier has been promoted to Vice
President - Information Technology, CIO.

    Mr. Don Hermanek, Senior Vice President of Sales and Marketing
    Hermanek brings to the position a wide array of skills and experience in
sales and marketing and in the insurance claims industry where the majority of
IAA's customers compete.  He will have responsibility for the sales and
marketing functions, including the corporate accounts group, and the specialty
salvage business.
    "Although pleased with the progress we have made in the sales and
marketing areas, we felt that as the company continued to expand its product
and service offerings, the sales and marketing area of our business needed
strengthening," commented Christopher Knowles, CEO.  "Don's knowledge of the
industry, his contacts and skills in managing sales and marketing
organizations and emerging businesses will dramatically move IAA forward as it
continues to meet the challenges of the future.  We are very excited about his
appointment."
    Don has previously had senior level positions in sales and marketing with
CSC (an insurance claims services company), Safelite Glass and ADP Claims
Solutions Group.  He is well known within the insurance claims community and
brings to IAA a strong background in sales and marketing.

    Ms. Cynthia Schnier, Vice President of Information Services, CIO
    Ms. Schnier has assumed the position of Vice President of Information
Services, CIO.  Schnier had been Executive Director of Electronic Products and
had overseen the development and introduction of the company's successful
Internet auction.  She replaces Ms. Christine Atkins who has left the Company
to pursue other opportunities.
    "Cindy brings to her new position significant experience in information
technology and possesses strong leadership skills as demonstrated by the
successful implementation of IAA's Internet online auction," commented
Christopher Knowles, CEO.  "We expect that her skills will help IAA accelerate
both its e-business activities and the strength of its internal systems."
    Schnier came to IAA from Delphi Information Systems, Inc., a Rolling
Meadows-based software and Internet solutions supplier to the property and
casualty insurance industry where she served as Vice President of Product
Management.  Prior to joining Delphi, she was Vice President at CCC
Information Services, Inc. with responsibility for product definition,
strategy and planning for CCC's suite of claims management software
applications which included automated collision estimating, digital imaging,
recycled parts valuation and management reports which were provided to
insurance companies and their service providers.   She has also held positions
in software engineering, quality assurance, customer training and consulting.

    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 56 auction
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, 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 and the
Company's quarterly report on Form 10Q for the quarter ended June 30, 2000.
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.
    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 .