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Guaranteed Asset Protection (GAP), or gap insurance, is an optional coverage that drivers can add on to their existing car insurance policy. If you are a driver with a loan on a new vehicle, it ...
Gap insurance is supplemental auto coverage, in addition to comprehensive and collision insurance, that pays off a loan balance in the event your vehicle is totaled or stolen and never found and ...
GAP insurance covers the amount on a loan that is the difference between the amount owed and the amount covered by another insurance policy. [1] Some GAP policies also cover the deductible. [ 3 ] This coverage is marketed for low down payment loans, high interest rate loans and loans with 60 month or longer terms.
Gap insurance vs other coverage options. Many types of car insurance can offer financial protection for the investment you’ve made in your vehicle. However, each coverage type pertains to ...
Guaranteed asset protection insurance (or GAP Insurance) is an insurance coverage offered as a supplement to automobile insurance policies or auto loans. A GAP policy covers the difference between the value of a car (i.e., what the insurance company will typically pay), and what the borrower owes on the loan if the car is totaled or stolen.
Gap insurance is also known as loan or lease gap coverage. As the name implies, it covers the gap between the amount of money your insurance company pays you if your vehicle is stolen or declared ...
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