GAP Insurance FAQ

What is GAP insurance?
GAP insurance will cover the difference between what you owe on a vehicle and what an insurance company says it's worth.

Can I buy GAP insurance for my older vehicle?
Probably not. Although a small minority of insures may provide GAP insurance for any vehicle, it is usually only available for new cars being financed.

Is GAP insurance required?
No. Most lending companies who finance cars do require full coverage insurance but not GAP insurance, so the owner would have to pay the depreciation difference if they had a total loss of their vehicle and chose not to add GAP insurance to their policy.

Can I buy GAP insurance from the dealership?
Yes, most dealerships will offer GAP insurance. Before you decide to buy additional insurance, in any situation, they should always make sure they are not already covered by their current insurance policies.