I believe it's true that it's cheaper to total it, than repair it.
The insurance companies , then own it, and sell it to a recycle center.
Often an insurance company will total a vehicle if it's damage is reasonably close to the value of it because once a body shop starts repairing it, they could find other damage.
Most insurance companies don't want the salvage and will offer it back to the insured for about 1/3 wholesale value. I had that happen many times over the years I was in the business.