Is Gap Insurance Worth It?

Before anything else, what is gap protection? Gap insurance is what covers the “gap” between your vehicle’s current worth and what you still owe on it, but many St. George drivers find themselves asking if gap insurance is worth it. So we’re here to give you all the information you need to know so you can decide for yourself if it’s right for you. Contact our finance center team with any questions and we’ll be happy to help you.

What is Gap Insurance On A Car & What Does It Cover?

Gap insurance – also called Guaranteed Asset Protection – is insurance coverage that covers the difference (or the gap) between the cash value of your vehicle and the amount you still owe on it. And this does apply to vehicles under both lease and loan.

So no matter if your vehicle was damaged through an environmental disaster at home in St. George or an accident in Washington, Gap insurance will cover the cost between what your insurance will pay and the current cash value of your vehicle. That being said, Gap insurance doesn’t cover bodily injury or property damage, And in the event of a total loss, Gap insurance does cover:

• Theft
• Fire
• Vandalism
• Accident
• Acts of nature (tornado, hurricane, flood, etc.)

Do I Need Gap Insurance?

That’s up to you as it is optional insurance. Here are some reasons why many drivers believe Gap insurance is worth it for all of their North Las Vegas, NV:

• Vehicle depreciation happens the moment you drive off the dealership lot.
• Accidents are unpredictable and can happen at any time. It could be months after you buy your car or the day after.
• Most insurance companies only cover what your vehicle is worth at the time of the accident.
• If your new vehicle is totaled or stolen and you owe more than its current worth, Gap insurance will cover that difference.
• Gap insurance is a relatively low-cost insurance coverage plan and it’s easy to obtain from your local Cedar City insurers.

How Do I Buy Gap Insurance?

There are several ways to get Gap insurance coverage in Washington.

• St. George auto insurance companies may offer Gap insurance for as little as $20 per year.
• Some dealerships or car-loan companies may offer Gap insurance or other vehicle insurance coverage.
• Specialized car insurance companies will offer Gap insurance for a one-time fee.

Learn More About Gap Insurance for Your Car

After you learn more about adding gap insurance to your car’s insurance plan, it’s time to find the right vehicle for you. So browse our new vehicle inventory and be sure to visit our finance center to fill out our application for financing form. Then contact our team at Stephen Wade Cadillac to schedule a test drive for your dream vehicle!