Laws vary from state to state, but I know for a fact that this is true in my state as the DMV inspector has been in my shop on several occasions.
The next time he comes around I will definitely ask him about the Dynacorn replacement shells and how NC is handling them.
VA too. Asked about this and was told that
a) I had to have a clear title showing that I was the owner of the original vehicle
b) I had to show that the original body was propery destroyed
c) I had to have a VA LEO inspect the "repaired" body to verify VIN and placement