What is Gap Insurance?

December 27th, 2018 by

Loss Adjuster Inspecting Wrecked Vehicle

What is gap insurance on a car? Gap Insurance, or Guaranteed Asset Protection Insurance, covers the value of the model and the balance still owed on it at the time of trading in no matter if it’s a loan or lease. When you want to apply for coverage, or if you just want to learn more, contact us at Ray Brandt Chrysler Dodge Jeep Ram Fiat where our finance center can help answer your questions.

 

What Else Does Gap Insurance Cover?

What is gap protection? Apart from covering the difference of your vehicle’s value and the amount you owe on it, gap insurance covers a lot more to protect your vehicle. While it doesn’t cover bodily injuries, mechanical repairs, or your deductible, it covers:

  • Theft
  • Fire
  • Vandalism
  • Accidents
  • Nature damages (tornado, hurricane, flood, etc.)

Having this type of coverage comes in handy when regular insurance won’t cover all of these unexpected inconveniences. You never know when you’re going to need it, so it’s better to be prepared with gap insurance.

Damaged Vehicles After Accident

Is Gap Insurance Worth It?

Absolutely! Having gap insurance means protecting your vehicle investment when something out of the ordinary occurs, like the theft of your vehicle. And since your vehicle depreciates the second you drive off the lot, this insurance will cover the Gap between the worth of your vehicle and what your insurance will cover if you get into an accident.


How Can I Get Gap Insurance?

You can get gap insurance through your auto insurer whether that’s through your dealership of choice or a business that deals explicitly with auto coverage. If you decide to get covered, it’ll cost as little as $20 a year plus the one-time fee at the time of purchase.

Couple Signing Contract at Dealership

 

Learn More at Ray Brandt Chrysler Dodge Jeep Ram Fiat

If you’re ready to fully insure your new vehicle, contact our finance department at Ray Brandt Chrysler Dodge Jeep Ram Fiat near Marrero. Our knowledgeable staff is standing by to help answer any questions you may have.

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