Woooow woow, I don't know which California law you're talking about ???.

Plenty of friend of mine are working in bodyshop & auto industry, and none could dig out any law that you're talking about. Nowaday, airbag deployment is a normal thing when accident happens, as most new car now have both front and side airbag, so regardless of how the car is hit, some airbag would pop.

Salvage title is considered by insurance company ONLY where the cost of repair & recorver the car is in range of 65-70% or more of the car value.

Here's the law in CA in regard to salvage title, can you point out there "air bag" place ??

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What is a Salvage Vehicle?

“Salvage vehicle” means a motor vehicle that at any time has been declared a total loss vehicle, flood-damaged vehicle, non-repairable vehicle or had “salvage” or a similar word or designation placed on any title issued for the vehicle.

* Total Loss - A vehicle that has been damaged to the extent that the estimated cost of repair, not including the cost associated with painting any part of the vehicle, would exceed 65 percent of the fair market value of the vehicle immediately before the damage was incurred. Vehicles with less than 65 percent damage are not considered salvage vehicles.

* Flood Damaged - A vehicle that has been submerged in water to a point that the level of the water is higher than the door sill of the vehicle and the water has entered the passenger, trunk or engine compartment of the vehicle and has come into contact with the electrical system of the vehicle; or a vehicle that is part of a total loss settlement resulting from water damage.

* Non-Repairable - A vehicle, other than an abandoned vehicle, that has value only as a source of parts and scrap metal, or has been designated by its owner for dismantling, or has been stripped of all body panels, doors, lights, etc., or has been burned or destroyed beyond a restorable condition.

Salvage vehicles in California are issued an orange-colored Salvage Title. They may not be registered, operated on any public street or sold to or between private individuals. Once a salvage vehicle has been repaired, it becomes a rebuilt vehicle and may be registered and/or sold if the proper procedures below have been followed.

Older Vehicles
Vehicles 10 model years old or older are not considered salvage vehicles if the only repairs needed are a limited number of items. Specifically, the hood, the trunk lid, and/or up to two of the following: doors, grill assembly, bumper assembly, headlight assembly and taillight assembly.

If the vehicle requires more repairs than this, the 65 percent damage rule applies. For example, the 65 percent rule would apply if the grill, front bumper and one headlight assembly were replaced. If only the hood, the grill and the bumper were replaced, the 65 percent rule would not apply and the vehicle would not be considered a salvage vehicle.

Rebuilt Vehicles (Non-Salvage)
Vehicles which have had certain repairs must be titled as Rebuilt even if they do not meet the definition of a salvage vehicle. See Non-Salvage Rebuilt Vehicles.

 

I only know what DMV reported to me in California. Also, what MBZ in San Diego and about every other dealer with cars I bought have reported that. Also, I spoke to several insurance agents and they reported that if a car suffers a certain % of damage (they set the threshold) they will write it off (issue a salvage title). DMV reported to me that when a car is in an accident and damages exceed 1500 bucks it has to be reported to DMV which stays on the vehicle's record. And finally, my sister has a Tiburon and on her forum site a few people in California had thier airbags deploy (very little damage to front end) and Hyundai of North American will not honor their warranties.
So I may not know of any laws but I do have lots of experience with this matter.