Guaranteed Auto Protection (GAP) insurance is essential for anyone with a significant auto loan. Available for new car purchases only. In the event of a Total Loss, It covers the difference between what you owe on your vehicle loan and its current market value. This coverage is incredibly valuable if you have a substantial loan balance. To learn more about how this type of insurance can benefit you, consult one of our knowledgeable agents at Nickerson Insurance Services, Inc.
In the unfortunate event of an accident, policies have limitations. For instance, if your vehicle is declared a total loss, your standard auto insurance will only cover its current market value. This coverage does not extend to any remaining balance on your auto loan. Consequently, you could find yourself still owing money on a car you can no longer use.
However, GAP insurance addresses this gap. It pays off the remaining loan balance, ensuring you avoid any out-of-pocket expenses. Without this additional coverage, you receive only the current market value of your vehicle. As a result, this scenario can lead to a significant financial burden for you and your family, especially when you are already dealing with the aftermath of an accident.
If you have an auto loan, you should seriously consider this additional coverage. It acts as a financial safeguard, ensuring you won’t pay for a vehicle you no longer have. Furthermore, it allows you to focus on your recovery rather than worrying about financial stress. Talk to an insurance agent at Nickerson Insurance Services, Inc. today to explore how this coverage can provide you with the protection you need. With it, you drive confidently knowing your investment is protected.seriously
