Mind the GAP: When to consider guaranteed asset protection for your loan
Even the most cautious driver can get into an accident that causes financial hardship. Guaranteed asset protection (GAP) coverage can provide drivers like you with peace of mind and financial security.
What is guaranteed asset protection (GAP)?
Guaranteed asset protection coverage has one purpose: to protect the investment you made in your vehicle in the worst-case scenario: if your car is declared a total loss or is stolen and your auto insurance settlement does not cover the cost to pay off your loan or lease.
Specifically, it is designed to cover the “gap” between the vehicle’s value and the amount you still owe on your loan or lease.
In these situations, GAP pays for the difference between the value of your car at the time of loss and the remaining loan or lease balance, subject to certain limitations and conditions(superscript)1
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