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Anyone have GAP insurance? If so...where did you get it?
- Thread starter Garlan Garner
- Start date
You’ll probably have to attempt a complete explanation of what GAP insurance is and how it relates to a PCP
We don’t have either in NZ, not sure about the USA. Our vehicle finance is 9.95%...!-Alex
notAnExpert
Member
Have you considered New Car Replacement Insurance instead of Gap? I have Travelers for Home+Auto+Umbrella. If I remember right, they do New Car replacement for the first 5 years of the car. I don’t recollect it being too expensive.
Financed through Allianz and it was included. For the non-US folks, Gap insurance pays off if your car is totaled in a crash and normal insurance pays less than you owe on the loan. (My understanding! )
)For the non-US folks, Gap insurance pays off if your car is totaled in a crash and normal insurance pays less than you owe on the loan. (My understanding!
Oh I see... I thought it was something to do with the difference in the car’s value at the end of a lease vs the expected value around which a balloon payment was calculated. I appreciate your explanation; it’s simpler than I thought. Cheers!
-Alex
insurance for panel gaps? come on now!
Yes, as a $500 option with my credit union loan.
Notable value add in this particular case is it includes unlimited coverage of any insurance deductibles up to $1000 for any cars registered to me -- not just the Tesla (so I can keep my insurance deductibles for collision and comprehensive at $1000 without any out of pocket expense if I need to make a claim).
Notable value add in this particular case is it includes unlimited coverage of any insurance deductibles up to $1000 for any cars registered to me -- not just the Tesla (so I can keep my insurance deductibles for collision and comprehensive at $1000 without any out of pocket expense if I need to make a claim).
Sorry, we reserve the right to refuse insurance to Tesla owners.
You’d probably need a 1-2K annual premium locked in for five years.
You’d also have adverse selection problems with Model X owners consuming all the coverage.
Yes. Almost any lender will offer it as part of the loan and almost every insurance policy offers it.
I opted to do it as part of my insurance. It costs $18 every 6 months for me.
chronopc
Active Member
Dmagyar
Member
gap insurance is a joke
if you have a small down payment, have decent credit and take a reasonable loan term you would never need it
if the car is ever totaled by insurance company that # is negotiable. gap insurance is only covering any difference
it's up there with payday advances................
if you have a small down payment, have decent credit and take a reasonable loan term you would never need it
if the car is ever totaled by insurance company that # is negotiable. gap insurance is only covering any difference
it's up there with payday advances................
C141medic
Active Member
Did you mean to say that you wouldn’t need it if you had a large down payment rather than a small one?
To me, GAP insurance is a great value in that it does cover the difference between what the insurance company will pay you and what you owe on the loan. This is especially important early on in the life of the loan where one takes a good depreciation hit on the car. And mine, as other policies as well, will cover up to a $1000 deductible on my collision coverage. So, to me it’s a no brainer. For $400 the cost of the GAP policy it’ll pay for itself in the event I need it.
What Is Gap Insurance Coverage for Cars - Is It Worth It?
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SageBrush
REJECT Fascism
How much out of pocket without gap insurance to replace with a car of similar age and condition to the one that was totaled ?
C141medic
Active Member
Not sure I understand your question referencing my post. But as an example:
1. Loan of 60K taken in 2018 for a 60K car
2. In 2019 that car is worth (assuming a 20% depreciation) 50K
3. If car is totaled in 2019 (depending on term of loan and payments, etc. one could easily be “upside” down on the loan.
I also have replacement cost from my auto insurance (I realize I’m duplicating coverage) for the first 2 or 3 years from purchase.
SageBrush
REJECT Fascism
I was asking if the insurance payment will get you back into a car similar to the one you had prior to accident; in this case one depreciated $10k.
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