There shouldn't be any problem with that, unless your vehicle is in fact recovered before you do that transfer. In that occurs, you should continue, but make sure the police cancel the stolen vehicle alarm first. Then, send your title to the Title Bureau with a letter explaining your car has been recovered. You'll get a regular title then.
And what about the vehicle isn't recovered?
In that case scenario, you won't have any more choice that transfer ownership of your car to your insurance company using your title certificate.
um, i hope i can recover it then. Ok, other question, lets say i recovered the vehicle, but it was damaged or even worse, it got totaled. What is left to me to do then?