Gap Insurance

Gap insurance, also known as guaranteed auto protection insurance, will cover the difference between your car’s depreciated value and what you actually owe on your auto loan if your car is stolen or totaled.

Gap insurance is a wise choice in any of these circumstances:

• You are purchasing or leasing a new or slightly used vehicle.
• You are buying a vehicle of significant value.
• You are financing a new or used vehicle without a large down payment, creating a “gap” between your vehicle’s actual value and your loan amount.
• You do not have significant cash savings that would allow you to cover the difference between the amount you owe on your loan and the actual cash value if your car is stolen or totaled.

Industry statistics show that new vehicles lose about 30% of their value in the first year after purchase, and 20% the second year. As a result, car owners can end up being upside down on their loan: The value of the automobile is less than the loan amount. This makes gap insurance a wise investment if your vehicle is damaged or stolen within that time frame.

The cost of gap insurance will vary depending on a number of factors, including the value of your car.  Many insurance carriers can include Gap insurance on your personal automobile policy by endorsement for as little as $20 per year.

Contact on of our agents for a quote and full review of your home, auto, boat, motorcycle and umbrella coverage.  With more than 65 years in business we can provide great service, pricing and convenience with the many fine insurance carriers we represent.