Gap Insurance Can Help In a Total Loss Scenario

When you buy a car, the value of it decreases the minute you drive it off the lot. The price of your loan or lease is no longer what your car is worth.

While most standard insurance policies cover will reimburse you for the market value of your car, they won't cover the money you owe on your loan. In other words, in the case of a total loss car accident, you could wind up having to pay off a car that you can't even drive anymore.

"negative equity" got me like 🙀 ☠️ #adulting

— (@adulting101how) September 25, 2017

To avoid that, GAP insurance is good to have. It covers the full price of your outstanding loan, giving you the peace mind to know that you'll walk away from accidents, vandalism, and theft without the shadow of an unwanted debt hanging over you.

If you want to know more, reach out to the experts at FX Caprara Ford in Pulaski, NY. Our finance center is experienced and knowledgeable. We can tell you everything you need to know about GAP insurance and the other coverage options available to you.

Categories: Finance
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