You cannot get comprehensive or collision insurance typically on a salvage title. But best left to insurer to ask.
The $5500 price is for a Tiburon with a normal title. Your I would devalue by at least 50% and also have a mechanic check the structure of the vehicle. The accident could have been minor but an insurance company declared it a loss since the price to do the PROPER repairs exceeded a value thresehold.
The likely case is either the owner or salvage buyer did “enough” work for it to be cosmetically and likely functional. However this vehicle may ruin tires or have serious damage lurking.
If you are ready to drop $5000 on a vehicle like this, buy one with a proper title. Walk really run from this.